AI interpretation based on checked source excerpts. Issuer assertions and evidence limitations remain explicit.
Policy quality-scores-2: six equally weighted categories. The overall score requires full coverage. Missing inputs are not zero. Qualitative grades are sourced interpretations, not probabilities. 5/6 · 18/10/2026
Moat63
Equal-weight average of four evidence-backed rubric grades (0–4), scaled to 100.
structural advantage · 3/4 · Installed rail and utility networks and supporting rights provide demonstrated structural advantages, with current traffic and customer growth. These advantages do not extend uniformly to insurance or retail.
durability · 3/4 · Existing infrastructure, supporting rights and continuing PCC customer demand support persistence. Historical rail customer loss, alternative manufacturing and regulatory constraints prevent an exceptional grade.
customer dependency · 2/4 · Utility delivery networks and PCC's limited cancellations indicate dependence in selected businesses. Rail switching has occurred, and broader retail customers face alternatives. No group-wide lock-in is demonstrated.
erosion resilience · 2/4 · Rail share gains and Lubrizol's price and earnings growth demonstrate resilience, balanced against realized insurance rate competition, retail weakness and unresolved wildfire claims.
Pricing power44
Equal-weight average of four evidence-backed rubric grades (0–4), scaled to 100.
realized pricing · 2/4 · Rail core pricing gains and Lubrizol price increases are observed outcomes. Fuel surcharges explain part of rail realization, Clayton factory-built price increases reflect mix, site-built prices declined and reinsurance experienced lower rates.
retention · 2/4 · Assessed partly through indirect operating evidence: PCC reports limited cancellations, utility customers and usage increased, and rail gained intermodal share. Historical rail customer loss and current retail weakness show uneven repeat demand; no retention rate is inferred.
margin resilience · 2/4 · Lubrizol's price and volume gains supported earnings despite higher inputs, and rail earnings grew despite fuel inflation. Homebuilding and vehicle gross-margin pressure show incomplete protection across Berkshire.
contractual freedom · 1/4 · Utility rates require regulatory approval, admitted insurance forms or premium rates generally require approval, and PCC agreements can allow customer termination. Unrestricted group-wide price-setting authority is not demonstrated.
Predictability77
Financial-sector stability over five consecutive reported annual periods: equal weights for nondeclining revenue frequency, revenue-growth volatility (5–40pp), positive consolidated earnings frequency, and net-income/revenue margin volatility (3–20pp). Uses reported accounting scope; not industrial FCF or a growth forecast.
- Nondeclining revenue years (%)
- 100.00
- Revenue growth volatility (pp)
- 8.11
- positiveEarningsShare
- 80.00
- netMarginStdDev
- 13.91
Financial strength—
Insufficient current sector evidence for every criterion; no category score is inferred.
capital adequacy · — · U.S. insurance statutory Surplus as Regards Policyholders increased to approximately $333 billion at December 2025. Applicable required capital and RBC denominators are absent, preventing an assessment of regulatory sufficiency or headroom. Consolidated GAAP equity cannot fill that gap.
liquidity funding · 2/4 · June 2026 consolidated cash, equivalents and restricted cash of $41.36 billion, positive operating cash generation and profitable float support funding capacity. Insurance and Other cash is not an insurance-only balance, and missing Treasury balances, claim timing and transfer constraints limit the assessment.
asset liability risk · 2/4 · Disclosed claims experience is mixed: BH Primary had adverse prior-year development in 2025, while the first-quarter reinsurance discussion reports favorable development. Liability claims inflation and substantial equity-driven earnings volatility are demonstrated exposures. Matching and recoverability data are insufficient for a stronger assessment.
earnings resilience · 3/4 · Insurance underwriting remained profitable across 2023–2025 and both first-half periods, supporting resilience. Defined operating earnings remained substantial despite declining in 2025. Investment mark-to-market volatility limits predictability of consolidated earnings.
