Berkshire Hathaway Inc (BRK.A, Financial) has released its financial results for the fourth quarter and full year of 2024. The report highlights the company's net earnings, operating earnings, and investment gains/losses. Investors are encouraged to review the full 2024 Annual Report for a detailed understanding. The press release, dated February 22, 2025, emphasizes that the summarized information is not sufficient for making informed investment decisions.
Positive Aspects
- Net earnings attributable to Berkshire shareholders for the full year 2024 were $88,995 million, showcasing strong financial performance.
- Operating earnings increased significantly to $14,527 million in the fourth quarter of 2024, compared to $8,481 million in the same period of 2023.
- Insurance-underwriting and investment income saw substantial growth, contributing positively to the overall earnings.
Negative Aspects
- Investment gains/losses for the full year 2024 included after-tax losses of $38.1 billion, indicating volatility in investment performance.
- Net earnings per average equivalent Class A Share decreased from $66,412 in 2023 to $61,900 in 2024.
Financial Analyst Perspective
From a financial analyst's viewpoint, Berkshire Hathaway's 2024 results reflect a robust operational performance, particularly in its insurance and energy sectors. However, the significant investment losses highlight the challenges faced in the equity markets. The company's ability to generate substantial operating earnings despite these losses is commendable, indicating strong core business operations.
Market Research Analyst Perspective
As a market research analyst, the report suggests that Berkshire Hathaway continues to leverage its diverse business portfolio effectively. The increase in insurance float and strategic share repurchases indicate a focus on long-term value creation. However, the investment losses underscore the need for cautious market navigation in volatile conditions.
Frequently Asked Questions
What were the net earnings attributable to Berkshire shareholders for 2024?
The net earnings attributable to Berkshire shareholders for 2024 were $88,995 million.
How did operating earnings perform in the fourth quarter of 2024?
Operating earnings in the fourth quarter of 2024 were $14,527 million, up from $8,481 million in the same period of 2023.
What was the impact of investment gains/losses on the 2024 financial results?
Investment gains/losses for 2024 included after-tax losses of $38.1 billion, affecting the overall net earnings.
Read the original press release here.
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