By Jonathan Stempel and Carolina Mandl.
OMAHA, Nebraska and NEW YORK (Reuters) -Berkshire Hathaway, led by Warren Buffett, reported a lower operating profit in the first quarter on Saturday, citing insurance losses from wildfires and foreign currency fluctuations, while its cash position increased to a record $347.7 billion.
Operating profit for the Omaha, Nebraska-based conglomerate fell 14% to $9.64 billion, or roughly $6,703 per Class A share, from $11.22 billion the previous year.
Net income fell 64% to $4.6 billion, or $3,200 per Class A share, from $12.7 billion, reflecting unrealized losses on common stock holdings such as Apple.
The cash stake increased from $334.2 billion at year-end, reflecting Berkshire’s difficulty finding things to buy.
For the third quarter in a row, it did not repurchase any of its own stock and was a net seller for the tenth consecutive quarter, buying $3.18 billion and selling $4.68 billion.
Berkshire provided little information about how US President Donald Trump’s tariff policies influenced results.
It stated in its quarterly report that “considerable uncertainty remains,” and that Berkshire was “unable to reliably predict” the potential impact on the company, including product costs, supply chain costs, and customer demand.
The January wildfires in the Los Angeles area resulted in $1.1 billion in insurance claims losses.
Overall net income from insurance fell by nearly half, to $1.34 billion.
The wildfire losses offset continued improvement at Geico, where higher premiums and lower accident claims helped boost pre-tax underwriting profit by 13%.
The results also included $713 million in currency losses as the US dollar weakened, compared to a $597 million gain the year before.
The results were announced ahead of Berkshire’s annual shareholder meeting in Omaha, which is part of a weekend that brings tens of thousands of people to the city.
Buffett, 94, has led Berkshire Hathaway for 60 years, growing it from a struggling textile company to a conglomerate that includes Geico, the BNSF railroad, Berkshire Hathaway Energy, Dairy Queen, and See’s Candies.
Berkshire shares outperformed the broader market in 2025, with many investors viewing the company as a safe haven from potential economic disruptions, such as tariffs.
Tariffs may have temporarily helped the BNSF railroad, which increased profits by 6%.
BNSF reported higher volumes for consumer products, including west coast imports and automobiles, indicating that shipments were in higher demand prior to tariffs.
Berkshire Hathaway Energy also performed better, increasing profit by 53% thanks to broad-based gains and a lower loss at the HomeServices real estate brokerage unit.
Berkshire’s manufacturing, service, and retail businesses all saw a 1% drop in profits.
Berkshire’s car dealerships benefited from increased sales of new and used vehicles.
However, home furnishings and other retail businesses struggled with what Berkshire described as “increased competition, sluggish demand, and the effects of higher economic uncertainty.”