Capital allocation50
Qualitative insurance assessment: equal-weight average of four current evidence-backed grades (0–4), scaled to 100. Policy financial-industry-1; not an industrial ratio score or credit rating.
capital efficiency · 2/4 · 2025 attributable net earnings divided by average 2024–2025 Berkshire shareholders' equity imply approximately 9.8% consolidated GAAP ROE. This includes investment gains and equity-method losses and is not an insurance statutory-capital return. Profitable float supports financing efficiency, but exceptional risk-adjusted returns are not established.
distributions and buffers · 2/4 · First-half 2026 repurchases of $4.444 billion occurred alongside $21.653 billion of operating cash generation and substantial remaining consolidated cash. The disclosed $30 billion cash-and-Treasury floor is a policy rather than verified insurer solvency headroom; insurance dividend restrictions and missing required capital limit the grade.
dilution and cost · 2/4 · Average equivalent Class B shares were nearly unchanged in 2025 versus 2024 and below 2023; actual executive compensation and the policy against stock compensation support limited disclosed dilution. First-half 2026 buybacks and mixed borrowing and repayment flows are documented, but current share counts and comprehensive financing costs are incomplete.
investment discipline · 2/4 · Actual acquisition and capital spending and subsequent OxyChem earnings are disclosed, alongside 2025 investment impairments. Taylor Morrison's approximately $6.8 billion cash acquisition was completed after quarter-end, with no demonstrated operating outcome supplied. The evidence supports a mixed assessment rather than assuming acquisition success.
Management56
Equal-weight average of four evidence-backed rubric grades (0–4), scaled to 100.
capital discipline · 2/4 · Actual operating cash generation, investment spending and repurchases show active allocation; exiting unprofitable insurance lines supports discipline. Investment impairments and limited post-acquisition outcomes make the record mixed. The stated buyback valuation rule alone does not prove value creation.
incentive alignment · 2/4 · The chairman's disclosed 13.7% economic interest supplies meaningful alignment. Actual senior executive compensation is predominantly salary, while policy excludes profitability and stock value as pay determinants. The evidence does not establish equivalent ownership alignment for the new CEO.
execution · 3/4 · Multi-year underwriting profits, continued negative-cost float and rail earnings and share gains demonstrate strong execution. This is assessed from operating outcomes rather than reputation; it includes inherited results and does not establish the new CEO's independent long-term record.
governance · 2/4 · Audit Committee risk oversight and six meetings in 2025 provide actual governance evidence. Separation of CEO and chairman roles follows the succession, but the chairman's 30% voting interest versus 13.7% economic interest concentrates influence. Effectiveness is not established merely by these structures.
Evidence
PCC typically does not experience significant order cancellations, although periodically it receives requests for delays in delivery schedules.
Business / PCC order cancellations · Filed 02/03/2026
PCC is subject to substantial competition in each of its markets.
Business / PCC competition · Filed 02/03/2026
Although PCC believes its manufacturing processes, technology and experience provide its customers with advantages, such as high quality, competitive prices and physical properties that often meet more stringent demands, alternative forms of manufacturing can be used to produce many of the same components and products.
Business / PCC alternative manufacturing · Filed 02/03/2026
Several factors, including long-standing customer relationships, technical expertise, state-of-the-art facilities and dedicated employees, aid PCC in maintaining competitive advantages.
Business / PCC competitive capabilities · Filed 02/03/2026
Lubrizol uses its technological leadership position and applies its scientific capabilities, formulation know-how and market expertise in product development to improve the demand, quality and value of its products.
Business / Lubrizol technical capabilities · Filed 02/03/2026
While Lubrizol typically has patents that expire each year, it invests resources to protect its intellectual property and to develop or acquire innovative products for the markets it serves.
Business / Lubrizol intellectual property · Filed 02/03/2026
Regulations broadly apply and may limit management’s ability to independently make and implement decisions regarding numerous matters including: acquiring businesses; constructing, acquiring, disposing or retiring of operating assets; operating and maintaining generating facilities and transmission and distribution system assets; complying with pipeline safety and integrity and environmental requirements; setting rates charged to customers; establishing capital structures and issuing debt; managing and reporting transactions between our domestic utilities and our other subsidiaries and affiliates; and paying dividends or similar distributions.
Risk factors / utility regulatory constraints · Filed 02/03/2026
The energy rates charged by our regulated energy subsidiaries to customers are based on the costs of the business and require regulatory approval.
Risk factors / regulated energy rates · Filed 02/03/2026
Support facilities for rail operations include yards and terminals throughout its rail network, system locomotive shops to perform locomotive servicing and maintenance, a centralized network operations center for train dispatching and network operations monitoring and management, computers, telecommunications equipment, signal systems and other support systems.
Properties / BNSF network support facilities · Filed 02/03/2026
Transfer facilities are maintained for rail-to-rail as well as intermodal transfer of containers, trailers and other freight traffic and include approximately 27 intermodal hubs located across the system.
