This marks the first quarterly report for Berkshire Hathaway under CEO Greg Abel, following the long tenure of Warren Buffett. The company reported $11.35 billion in operating earnings for the first quarter of 2026, reflecting an 18% increase from last year.
Despite the positive growth, Berkshire Hathaway’s earnings fell short of estimates, which projected $11.56 billion. However, net income attributable to shareholders more than doubled to approximately $10.1 billion, compared to $4.6 billion last year.
Key financial highlights:
- Berkshire Hathaway’s cash pile increased to over $397 billion.
- Insurance underwriting earnings rose by 28%, totaling $1.7 billion.
- Geico, however, faced challenges with a 34% drop in earnings despite the overall increase in insurance performance.
Greg Abel officially took over as CEO on January 1, 2026, bringing a new leadership style to the conglomerate. Warren Buffett attended the annual meeting this past weekend and expressed confidence in Abel’s capabilities. “Greg is doing everything I did and then some, and he’s doing it better in all cases,” Buffett stated.
Buffett also highlighted that Berkshire’s largest holding remains in Apple, which recently reported better-than-expected earnings. iPhone sales surged by 22% compared to last year. This connection underscores how intertwined these large companies are within the market landscape.
The coming months will be crucial as investors watch how Abel navigates these challenges and opportunities at Berkshire Hathaway. With a substantial cash reserve and strong operating earnings, there is potential for strategic investments ahead.
