Berkshire Hathaway Reports Q2 Earnings Dip Amidst Trade Tensions
Warren Buffett’s Berkshire Hathaway recently reported a 4% decline in operating earnings for the second quarter, amounting to $11.16 billion. This marks the first earnings report since Buffett, 94, announced his retirement plans. Despite the decline, the conglomerate continues to amass cash, hitting a record $344 billion, while remaining a net seller of stocks for the 11th consecutive quarter.
The company took a significant $3.8 billion writedown on its Kraft Heinz investment and issued a warning that the current tariff policies could impact future results. “We are currently unable to reliably predict the nature, timing or magnitude of the potential economic consequences,” stated Berkshire in its earnings report.
Several Berkshire subsidiaries, including clothing brands Fruit of the Loom and toy company Jazwares, reported revenue declines due to uncertainties arising from international trade policies and tariffs. These uncertainties have led to delays in orders and shipments. Despite these challenges, Berkshire’s railroad BNSF saw earnings jump by 11.5%.
Source: CNN Business – Warren Buffett’s Berkshire Hathaway reports operating earnings drop 4% in Q2