Properties / BNSF intermodal hubs · Filed 02/03/2026
In 2025, BNSF recorded approximately $2.4 billion in repairs and maintenance expense.
Properties / BNSF maintenance expenditure · Filed 02/03/2026
Properties of BHE’s electricity businesses include electric generation, transmission and distribution facilities, as well as coal mining assets that support certain of BHE’s electric generating facilities.
Properties / BHE electricity infrastructure · Filed 02/03/2026
The transmission and distribution assets are primarily within each of BHE’s utility service territories.
Properties / BHE service territories · Filed 02/03/2026
In addition to these physical assets, BHE has rights-of-way, mineral rights and water rights that enable BHE to utilize its facilities.
Properties / BHE supporting rights · Filed 02/03/2026
Although the OBBBA did not have a material impact on BHE’s 2025 financial results, BHE’s future financial results and capital expenditures related to renewable energy, storage and technology neutral projects, including the potential impact on the economics and viability of such projects, may be affected by the combined effects of the OBBBA and broader macroeconomic and geopolitical conditions, including changes in international trade policies and tariff regimes.
MD&A / BHE tax-policy exposure · Filed 02/03/2026
Treasury Bills 167 12,769 Aircraft repurchase liabilities and unearned lease revenues 10,686 9,356 Notes payable and other borrowings 45,763 44,885 305,937 311,220 Railroad, Utilities and Energy: Accounts payable, accruals and other liabilities 19,250 18,226 Regulatory liabilities 7,013 7,033 Notes payable and other borrowings 83,318 79,877 109,581 105,136 Income taxes, principally deferred 86,955 85,870 Total liabilities 502,473 502,226 Shareholders’ equity: Common stock at par value 8 8 Capital in excess of par value 35,612 35,665 Accumulated other comprehensive income (2,448 ) (3,584 ) Retained earnings 763,186 696,218 Treasury stock, at cost (78,939 ) (78,939 ) Berkshire shareholders’ equity 717,419 649,368 Noncontrolling interests 2,284 2,287 Total shareholders’ equity 719,703 651,655 Total liabilities and shareholders’ equity $ 1,222,176 $ 1,153,881 See accompanying Notes to Consolidated Financial Statements K-67 BERKSHIRE HATHAWAY INC.
Consolidated balance sheets / equity and financing · Filed 02/03/2026
and Subsidiaries CONSOLIDATED STATEMENTS OF EARNINGS (dollars in millions except per share amounts) Year Ended December 31, 2025 2024 2023 Revenues: Insurance and Other: Insurance premiums earned $ 88,902 $ 88,257 $ 83,403 Sales and service revenues 199,524 202,334 207,148 Leasing revenues 10,034 9,227 8,416 Interest, dividend and other investment income 23,261 21,825 15,764 321,721 321,643 314,731 Railroad, Utilities and Energy: Railroad transportation revenues 23,330 23,355 23,791 Utility and energy operating revenues 21,856 21,518 21,232 Service revenues and other income 4,537 4,917 4,728 49,723 49,790 49,751 Total revenues 371,444 371,433 364,482 Investment gains (losses) 39,078 52,799 74,855 Costs and expenses: Insurance and Other: Insurance losses and loss adjustment expenses 57,307 56,186 57,187 Life, annuity and health insurance benefits 4,379 3,858 4,029 Insurance underwriting expenses 17,756 16,808 15,270 Cost of sales and services 160,062 163,642 169,281 Cost of leasing 7,685 7,069 6,037 Selling, general and administrative expenses 29,735 25,642 25,458 Interest expense 1,329 1,594 1,671 278,253 274,799 278,933 Railroad, Utilities and Energy: Freight rail transportation expenses 15,366 15,965 16,464 Utilities and energy cost of sales and other expenses 16,959 16,984 18,399 Other expenses 4,155 4,343 4,016 Interest expense 3,740 3,606 3,332 40,220 40,898 42,211 Total costs and expenses 318,473 315,697 321,144 Earnings before income taxes and equity method earnings 92,049 108,535 118,193 Equity method earnings (losses) (9,590 ) 1,841 1,973 Earnings before income taxes 82,459 110,376 120,166 Income tax expense 15,199 20,815 23,019 Net earnings 67,260 89,561 97,147 Earnings attributable to noncontrolling interests 292 566 924 Net earnings attributable to Berkshire shareholders $ 66,968 $ 88,995 $ 96,223 Net earnings per average equivalent Class A share $ 46,563 $ 61,900 $ 66,412 Net earnings per average equivalent Class B share* $ 31.04 $ 41.27 $ 44.27 Average equivalent Class A shares outstanding 1,438,223 1,437,720 1,448,880 Average equivalent Class B shares outstanding 2,157,335,139 2,156,580,296 2,173,319,709 —————— * Net earnings per average equivalent Class B share outstanding is equal to one-fifteen-hundredth of the equivalent Class A amount.
