Berkshire ramps up buybacks under new CEO Greg Abel as Q3 operating profit falls 6%
Berkshire says it repurchased US$9.6 billion of its own stock between July and September
Berkshire Hathaway, the conglomerate headed by CEO Greg Abel, increased its stock repurchases to US$9.6 billion between July and September, according to a report. This comes after the company's lower third-quarter profit, with operating earnings down 6% to US$12.71 billion and net earnings down 28% to US$22.11 billion. The declines were attributed to weaker performance in insurance businesses like Geico and lower gains on common stock investments.
Despite the profit dip, Berkshire's stock has outperformed the S&P 500 by over 18 percentage points since the end of September, despite broader market sell-offs driven by concerns about AI and technology debt. The company's balance sheet strength, diversification, and share repurchases are cited as factors supporting investor interest.
However, Berkshire's limited financial disclosures have raised concerns for analysts, particularly as it navigates the post-Buffett era.
Written by urgent.news from The Business Times - Companies & Markets's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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