You are here

Berkshire profit falls on lower gains, underwriting loss

2017-08-04T160351Z_371901532_RC1C70D6DA90_RTRMADP_3_BERKSHIRE-RESULTS.JPG
Warren Buffett's Berkshire Hathaway Inc on Friday said second-quarter profit fell 15 per cent, reflecting lower investment gains and a loss from insurance underwriting.

[NEW YORK] Warren Buffett's Berkshire Hathaway Inc on Friday said second-quarter profit fell 15 per cent, reflecting lower investment gains and a loss from insurance underwriting.

Net income for the Omaha, Nebraska-based conglomerate fell to US$4.26 billion, or US$2,592 per Class A share, from US$5 billion, or US$3,042 per share.

Operating profit declined 11 per cent to US$4.12 billion, or US$2,505 per Class A share, from US$4.61 billion, or US$2,803 per share.

Analysts on average expected operating profit of about US$2,791 per share, according to Thomson Reuters.

Mr Buffett believes operating income is a better gauge of how Berkshire and its more than 90 businesses are doing than net income, which fluctuates more because it incorporates investment gains and losses.

REUTERS

sentifi.com

Market voices on:

Powered by GET.comGetCom