Consolidated statements of earnings / earnings and average shares · Filed 02/03/2026
2025 Insurance GEICO BH Primary BHRG Total Underwriting Investment Income Total Premiums earned and investment income $ 44,481 $ 18,713 $ 25,708 $ 88,902 $ 15,310 $ 104,212 Costs and expenses: Losses and LAE 32,144 12,519 12,644 57,307 — 57,307 Life, annuity and health benefits — — 4,379 4,379 — 4,379 Other segment items 5,513 5,409 6,834 17,756 49 17,805 Total costs and expenses 37,657 17,928 23,857 79,442 49 79,491 Earnings before income taxes $ 6,824 $ 785 $ 1,851 $ 9,460 $ 15,261 $ 24,721 2024 Insurance GEICO BH Primary BHRG Total Underwriting Investment Income Total Premiums earned and investment income $ 42,252 $ 18,733 $ 27,272 $ 88,257 $ 16,812 $ 105,069 Costs and expenses: Losses and LAE 30,331 12,666 13,189 56,186 — 56,186 Life, annuity and health benefits — — 3,858 3,858 — 3,858 Other segment items 4,108 5,212 7,488 16,808 64 16,872 Total costs and expenses 34,439 17,878 24,535 76,852 64 76,916 Earnings before income taxes $ 7,813 $ 855 $ 2,737 $ 11,405 $ 16,748 $ 28,153 2023 Insurance GEICO BH Primary BHRG Total Underwriting Investment Income Total Premiums earned and investment income $ 39,264 $ 17,129 $ 27,010 $ 83,403 $ 11,619 $ 95,022 Costs and expenses: Losses and LAE 31,814 11,224 14,149 57,187 — 57,187 Life, annuity and health benefits — — 4,029 4,029 — 4,029 Other segment items 3,815 4,531 6,928 15,274 38 15,312 Total costs and expenses 35,629 15,755 25,106 76,490 38 76,528 Earnings before income taxes $ 3,635 $ 1,374 $ 1,904 $ 6,913 $ 11,581 $ 18,494 Other segment items related to insurance underwriting include commissions and brokerage expenses and other insurance underwriting expenses.
Note 26 / insurance underwriting results · Filed 02/03/2026
Except for regulatory considerations, there are virtually no barriers to entry into the insurance and reinsurance industry.
Business / insurance entry barriers · Filed 02/03/2026
States regulate the payment of shareholder dividends by insurance companies and other transactions with affiliates.
Business / insurance dividend regulation · Filed 02/03/2026
Admitted insurers are generally required to obtain regulatory approval of their policy forms and/or premium rates.
Business / admitted insurance rate approval · Filed 02/03/2026
GUARD’s decline was due to significant volume reductions across numerous product categories, including personal lines, business owners’ and workers’ compensation business, from initiatives to exit unprofitable lines and tightened underwriting standards.
MD&A / GUARD underwriting remediation · Filed 02/03/2026
Prior accident years’ ultimate loss estimates increased by approximately $190 million in 2025 compared to reductions of $52 million in 2024.
MD&A / BH Primary prior-year loss development · Filed 02/03/2026
Claim costs for liability coverages continue to be negatively impacted by unfavorable social inflation trends, including the impacts of jury awards and litigation costs.
MD&A / liability claims inflation · Filed 02/03/2026
Combined shareholders’ equity of U.S.-based insurance subsidiaries determined pursuant to statutory accounting rules (Surplus as Regards Policyholders) was approximately $333 billion at December 31, 2025 and $310 billion at December 31, 2024.
Insurance notes / statutory policyholder surplus · Filed 02/03/2026
Statutory surplus differs from the corresponding amount based on GAAP due to differences in accounting for certain assets and liabilities.
