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Corporate

Buffett Explains Berkshire’s Buyback Pause

(BRK.A), (BRK.B)

At Saturday’s Berkshire Hathaway annual meeting, Warren Buffett addressed the company’s noticeable pause in share repurchases. Berkshire hasn’t bought back any stock since May 2024, marking its longest break from buybacks since 2018. Buffett explained that the company only repurchases shares when they are clearly undervalued—a condition not currently met, with Berkshire stock reaching an all-time high on May 2. He also cited the new 1% tax on repurchases as an added hurdle, making buybacks less appealing from a capital allocation standpoint.

© 2025 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

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Commentary

Greg Abel, the Right Man for All of Berkshire’s Seasons

(BRK.A), (BRK.B)

Greg Abel, long-time Berkshire Hathaway executive and current vice chairman of non-insurance operations, is set to take the reins as CEO by year’s end. At 62, Abel brings two decades of steady leadership, having risen through the ranks since Berkshire acquired MidAmerican Energy. He’s earned a reputation as a tireless and capable operator, overseeing not just Berkshire Hathaway Energy, but also a vast portfolio that includes BNSF Railway, NetJets, and Duracell. Despite his growing influence, Abel remains grounded—still based in Des Moines and proud of coaching his kids’ sports teams. With a background in accounting and a clear eye for value, he’s well-equipped to steer Berkshire through complex, high-stakes acquisitions that match the scale of the trillion-dollar conglomerate. Humble, analytical, and deeply aligned with Berkshire’s principles, Greg Abel isn’t just a good choice to succeed Warren Buffett—he’s an excellent one.

© 2025 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

Categories
Financials

Berkshire Hathaway’s Q1 Profits Fall, But Core Businesses Stay Strong

(BRK.A), (BRK.B)

Berkshire Hathaway, the giant conglomerate led by Warren Buffett, reported lower profits in the first quarter of 2025, mainly due to fluctuations in its stock investments. The company posted $4.6 billion in net earnings—down sharply from $12.7 billion during the same period last year.

But the drop doesn’t tell the whole story. Much of it stems from accounting rules that require Berkshire to include paper losses on stocks it hasn’t sold yet. This quarter, those unrealized losses totaled about $7.4 billion.

To give a clearer picture of business performance, Berkshire also reports “operating earnings,” which leave out those investment swings. On that front, the company earned $9.6 billion in Q1—still strong, but slightly below the $11.2 billion it earned a year ago.

Some business highlights:

Insurance operations had mixed results, with investment income rising but underwriting profits falling.

The company’s railroad, BNSF, and energy division both posted solid gains.

Insurance float—a key financial cushion built from premiums Berkshire holds before paying claims—grew to $173 billion.

Earnings per share also reflected the dip: Class A shares earned $3,200 in Q1, compared to $8,825 last year, while Class B shares earned $2.13, down from $5.88.

Berkshire reminded investors that quarterly investment gains and losses don’t always reflect the company’s true strength. Long-term performance and solid fundamentals remain the real story.

© 2025 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

Categories
Financial Reports

Berkshire Hathaway Shares Hit Record High Ahead of Annual Meeting

(BRK.A), (BRK.B)

Excitement is in the air as Berkshire Hathaway shareholders flock to Omaha for the company’s annual meeting on May 3. The mood is especially upbeat with the stock hitting record highs—Class A shares closed Friday at $809,808.50, and Class B shares reached $539.80.

The annual meeting, often called “Woodstock for Capitalists,” will feature Berkshire’s first-quarter earnings release and a Q&A session with CEO Warren Buffett, along with top executives Greg Abel and Ajit Jain, offering insights into the company’s future.

This year’s event is also a time for reflection, marking the second annual meeting without Charlie Munger, Buffett’s longtime business partner. Though gone, Munger’s influence and wisdom remain deeply woven into Berkshire’s culture.

© 2025 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

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Lubrizol

Lubrizol and Palmer Holland Partner to Expand Nutraceutical Reach in Northeastern U.S.

