Berkshire Hathaway (BRK-B)’s Cash Pile Just Shrank for the First Time in Years. Is Greg Abel Finally Spending?

Warren Buffett's long-standing cash reserve at Berkshire Hathaway Inc. (NYSE:BRK-B) has decreased for the first time in years. Greg Abel, who became CEO in January 2026, is now responsible for determining how to spend the cash. The company's cash and Treasury bill holdings dropped to $364.7 billion on June 30, 2026, a 4% decline from the previous quarter, marking the first sequential decrease in over three years.

Despite this, net income more than doubled to $25.67 billion. Berkshire Hathaway Inc. (NYSE:BRK-B) made two of its most substantial acquisitions in recent years, purchasing Taylor Morrison for $6.8 billion and investing $10 billion in Alphabet shares. The company also repurchased $4.5 billion of its own stock and bought $23.5 billion in other equities.

Operating earnings, which Buffett has deemed a more accurate measure of performance, rose 16.3% to $12.98 billion. Profit from manufacturing, service, and retail businesses increased by 24% to $4.47 billion. UBS analyst Brian Meredith considers the cash deployment meaningful and rates the stock a buy. However, Berkshire's insurance division reported weaker underwriting earnings due to higher accident claims and advertising costs at Geico.

Analysts suggest that the quarter's success may not signal a significant shift in strategy, as $364.7 billion remains in cash. The company was held by 126 hedge funds as of Q1 2026, down from 133.