Insurance notes / statutory versus GAAP equity · Filed 02/03/2026
Treasury Bills (6,116 ) (6,169 ) Other 60 7,826 Changes in operating assets and liabilities: Unpaid losses and loss adjustment expenses 1,102 2,144 Deferred charges - retroactive reinsurance 429 323 Unearned insurance premiums 1,443 1,512 Receivables and originated loans (5,407 ) (4,234 ) Other assets (2,620 ) (862 ) Other liabilities 1,552 (370 ) Income taxes 2,615 (2,976 ) Net cash flows from operating activities 21,653 20,988 Cash flows from investing activities: Purchases of equity securities (39,405 ) (7,092 ) Sales of equity securities 27,780 11,592 Purchases of U.S.
Consolidated cash flows / operating cash generation · Filed 10/08/2026
Treasury Bills and fixed maturity securities 291,677 268,859 Acquisitions of businesses, net of cash acquired (9,704 ) (101 ) Purchases of property, plant and equipment and equipment held for lease (10,631 ) (9,139 ) Other (95 ) 498 Net cash flows from investing activities (28,644 ) 32,957 Cash flows from financing activities: Proceeds from borrowings of insurance and other businesses 1,713 723 Repayments of borrowings of insurance and other businesses (3,426 ) (2,653 ) Proceeds from borrowings of railroad, utilities and energy businesses 4,564 3,570 Repayments of borrowings of railroad, utilities and energy businesses (1,788 ) (2,569 ) Changes in short-term borrowings, net (573 ) 570 Acquisitions of treasury stock (4,444 ) — Other, principally transactions with noncontrolling interests (155 ) (754 ) Net cash flows from financing activities (4,109 ) (1,113 ) Effects of foreign currency exchange rate changes (109 ) 20 Increase (decrease) in cash and cash equivalents and restricted cash (11,209 ) 52,852 Cash and cash equivalents and restricted cash at the beginning of the year* 52,569 48,376 Cash and cash equivalents and restricted cash at the end of the second quarter* $ 41,360 $ 101,228 * Cash and cash equivalents and restricted cash are comprised of: Beginning of the year— Insurance and Other $ 47,719 $ 44,333 Railroad, Utilities and Energy 4,158 3,396 Restricted cash included in other assets 692 647 $ 52,569 $ 48,376 End of the second quarter— Insurance and Other $ 35,096 $ 96,193 Railroad, Utilities and Energy 5,513 4,293 Restricted cash included in other assets 751 742 $ 41,360 $ 101,228 See accompanying Notes to Consolidated Financial Statements 7 BERKSHIRE HATHAWAY INC.
Consolidated cash flows / investment, financing, repurchases and cash · Filed 10/08/2026
On May 31, 2026, Berkshire entered into an Agreement and Plan of Merger (the “Agreement”) with Taylor Morrison Home Corporation (“Taylor Morrison”) to acquire all outstanding shares of Taylor Morrison common stock for $72.50 per share in cash, or approximately $6.8 billion in the aggregate.
Acquisitions / Taylor Morrison cash consideration · Filed 10/08/2026
A majority of the Taylor Morrison shareholders voted to adopt the Agreement on July 22, 2026, and with receipt of all necessary regulatory approvals, the acquisition was completed on July 24, 2026.
Acquisitions / Taylor Morrison completion · Filed 10/08/2026
The carrying values of Kraft Heinz and Occidental include reductions for other-than-temporary impairment losses recorded in the second and fourth quarters of 2025, respectively.
Note 5 / investment impairments · Filed 10/08/2026
For the Santiam Canyon, Echo Mountain Complex, South Obenchain and 242 fires, while PacifiCorp settled claims with individual plaintiffs who were granted substitution of counsel in the James case, claims remain outstanding for a substantial number of plaintiffs associated with the James case.
Contingencies / outstanding wildfire claims · Filed 10/08/2026
Fuel expenses increased $475 million (68.1%) in the second quarter and $473 million (32.2%) in the first six months of 2026 compared to 2025, reflecting higher average fuel prices in the second quarter and higher volume, partially offset by increased fuel efficiency.
MD&A / BNSF fuel cost increases · Filed 10/08/2026
The first six months increase reflected higher retail customer rates in certain territories, lower thermal generation cost of sales, higher retail customer volumes and higher wholesale volumes and prices, partially offset by higher purchased electricity cost of sales.
MD&A / utility rates, volumes and costs · Filed 10/08/2026
Retail customer volumes increased 3.1% overall (up 6.0% at MEC, 4.3% at NV Energy and 0.8% at PacifiCorp) in the first six months of 2026 compared to 2025, primarily due to higher customer usage and an increase in the average number of customers, partially offset by an overall unfavorable impact of weather.
