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Berkshire Hathaway Q3 2025 Earnings: Warren Buffett’s Berkshire Hathaway posted a strong recovery in operating profit for the third quarter, highlighting renewed strength across its key businesses.
The company reported operating earnings of $13.49 billion, up 34% from the same period last year. The sharp rise was largely fueled by a surge in insurance underwriting income, which more than tripled to $2.37 billion.
Berkshire’s massive cash holdings also climbed to a record level, even as the firm refrained from repurchasing its own shares.
The results underscore the resilience of Buffett’s conglomerate, which continues to benefit from steady growth in its insurance and railroad operations despite broader market uncertainty.
Warren Buffett’s Berkshire Hathaway has once again held back from repurchasing its own shares, even after a noticeable decline in the stock. The company confirmed that it carried out no share buybacks during the first nine months of 2025.
So far this year, Berkshire’s Class A and Class B shares have each risen about 5%, lagging behind the S&P 500’s 16.3% gain over the same period.
With no buybacks taking place, Berkshire’s cash reserves continued to build, reaching an unprecedented $381.6 billion by the end of the third quarter. This marks a new all-time high, surpassing the previous record of $347.7 billion set earlier in the year.
Berkshire Hathaway maintained a cautious stance in the third quarter, selling more stocks than it purchased and generating a taxable gain of $10.4 billion from those sales.
The move reflects Warren Buffett’s continued discipline in a market he has often described as expensive.
In May, the 95-year-old Buffett announced that he will step down as chief executive at the end of 2025, marking the end of his remarkable six-decade tenure leading the company.
Greg Abel, currently vice chairman overseeing Berkshire’s non-insurance operations, will assume the role of CEO.
Buffett will remain chairman of the board, continuing to guide the conglomerate’s long-term vision. Starting in 2026, Abel will also take over the tradition of writing Berkshire’s annual shareholder letters, a hallmark of Buffett’s leadership style.
Shares of Berkshire Hathaway have dropped by double digits from their record highs after the announcement of Warren Buffett’s upcoming exit.
The decline reflects a reduction in what investors call the “Buffett premium” — the added value the market has long placed on the stock because of Buffett’s exceptional investment record and capital management skills.
Even as its shares retreated, the Omaha-based conglomerate moved forward with one of its biggest recent deals.
Last month, Berkshire agreed to purchase Occidental Petroleum’s petrochemical business, OxyChem, for $9.7 billion in cash. The acquisition is the company’s largest since 2022, when it bought insurer Alleghany for $11.6 billion.
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