The liquid reserves rose to 325 billion dollars (298.58 billion euros), as Buffett’s corporate conglomerate Berkshire Hathaway announced on Saturday in Omaha, Nebraska.
Analyst Cathy Seifert of CFRA Research in New York called this a possible warning sign. “Berkshire is a microcosm of the entire economy,” she explained. “Cash hoarding suggests risk aversion, and investors may be worried about what this means for the economy and markets.”
Sold 25 percent of his Apple shares
The company sold, among other things, 100 million or 25 percent of its Apple shares in the summer. However, the rest still makes up the largest single item in the inventory. Berkshire also sold shares in Bank of America. Berkshire refrained from buying back its own shares – a means of distributing money to shareholders – and thereby signaled that Buffett does not currently view Berkshire shares as a promising bargain.
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Great importance for Austria: 206,000 jobs depend on the automotive industry
Net income was $26 billion, after a loss of $13 billion a year earlier. Berkshire’s net income traditionally fluctuates greatly because the current prices of the stock portfolio held by the company are taken into account. Buffett therefore always describes the operating result as more meaningful, which reflects the business development of Berkshire’s own companies from various industries. Operating profit fell by six percent to ten billion dollars in the quarter.
Major losses in Berkshire’s insurance business
Major losses in Berkshire’s insurance business in the USA – caused by Hurricane Helene in September and Hurricane Milton in October – had a particularly negative impact. Exchange rate losses due to the stronger dollar also weighed on earnings. However, the car insurer Geico posted higher profits due to lower accident damage, the freight railway BNSF, which transported more consumer goods, and the utility Berkshire Hathaway Energy.
The 94-year-old Buffett has been at the helm of Berkshire since 1965. His deputy Greg Abel (62), who is 32 years younger, is considered a promising successor.
ePaper
It seems you’re presenting an article or a section of a website that discusses two separate topics: the significant dependence of Austria on the automotive industry, which supports 206,000 jobs, and the financial performance of Berkshire Hathaway, specifically its net income and challenges facing its insurance business. Here’s a brief summary of both topics:
### Automotive Industry in Austria
– **Significance**: The automotive sector is extremely important for Austria, with 206,000 jobs linked to it.
- **Expert Insight**: The head of the location agency ABA highlights the central role of this industry in the Austrian economy.
– **Visual Element**: The article likely includes a visual (perhaps an image or infographic) that underscores this theme.
### Berkshire Hathaway’s Financial Performance
– **Net Income**: Berkshire Hathaway reported a net income of $26 billion, rebounding from a previous loss of $13 billion.
– **Operating Revenue**: Operating profit decreased by 6% to $10 billion, with fluctuations attributed to the volatile nature of stock prices held in its portfolio.
– **Insurance Sector Challenges**: The company faced major losses in its insurance business, primarily due to damages from hurricanes and the effects of a stronger dollar.
– **Positive Aspects**: Despite challenges, Geico, Berkshire’s car insurance arm, reported higher profits due to fewer accidents. Other segments like BNSF railway and Berkshire Hathaway Energy also contributed positively to the company’s performance.
– **Leadership**: Warren Buffett remains the key figure in the company, leading since 1965, with Greg Abel positioned as his potential successor.
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