Berkshire Hathaway reported a 16% rise in second-quarter operating profit to $12.98 billion. These results significantly exceeded analyst expectations during Greg Abel’s first full quarter as CEO.
The company executed a major strategic pivot by deploying billions from its cash reserves. This spending reduced the total cash pile to approximately $365 billion.
Berkshire Hathaway repurchased $4.5 billion of its own stock. The firm also became a net buyer of equities for the first time in more than three years.
New investments included a $10 billion stake in Google-parent Alphabet. This active posture signals a departure from the cautious investment style of the Warren Buffett era.
Strong performance in railroad and manufacturing units drove the profit growth. These gains offset weaker results from the GEICO insurance business.