
Berkshire profit falls as buybacks accelerate
The move
Berkshire Hathaway's third-quarter results, released Nov. 7, showed operating profit fell 6% from a year earlier to $12.71 billion and net income fell 28% to $22.11 billion, a figure that includes unrealized gains and losses on stocks it still holds; revenue rose 11% to $105.65 billion. Insurance profit fell 26% and underwriting profit fell 43%, with GEICO's pretax profit down 45% as its loss ratio rose to 76.6% from 71.5% a year earlier. BNSF Railway's profit rose 19% to $1.73 billion. Berkshire repurchased $9.6 billion of its own stock in the quarter, after $4.8 billion earlier in the year and about $2 billion more in October's first four weeks.
Why it matters
The buyback pace shows CEO Greg Abel, in his third quarter running the company since Warren Buffett stepped down as CEO at the end of 2025, is more willing than Buffett was to put Berkshire's cash to work.
The bear case
Rising GEICO claims and a weaker insurance quarter show some of Berkshire's biggest profit engines are under real cost pressure, not just a one-off dip.
What to watch
Nov. 16 — Berkshire's 13F filing, which will show whether it changed its Alphabet stake.