(BRK.A), (BRK.B)

Berkshire Hathaway’s Lubrizol has announced a new distribution partnership with Palmer Holland, Inc., aiming to expand access to its innovative ingredient solutions across the nutraceutical, dietary supplement, and food and beverage markets in the Northeastern United States.

The collaboration is set to meet rising demand for Lubrizol’s microencapsulation technology, which enhances ingredient delivery and bioavailability—key factors in creating effective and enjoyable nutraceutical products. Lubrizol’s European-manufactured portfolio includes branded microcapsules such as LIPOFER™ (iron), MAGSHAPE™ (magnesium), ZINCNOVA™ (zinc), CURCUSHINE™ (curcumin), NEWCAFF™ (caffeine), LIPOPHYTOL™ (phytosterols), and LIPOCAL™ (calcium).

“Recent clinical and consumer studies have confirmed the benefits of our microencapsulation technology in both taste and absorption,” said Ricardo Pereira, Senior Director at Lubrizol. “Through our partnership with Palmer Holland, we can bring these innovations to more consumers.”

Palmer Holland’s Vice President of Consumer & Life Sciences, Bret Horace, added, “Lubrizol’s focus on quality aligns perfectly with our mission to deliver forward-thinking ingredient solutions. Together, we’re enabling the creation of healthier, better-tasting nutraceutical products.”

The partnership marks a strategic step in enhancing product performance and accessibility across a growing health-focused market.

© 2025 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

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Pilot Flying J

Pilot Launches ‘Miles of Good’ to Drive Community Impact

(BRK.A), (BRK.B)

Pilot, a Berkshire Hathaway company and North America’s leading energy and travel center operator, has introduced a new corporate giving initiative called Miles of Good. Rooted in the company’s purpose of showing people they matter, the program aims to create meaningful change through charitable donations, volunteerism, and local partnerships.

“At Pilot, people matter — and giving is another way we can show them that’s true,” said CEO Adam Wright. Miles of Good will focus on three core areas: safety, education, and support for veterans.

The initiative will fund and support safety programs, expand access to education — especially in STEM fields — and honor veterans by helping them transition to civilian life and careers. In 2023 alone, Pilot donated over $5.5 million to causes aligned with these values.

“What makes Miles of Good special is how it empowers our team members to make a difference,” said Meg Counts, Director of Corporate Giving and Events. The initiative encourages Pilot’s 30,000 team members to volunteer and contribute directly to their communities.

Complementing the new program, Pilot has also launched Pilot Cares, an assistance fund to help employees facing personal hardships, such as medical emergencies or disaster recovery.

With Miles of Good, Pilot is reinforcing its commitment to people and communities, paving the way for a more positive and connected future. More information is available at pilotflyingj.com/miles-of-good.

© 2025 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

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McLane

Berkshire’s McLane and Wawa Expand Partnership to Fuel Regional Growth

(BRK.A), (BRK.B)

Berkshire Hathaway’s McLane Company, one of America’s largest distributors, is expanding its long-standing partnership with Wawa, a leading convenience store chain, to support Wawa’s rapid growth across the Midwest, Mid-Atlantic, and Northeast.

The enhanced partnership includes expanded distribution services from McLane’s Bluegrass center in Hebron, Kentucky, which will now supply new Wawa locations in Kentucky, Indiana, and Ohio. This move aligns with Wawa’s broader strategy to enter and grow in new markets.

“For over 20 years, we’ve proudly partnered with Wawa,” said Vito Maurici, McLane’s Chief Customer Experience Officer. “This next step reflects our continued commitment to supporting their growth through our nationwide network and tailored product offerings.”

Wawa, known for its innovative foodservice and customer-centric approach, relies on McLane’s extensive distribution infrastructure, including over 80 centers nationwide, to meet increasing demand for fresh, high-quality convenience foods. McLane now services more than 1,100 Wawa stores from centers in Kentucky, Virginia, New Jersey, and Florida.