MD&A / utility customer growth and usage · Filed 10/08/2026
Future sales and earnings growth will depend on successfully increasing production and expanding capacity, as necessary, to meet customer demand.
MD&A / PCC capacity requirements · Filed 10/08/2026
The increases were primarily attributable to higher volumes and selling prices and favorable foreign currency translation effects, partially offset by unfavorable product mix.
MD&A / Lubrizol realized volumes and prices · Filed 10/08/2026
The increases in selling prices were necessitated by significant increases in raw materials, energy and supply chain costs that began in the latter part of the first quarter and continued through the second quarter of 2026, resulting in increased production costs.
MD&A / Lubrizol cost inflation and pricing · Filed 10/08/2026
Lubrizol’s pre-tax earnings increased 23.4% in the second quarter and 16.5% in the first six months of 2026 compared to 2025.
MD&A / Lubrizol earnings growth · Filed 10/08/2026
The increases were primarily attributable to the impacts of higher sales volumes and selling prices, partially offset by higher raw materials and manufacturing costs and unfavorable product mix.
MD&A / Lubrizol earnings drivers · Filed 10/08/2026
OxyChem generated pre-tax earnings of $149 million in the second quarter and $121 million in the first six months of 2026, which included the impacts of incremental acquisition accounting depreciation and amortization, as well as other transition costs associated with the acquisition.
MD&A / OxyChem post-acquisition earnings · Filed 10/08/2026
In the first six months of 2026, average prices for factory-built homes increased 3.3%, attributable to changes in sales mix, while average prices for site-built homes declined 2.3% versus 2025.
MD&A / Clayton realized home prices and mix · Filed 10/08/2026
The decline in home building earnings was due to lower year-to-date sales volume and overall gross margin rates and slightly higher selling general and administrative expenses.
MD&A / Clayton homebuilding earnings pressure · Filed 10/08/2026
Several of our other retailing businesses continued to experience sluggish customer demand, attributable to a combination of increased competition and the impacts of higher economic uncertainty and changes in consumer confidence.
MD&A / retail demand and competition · Filed 10/08/2026
BHA’s pre-tax earnings increased 5.1% in the second quarter and 4.4% in the first six months of 2026 compared to 2025, primarily attributable to increased earnings from service contracts operations, partially offset by lower gross sales margins.
MD&A / BHA earnings and gross sales margins · Filed 10/08/2026
Second Quarter First Six Months 2026 2025 2026 2025 Investment gains (losses) $ 16,077 $ 6,364 $ 14,472 $ (71 ) Income taxes and noncontrolling interests 3,393 1,394 3,028 (3 ) Net earnings (losses) $ 12,684 $ 4,970 $ 11,444 $ (68 ) Effective income tax rate 21.0 % 21.7 % 21.0 % 14.9 % Unrealized gains and losses arising from changes in market prices of our investments in equity securities are included in our reported earnings, which significantly increases the volatility of our periodic net earnings due to the magnitude of our equity securities portfolio and the inherent volatility of equity securities prices.
MD&A / investment gains and earnings volatility · Filed 10/08/2026
Unregistered Sales of Equity Securities and Use of Proceeds and Issuer Repurchases of Equity Securities Berkshire’s common stock repurchase program currently permits Berkshire to repurchase its Class A and Class B shares any time that Berkshire’s Chief Executive Officer, after consultation with the Chairman of the Board, believes that the repurchase price is below Berkshire’s intrinsic value, conservatively determined.
Repurchases / valuation policy and authorization · Filed 10/08/2026
Berkshire will not repurchase its common stock if the repurchases reduce the value of Berkshire’s consolidated cash, cash equivalents and U.S.
Repurchases / liquidity restriction · Filed 10/08/2026
Treasury Bills holdings to less than $30 billion.
Repurchases / liquidity floor amount · Filed 10/08/2026
Float was approximately $177.5 billion at June 30, 2026, an increase of approximately $1.1 billion from December 31, 2025.
MD&A / insurance float balance · Filed 10/08/2026
Our combined insurance operations generated pre-tax underwriting earnings in the first six months of 2026 and 2025, and the average cost of float was negative in each period.
MD&A / underwriting profitability and float cost · Filed 10/08/2026
Car/unit volume increased 6.5% and 4.3%, respectively, in the second quarter and the first six months of 2026 relative to the same periods in 2025.
