Buffett’s Berkshire Hathaway Reports Dip in Q2 Earnings Amid Tariff Concerns
Warren Buffett‘s Berkshire hathaway announced a slight decrease in second-quarter operating earnings, citing the growing impact of U.S. tariffs on its diverse buisness operations. The conglomerate’s operating profit fell 4% year-over-year to $11.16 billion, primarily due to a downturn in insurance underwriting, though other sectors like railroads, energy, adn manufacturing saw gains.
In its earnings report, Berkshire reiterated its apprehension regarding President Donald Trump‘s trade policies, stating that “the pace of changes in these events, including tensions from developing international trade policies and tariffs, accelerated thru the first six months of 2025.” The company warned of potential adverse effects on its operating businesses and equity investments.
Despite the earnings dip, Berkshire Hathaway maintained a substantial cash reserve of $344.1 billion. The company continued its trend of net stock sales, divesting $4.5 billion in equities during the first half of 2025. Notably, Berkshire did not engage in stock repurchases during this period, even as its shares experienced a decline of over 10% from their peak.
The conglomerate also recorded a $3.8 billion write-down on its investment in Kraft Heinz, a company that has struggled in recent performance. this marks the first earnings report since Buffett, 94, revealed his intention to step down as CEO at the end of 2025, with Vice chairman Greg Abel slated to assume the CEO role while Buffett remains Chairman of the board.
