Berkshire Hathaway Inc.’s operational income increased by 71% in the fourth quarter, as high interest rates increased the investment income of the group and improved its insurance business.
Operating income in three months through December was $ 14.5 billion, the Group in Omaha, Omaha of Warren Buffett said in a statement on Saturday. The increase was inspired by 48% to a jump of 48% in insurance investment income by $ 4.1 billion, amid high interest rates.
The operating profit increased by 27% to $ 47.44 billion in 2024 from $ 37.35 billion to $ 47.44 billion.
The fourth quarter’s operational advantage also set a record, which increased by 71% to $ 14.53 billion, or a year ago, $ 8.48 billion to about $ 1,010 per share, reflects profit in its insurance work and foreign exchange changes.
The quarterly net income was a total of $ 19.69 billion, or $ 13,695 per average equivalent share, as the value of Berkshire’s holdings increased in Apple, American Express and other stocks. For the year, the net income was a total of $ 89 billion.
The increase in earnings also led to a significant boost from a strong recovery in the firm’s insurance -based business, quadrupling the operational income duration at a period of $ 3.4 billion.
Geico was the main contributor to Berkshire’s insurance results, more than $ 7.8 billion to double its pretax underwriting earnings in 2024. The auto insurer successfully added new customers to the second half, which reverse a one -year trend that was earlier weighed on its performance.
Berkshire said that he expects a loss of about $ 1.3 billion pretax from the wildfire destroying the entire part of the Los Angeles last month.
Buffett’s cash hoard increased in a row for the 10th quarter, in the end of 2024 to record $ 334.2 billion, as the billionaire avoided major stock transactions in the fourth quarter. In this period, the firm was a pure seller of $ 6.7 billion shares.
The firm refused to buy its own shares back for the second consecutive quarter, a sign that Buffett believes the stock trades above its internal value.