MD&A / BNSF volume growth · Filed 10/08/2026
Average revenue per car/unit increased 7.6% in the second quarter and 5.3% in the first six months of 2026, primarily from higher fuel surcharge revenue and higher yield.
MD&A / BNSF revenue per unit and yield · Filed 10/08/2026
Pre-tax earnings increased 13.9% in the second quarter and 13.7% in the first six months of 2026 versus 2025.
MD&A / BNSF earnings growth · Filed 10/08/2026
Volumes in the second quarter and the first six months of 2026 increased 9.3% and 5.3%, respectively, in relation to 2025, primarily due to higher intermodal shipments resulting from higher west coast imports, market share gains and tightening truck capacity.
MD&A / BNSF intermodal market-share gains · Filed 10/08/2026
The volume declines were primarily due to plant retirements and lower demand, attributable to lower natural gas prices.
MD&A / coal demand erosion · Filed 10/08/2026
Mr. Buffett is Berkshire’s largest shareholder and owns shares of Berkshire that represent approximately 30.0% of the voting interest and 13.7% of the economic interest.
Proxy / chairman voting and economic ownership · Filed 13/03/2026
In addition, as part of its charter, the Audit Committee discusses Berkshire’s policies with respect to risk assessment and risk management.
Proxy / Audit Committee risk oversight · Filed 13/03/2026
The Audit Committee held six meetings during 2025.
Proxy / Audit Committee meetings · Filed 13/03/2026
The Committee has established a policy that neither the profitability of Berkshire nor the market value of its stock are to be considered in the compensation of any executive officer.
Compensation discussion / excluded performance measures · Filed 13/03/2026
Under the Committee’s compensation policy, Berkshire never intends to use Berkshire stock in compensating employees.
Compensation discussion / stock compensation policy · Filed 13/03/2026
Abel (1) 2025 22,000,000 — 17,500 (3) 22,017,500 Vice Chairman-Non Insurance Operations 2024 21,000,000 — 17,250 (3) 21,017,250 2023 20,000,000 — 16,500 (3) 20,016,500 Ajit Jain 2025 22,000,000 — 17,500 (3) 22,017,500 Vice Chairman-Insurance Operations 2024 21,000,000 — 17,250 (3) 21,017,250 2023 20,000,000 — 16,500 (3) 20,016,500 Marc D.
Summary compensation table / actual Abel and Jain compensation · Filed 13/03/2026
Abel to become Berkshire’s President and Chief Executive Officer effective on January 1, 2026.
Proxy / CEO succession effective date · Filed 13/03/2026
In that regard, net operating earnings were $27.6 billion in 2021; $30.8 billion in 2022; $37.4 billion in 2023; $47.4 billion in 2024; and $44.4 billion in 2025, which grew 103% over the past five years.
Pay versus performance / defined net operating earnings history · Filed 13/03/2026
The majority of PCC’s sales are from customer orders or demand schedules pursuant to long-term agreements.
Business / PCC long-term agreements · Filed 24/02/2025
Contractual terms may provide for termination by the customer, subject to payment for work performed.
Business / PCC customer termination rights · Filed 24/02/2025
The volume decrease was primarily due to lower intermodal shipments resulting from reduced West Coast imports, the loss of an intermodal customer and competition from lower spot rates in the trucking market, which has impacted our domestic intermodal demand.
MD&A / realized intermodal customer loss and trucking competition · Filed 26/02/2024
Dollar. The property volume decline was attributable to the impacts of increased competition and lower rates.
MD&A / reinsurance competition and lower rates · Filed 04/05/2026
Additionally, changes in prior accident years’ ultimate loss estimates in the first quarter reduced incurred losses by $260 million in 2026 and $330 million in 2025.
MD&A / favorable prior-year loss development · Filed 04/05/2026
Railroad operating revenues increased 5.0% in the first quarter of 2026 compared to 2025, reflecting increases in car/unit volume of 2.2% and average revenue per car/unit of 2.8% resulting from business mix, core pricing gains and higher fuel surcharge revenue from higher fuel prices.
MD&A / BNSF core pricing gains · Filed 04/05/2026
The increase in energy operating expenses was primarily due to vegetation management and other wildfire prevention costs, general and plant maintenance costs, insurance expenses and technology costs.
MD&A / utility wildfire prevention and operating costs · Filed 04/05/2026
