Under new CEO Greg Abel, Berkshire Hathaway’s cash reserves reached a record of nearly $400 billion. The company sold $24.1 billion in stocks during the first quarter. It purchased $15.9 billion in equities during the same period. This marks the 14th consecutive quarter the firm has been a net seller of equities.
Operating income rose 18% during the quarter. Total operating income reached $11.3 billion. Insurance underwriting profits grew by 29% to drive these results. The firm spent $234 million on share buybacks in March. This represents the first repurchase activity since May 2024. The company missed analyst estimates for both revenue and earnings per share.
Market analysts are focusing on Abel’s long-term capital allocation strategy. The record cash balance heightens scrutiny of potential acquisitions and investments in artificial intelligence. Abel is now managing these major financial decisions as he steps out of Warren Buffett’s shadow.