Berkshire Hathaway earnings: Key takeaways

About this video

• Video Title: Berkshire Hathaway earnings: Key takeaways
• Channel: Yahoo Finance
• Speakers: Kathy Seaffort
• Duration: 00:05:08

Overview

This video discusses Berkshire Hathaway's third-quarter earnings, highlighting a record cash pile and a significant increase in operating earnings. It also touches upon investor concerns regarding Warren Buffett's succession, the lack of share buybacks, and the implications of M&A activity under the incoming leadership of Greg Abel.

Key takeaways

• Record Cash Reserves: Berkshire Hathaway's cash reserves reached a record $381.7 billion in the third quarter.
• Surging Operating Earnings: Operating earnings saw a 34% year-over-year increase, partly boosted by a mild hurricane season that reduced insurance-related catastrophes.
• Succession and M&A Uncertainty: Investors are focused on Warren Buffett's succession and the future cadence of M&A activity under Greg Abel, with expectations of potential changes in operations and transparency.
• Lack of Share Buybacks: The absence of share buybacks throughout the year suggests the company may not view its own stock as undervalued, a point of concern for some investors.
• Future Outlook: While the company is in good shape, upcoming uncertainties related to leadership transition and a more competitive insurance environment are noted for 2024.