Owned by Warren Buffet Berkshire Hathaway is an American-owned business located in Omaha, Nebraska. Berkshire Hathaway has a foothold in utilities, energy, transportation, manufacturing and retail sectors. Berkshire has ventured into investments in brands known to the world, namely Apple, Bank of America and Coca-Cola.
Berkshire Hathaway Net Worth
Founded in 1839, Berkshire Hathaway has increased its earnings across broad subsidies, equity positions and securities. With a net worth of $161.7 billion, Berkshire is a testament to Warren Buffet. The company has evolved over the years from its origins in textiles to the leadership of Warren Buffet and his late business partner Charlie Munger. Berkshire Hathaway reported operating earnings of $11.2 billion in the first quarter. These earnings are attributable to shareholders and amount to $12.7 billion. The company accumulated a record-breaking cash pile worth $189 billion and witnessed an increase in net income of $2.14 billion.
| Category | 2022 | 2023 | Change |
| Total Operating Earnings | $30.86 billion | $37.35 billion | +21% |
| Insurance Underwriting Earnings | Loss | $5.4 billion | Significant increase |
| Railroad Operating Profits | $5.95 billion | $5.087 billion | -14.5% |
| Utilities & Energy Profits | $3.91 billion | $2.331 billion | -40.3% |
| Insurance Investment Income | $6.5 billion | $9.6 billion | +47.7% |
| Cash on the Balance Sheet | N/A | $163.3 billion | N/A |
| Motor Vehicle Insurance Premiums | N/A | +20.6% | Compared to +3.1% in CPI |
Highlights:
- Total Operating Earnings has seen a 21% increase since 2022
- Its Insurance Underwriting Earnings have earned a profit of $5.4 billion in 2023 driven by high and low claims
- Railroad profits have gone down 14.5% and utilities & energy profits have gone down by 40.3%
- Insurance Investment Income has Increased by 47.7% and is rising
Berkshire Hathaway’s assets and liabilities
Berkshire Hathaway has a diverse portfolio of owned subsidiaries and investments in publicly traded companies. It has significant holdings in the insurance, energy and manufacturing sectors. Berkshire’s assets include the companies it owns, namely:
- GEICO – an insurance company
- BNSF Railway – one of the largest freight rail networks
The company has also managed significant insurance liabilities through its reinsurance and primary insurance operations. The company’s balance sheet shows its financial position, with substantial liquidity and a conservative debt strategy that allows it to capitalize on investment opportunities and sustain long-term.
| Year | Assets | Change in Assets | Liabilities | Change in Liabilities |
| 2023 | $1.069 billion | +12.81% | $499.20 billion | +6.95% |
| 2022 | $948.46 billion | -1.08% | $466.78 billion | +5.17% |
| 2021 | $958.78 billion | +9.73% | $443.85 billion | +5.08% |
| 2020 | $873.72 billion | +6.85% | $422.39 billion | +8.54% |
| 2019 | $817.72 billion | +15.53% | $389.16 billion | +9.53% |
| 2018 | $707.79 billion | +0.81% | $355.29 billion | +1.47% |
| 2017 | $702.09 billion | +13.09% | $350 billion |
Berkshire Hathaway stock market year-over-year
In 2023, Berkshire Hathaway earned a revenue of $439.34 billion, marking an 87.65% increase. This growth marks the company’s strong performance and strategic investments under the leadership of Warren Buffett. Despite minor fluctuations in the company’s quarterly revenues have seen year-on-year growth.
| Year | Average Stock Price | Year-over-Year % Change | Current Valuation |
|---|---|---|---|
| 2024 | $601,491.72 | 15.20% | $894.12 billion |
| 2023 | $509,591.74 | 15.77% | $775.36 billion |
| 2022 | $458,109.40 | 4.00% | $715.53 billion |
| 2021 | $410,841.53 | 29.57% | $632.82 billion |
| 2020 | $307,637.87 | 2.42% | $520.23 billion |
Berkshire Hathaway’s new acquisitions & it’s business
Berkshire Hathaway’s acquisitions have diversified its portfolio, steadied cash flow and explored various industries. Warren Buffett’s long-term investment philosophy and a keen eye for value have been instrumental in selecting companies that align with his core principles and continue to evolve.
| Sr No | Company Name | Year | Current Business | Current Valuation |
|---|---|---|---|---|
| 1 | Pilot Flying J | 2023 | Truck stops, travel centres and convenience stores | $8.2 billion |
| 2 | Alleghany | 2022 | Property and casualty reinsurance and insurance | $11.6 billion |
| 3 | Markel Corporation | 2022 | Insurance, reinsurance and investment operations | $19.8 billion |
| 4 | Precision Castparts Corp | 2015 | Manufacturers of aerospace components and industrial products | $37 billion |
| 5 | The Marmon Group | 2008 | Diversified manufacturing and service companies | $13.8 billion |
| 6 | Pampered Chef | 2002 | Kitchen tools and food products | $1 billion approx |
| 7 | Borsheims | 1989 | Jewellery and luxury goods retail | $250 million approx |
Berkshire Hathaway comparison with competitors
Berkshire Hathaway has diversified its operations, spanning from insurance to retail and much more. But like many other companies, it also has a set of competitors. Berkshire Hathway’s subsidiary GEICO and General Re have to compete with giants like:
- Allianz SE: One of the world’s largest insurance companies, with a broad range of insurance products and a strong international presence, making it a formidable competitor.
- AXA SA: Operates in both life and non-life insurance markets. Its extensive customer base and distribution network makes it a significant competition to Berkshire Hathaway’s insurance businesses on a global scale.
- Chubb Limited: Known for its property and casualty insurance, Chubb targets high-net-worth clients and speciality insurance lines, directly competing with Berkshire Hathaway in the commercial insurance segment.
However, the company is a major player in the investment management industry due to its significant holdings and investment strategies.
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