Key facts
- Berkshire Hathaway's second-quarter operating profit rose 16% to $12.98 billion.
- Net income more than doubled to $25.67 billion.
- The company accelerated stock repurchases, buying back $4.5 billion in Q2 and over $3.3 billion in July.
- Berkshire invested billions more in stocks, including Alphabet, ending a 14-quarter streak as a net seller.
- Cash reserves decreased to $364.7 billion from a record $380.2 billion.
Berkshire Hathaway reported a 16% increase in its second-quarter operating profit, reaching $12.98 billion, driven by higher earnings from its railroad, manufacturing, service, and retail operations, as well as favorable foreign currency fluctuations. Net income more than doubled to $25.67 billion, boosted by significant stock investments, including a $10 billion addition to its stake in Alphabet.
The conglomerate also accelerated its stock repurchase program, buying back $4.5 billion of its own shares in the second quarter and an additional $3.3 billion in July. This marks a shift from its previous strategy, as Berkshire ended a 14-quarter streak of being a net seller of stocks by purchasing nearly $20 billion more in equities than it sold during the April-June period. Consequently, Berkshire's cash pile decreased to $364.7 billion from a record $380.2 billion at the end of the first quarter.