Archive · 3 Aug 2025
Berkshire Hathaway's Profits Plunge on Kraft Heinz Write-Down and CEO Succession
Berkshire Hathaway, Warren Buffett's company, had a rough quarter.
Its profits dropped significantly because of a big loss on its investment in Kraft Heinz, a food company.
Berkshire also made less money overall, and its stock price has gone down.
The company is being careful about spending and has a lot of cash.
The future is uncertain because the old boss is leaving, and markets aren't looking great.
Berkshire Hathaway's net income plummeted 59% due to a Kraft Heinz write-down.
A $3.76 billion after-tax write-down impacted Berkshire's Kraft Heinz stake.
Operating income decreased, while revenue was down 1% due to weak insurance premiums and foreign exchange losses.
Berkshire's cash pile grew to $344.1 billion, and the company has not repurchased stock since May 2024.
Shares of Berkshire have fallen over 12% since May 3, and Buffett is set to step down as CEO.
- Who
- Warren Buffett's Berkshire Hathaway.
- What
- Berkshire Hathaway's net income decreased significantly due to a Kraft Heinz write-down, operating income declined, and revenue fell 1%.
- When
- During the second quarter.
- Where
- Omaha, Nebraska.
- Why
- Due to a write-down on Kraft Heinz, weak insurance premiums, foreign exchange losses, and market uncertainty.
Analysts
Trump Administration
Trade Policies
Analysts
Concerned about future investment due to Trump's trade policies and market valuations.
Trump Administration
Praising Trump's trade policies
- Net Income Decline
- 59%
- Kraft Heinz Write-down
- $3.76 billion
- Operating Income
- $11.16 billion
- Revenue
- $92.52 billion
- Cash Hoard
- $344.1 billion
- Berkshire Share Drop
- Over 12%
