2023-11-04 17:25:50
Berskhire Hathaway, the conglomerate of veteran investor Warren Buffett, earned 58,649 million dollars (54,679 million euros) in the first nine months of his year and amassed record liquidity of 157,000 million, although it had losses in the most recent quarter.
The American company published its quarterly results this Saturday and disclosed that In the third quarter it had a loss of 12,767 million, regarding four times higher than that of the same section of 2022which is explained by the poor performance of their investments in recent months due to market fluctuations.
In that period, Berkshire Hathaway’s investments lost regarding 23 billion -your biggest bet is Applewhich fell 12% in the stock market- while operating profits were almost 11 billionwhich gave rise to that negative figure.
The company’s liquidity has risen to a record of 157 billion, exceeding the historical amount recorded two years ago; Most of it is held in US Treasury bonds.
In fact, the firm indicated that in the third quarter Its interest income increased by 1.3 billion“mainly due to increases in short-term interest rates.”
“We continue to have substantial balances of cash, cash equivalents, Treasury bills and other investments with relatively short maturities. “We continue to believe that having ample liquidity is key and we insist on safety over performance with respect to short-term investors.”says the statement.
Buffett’s signature accounts are since 2018 especially volatile due to an accounting standard that came into force then and that forces you to include the change in the value of shares that you have in your possession, which given your enormous portfolio causes large movements depending on the direction of the markets.
The statement repeats, in this sense, a common warning: “The amount of investment gains/losses in a given quarter is usually meaningless and yields figures of net profits (losses) per share that can be very misleading to investors with little or no knowledge of accounting standards.
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