Warren Buffett’s Annual Letter to Shareholders Highlights Long-Term Commitment and Historic Financial Results

Warren Buffett, the famous investor who heads the U.S. investment company Berkshire Hathaway, released his annual letter to shareholders on the 24th, stating that although he may not be able to achieve “spectacular” results in the future, he is committed to shareholders in the long term. He announced that he would continue to contribute to the Photographed in May 2019 in Omaha, Nebraska (2024 REUTERS/SCOTT MORGAN)

[２４日 ロイター] – Renowned investor Warren Buffett, who heads U.S. investment firm Berkshire Hathaway (BRKa.N), opens new tab, released his annual letter to shareholders on the 24th, predicting “remarkable” business results in the future. Although it is not possible to increase the amount, the company announced that it will continue to contribute to shareholders over the long term.

He also mourned the death of his right-hand man, Vice Chairman Charlie Munger, who passed away last November at the age of 99.

Berkshire’s market capitalization is over $900 billion. “Berkshire is built to last,” Buffett said, adding that the company has become a fortress that withstood an unprecedented financial crisis.

However, he restrained investors’ expectations regarding future stock prices, noting that the company’s performance would likely be “slightly better” than the average U.S. company. Because of its huge scale, “there is no possibility of achieving spectacular performance,” he said.

“There are only a handful of companies left in the United States that can make a real and noticeable difference to Berkshire, and they have been hand-picked by us and others endlessly.”

Berkshire’s full-year 2023 results, which were announced at the same time, showed operating income of $37.4 billion, a record high, and net income of $96.2 billion, a record high.

Berkshire’s stock price has risen 4,384,748% (19.8% per year on a compound interest basis) since Buffett took over in 1965.

In contrast, the S&P 500 Index (.SPX), opens new tab rose only 31,223% (10.2% from the previous year).

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2024-02-25 08:17:00
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