“As we expand into new regions, strong partnerships like the one with McLane help us deliver the service, quality, and value our customers expect,” said Brian Schaller, Wawa’s President. “Together, we’re bringing our best-in-class foodservice program to even more communities.”

McLane’s advanced logistics, technology, and cold chain capabilities will be key to ensuring Wawa maintains high service standards and operational efficiency as it grows its footprint.

© 2025 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

Categories
Appointments

BHSI Appoints New Leaders in Ireland

(BRK.A), (BRK.B)

Berkshire Hathaway Specialty Insurance (BHSI) has announced key leadership changes in its Ireland operations, naming Caoimhe Gormley as Country Manager and Ciaran Reddin as Head of Executive & Professional (E&P) Lines.

Alessandro Cerase, Head of Europe at BHSI, praised their contributions, stating, “Caoimhe and Ciaran are proven leaders who embody BHSI’s customer-first values and culture. Their expertise has been instrumental in our growth in Ireland.”

Caoimhe Gormley, with 17 years of industry experience, joined BHSI in 2018 as Head of E&P Lines and later took on the role of Head of Customer & Broker Engagement. She succeeds Louise Kidd and will continue to lead customer and broker relations alongside her new responsibilities.

Ciaran Reddin, who joined BHSI in 2019, previously led Professional Indemnity and Cyber lines. With over a decade of experience, he now steps into his new role overseeing E&P Lines in Ireland.

BHSI continues to expand its presence in Ireland, offering a range of property, casualty, and E&P insurance solutions, as well as multinational programs.

© 2025 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

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Lessons From Warren Buffett

Lessons From Warren Buffett: The Shorter the Hold, the Greater the Risk

Warren Buffett has long emphasized the relationship between risk and the amount of time you hold a stock, arguing that they are inextricably linked. According to Buffett, the shorter the time horizon for holding an asset, the greater the risk. This is particularly evident in day trading, where the potential for short-term price movements can lead to significant losses.

At the 1994 Berkshire Hathaway Annual Meeting, Buffett explained that if you plan to buy a stock like XYZ Corporation at 11:30 AM and sell it by the close of the same day, the risk of harm or injury is much higher. He noted that there’s a 50% chance that such a transaction could lead to a loss. On the other hand, if you buy a company with a long-term perspective, such as Coca-Cola, the risk decreases significantly. Buffett pointed out that when you hold an asset for an extended period, the risk of losing money is minimal, even if you bought it at a higher price years ago. However, he warned that buying Coca-Cola this morning and selling it the next day would be a risky move, as short-term fluctuations in stock prices could lead to significant uncertainty.

In essence, Buffett’s philosophy highlights the importance of having a long-term investment strategy to minimize risk and maximize potential returns.

Hear Buffett’s full explanation

See the complete Lessons From Warren Buffett series

© 2025 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

Categories
Appointments

HomeServices of America Announces Leadership Transition

(BRK.A), (BRK.B)

HomeServices of America, a Berkshire Hathaway company and the nation’s leading provider of homeownership services, has announced a significant leadership change. Gino Blefari, who has served as President and CEO for over five years, will now take on the role of Chairman Emeritus. Chris Kelly, currently Executive Vice President, will step into the role of President and CEO, effective immediately.

Blefari, a respected figure in the real estate industry, will remain involved as a strategic advisor, particularly supporting the growth and development of the Berkshire Hathaway HomeServices franchise network. Reflecting on his tenure, Blefari said, “It has been the honor of a lifetime to serve as President and CEO. I’m proud of what we’ve accomplished and excited to support the new leadership as they take HomeServices into its next chapter.”

Kelly brings over 25 years of experience to his new role, with a background in law and a deep history with HomeServices, including leadership roles at ReeceNichols and the Ebby Halliday Companies.

“I’m humbled to follow in Gino’s footsteps,” said Kelly. “HomeServices’ true strength is our people. Our focus remains on supporting them across all aspects of real estate—brokerage, mortgage, title, insurance, and franchise—as they serve their clients and communities. Together, we will shape the future of real estate.”

© 2025 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.