Key Highlights
- Q1 operating profit reached $11.35B, reflecting approximately 18% annual growth, though slightly below the $11.56B consensus forecast
- Company’s cash reserves climbed to an all-time high of $397.4B from $373B at the conclusion of 2025
- Bottom-line earnings surged to $10.1B compared to $4.6B in the year-ago quarter
- Insurance underwriting delivered $1.7B in earnings, marking a 28% increase, despite Geico’s 34% profit decline
- Greg Abel presented his inaugural quarterly results as CEO following his January 2026 succession from Warren Buffett
Berkshire Hathaway delivered first-quarter 2026 operating profits totaling $11.35 billion, marking an approximately 18% climb versus the prior-year period. The figure came in marginally beneath Wall Street’s $11.56 billion projection, according to FactSet consensus estimates.
The conglomerate’s bottom line reached approximately $10.1 billion during the three-month span — representing more than a twofold increase from the $4.6 billion recorded in the first quarter of 2025.
Shares of BRK.B finished Friday’s session around $487, hovering near the $486.92 average price at which the company executed its quarterly share repurchases.
Berkshire Hathaway Inc., BRK-B
The standout metric commanding market attention is the unprecedented cash position. Berkshire’s total cash, equivalents, and short-duration securities ballooned to an all-time peak of $397.4 billion at quarter-end, expanding from $373 billion recorded at the close of 2025.
That represents substantial firepower available for potential deployment.
Insurance Operations Power Performance
The insurance underwriting segment served as the primary catalyst behind the earnings recovery. This division produced $1.7 billion in profits, climbing 29% compared to last year, primarily due to the absence of significant catastrophic loss events throughout the period.
Nevertheless, not every insurance component delivered positive results. Geico, the company’s flagship auto insurance operation, experienced a 34% earnings contraction. Insurance investment income similarly retreated 7% to $2.7 billion, pressured by declining interest rates that diminished interest-based returns.
BNSF, the company’s railroad subsidiary, delivered $1.4 billion in earnings — representing a 13% year-over-year improvement driven by enhanced revenue performance and improved operational productivity.
The manufacturing, service, and retail divisions collectively contributed $3.2 billion, posting a 5% annual increase. Berkshire Hathaway Energy generated $1.1 billion, rising 2%, supported by natural gas pipeline operations and federal tax incentive programs.
Abel Debuts as Chief Executive
This marked Greg Abel’s inaugural quarterly earnings presentation as Chief Executive Officer. He assumed the top position at the beginning of 2026, taking over from Warren Buffett, and authored the company’s annual shareholder correspondence in February.
Abel appeared on stage Saturday at Berkshire’s annual shareholder gathering in Omaha — the legendary event frequently dubbed “Woodstock for Capitalists.”
Buffett, currently 95 years old, had evolved into something of an American icon at the gathering, attracting enormous crowds and associating his reputation with portfolio brands including Fruit of the Loom and Squishmallow.
Throughout the first quarter, Berkshire bought back $234.2 million of its own shares — marking its initial repurchase program since May 2024. This encompassed 33 Class A shares acquired at an average of $729,701 each and 431,462 Class B shares purchased at approximately $486.92 apiece.
The holding company additionally divested a net $8.1 billion in equity investments during the quarter. Berkshire’s top five equity positions — Apple, American Express, Bank of America, Coca-Cola, and Chevron — represented 61% of its aggregate equity portfolio as of March 31, declining from 65% at 2025 year-end.
Berkshire’s first-quarter 2025 operating earnings totaled $9.6 billion, while fourth-quarter 2025 witnessed a steep 30% year-over-year contraction to $10.2 billion, making the Q1 2026 improvement a significant turnaround powered predominantly by the insurance operations.
