Key Highlights
- Q1 operating profit reached $11.35B, marking an ~18% increase year-over-year, though slightly below the $11.56B consensus
- Cash reserves climbed to an unprecedented $397.4B, rising from $373B at the close of 2025
- Net earnings surged to $10.1B from $4.6B in the year-ago quarter, more than doubling
- Insurance underwriting profit jumped 28% to $1.7B, despite Geico experiencing a 34% profit decline
- Greg Abel’s inaugural quarterly earnings release since assuming the CEO position from Warren Buffett in January 2026
Berkshire Hathaway delivered first-quarter 2026 operating profits of $11.35 billion, representing an approximately 18% climb compared to the prior-year period. These figures came in marginally below Wall Street’s consensus forecast of $11.56 billion, according to FactSet data.
$BRK.B (Berkshire Hathaway) #earnings are out: pic.twitter.com/7ePyzVswyM
— The Earnings Correspondent (@earnings_guy) May 2, 2026
The conglomerate’s net earnings totaled approximately $10.1 billion during the quarter — marking a significant increase from the $4.6 billion recorded in the first quarter of 2025.
Shares of BRK.B finished Friday’s trading session near $487, closely aligned with the average buyback price of $486.92 executed by the company throughout the quarter.
Berkshire Hathaway Inc., BRK-B
The most striking figure from the report is the company’s cash position. Berkshire’s holdings of cash, cash equivalents, and short-term Treasury securities reached an all-time high of $397.4 billion on March 31, climbing from $373 billion at the conclusion of 2025.
That represents an enormous war chest waiting to be deployed.
Insurance Operations Fuel Growth
The insurance underwriting segment served as the primary catalyst behind the earnings improvement. This division produced $1.7 billion in profit, climbing 29% from the year-ago period, primarily due to the absence of significant catastrophe-related losses during the quarter.
That said, the insurance picture wasn’t uniformly positive. Geico, the company’s prominent auto insurance subsidiary, experienced a 34% decline in earnings. Additionally, insurance investment income fell 7% to $2.7 billion, pressured by declining interest rates that reduced interest earnings.
BNSF, the railroad subsidiary, delivered $1.4 billion in earnings — representing a 13% year-over-year improvement driven by increased revenue and enhanced operating efficiency.
The manufacturing, service, and retail segments collectively contributed $3.2 billion, reflecting a 5% annual increase. Berkshire Hathaway Energy posted $1.1 billion in earnings, up 2%, benefiting from natural gas pipeline operations and federal energy tax incentives.
Abel Takes the Helm
This marked Greg Abel’s debut quarterly earnings report in his capacity as Chief Executive Officer. He assumed leadership responsibilities at the beginning of 2026, taking over from Warren Buffett, and authored the company’s annual shareholder letter in February.
Abel appeared on stage Saturday at Berkshire’s annual shareholder gathering in Omaha — the legendary event frequently dubbed “Woodstock for Capitalists.”
Buffett, now 95 years old, had evolved into something of an American icon at these proceedings, attracting massive audiences and associating his reputation with consumer brands including Fruit of the Loom and Squishmallow.
Throughout the first quarter, Berkshire executed $234.2 million in share repurchases — representing the company’s first buyback transactions since May 2024. The purchases included 33 Class A shares at an average cost of $729,701 and 431,462 Class B shares at approximately $486.92 per share.
The holding company also divested a net $8.1 billion in equity positions during the three-month period. Berkshire’s top five stock holdings — Apple, American Express, Bank of America, Coca-Cola, and Chevron — represented 61% of the total equity portfolio as of March 31, declining from 65% at the end of 2025.
For context, Berkshire’s first-quarter 2025 operating earnings stood at $9.6 billion, while the fourth quarter of 2025 witnessed a steep 30% year-over-year decline to $10.2 billion, making the Q1 2026 results a notable turnaround powered predominantly by insurance operations.
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