Retroactive Reinsurance Contracts - Gross unpaid losses for retroactive reinsurance contracts were $34.6 billion, with deferred charges at $9.5 billion as of December 31, 2023[25] - Estimated ultimate liabilities for retroactive reinsurance contracts increased by $1.1 billion in Q4 2023, primarily for asbestos, environmental, and casualty exposures, resulting in a $650 million pre-tax underwriting loss[12] - Amortization expense for deferred charges related to retroactive reinsurance contracts is estimated to be $900 million in 2024[12] Asbestos and Environmental Exposures - Estimated liabilities for asbestos and environmental exposures were approximately $12.2 billion at December 31, 2023[12] Equity Securities and Investments - The fair value of equity securities was $353.8 billion as of December 31, 2023, with a hypothetical 30% increase or decrease resulting in a change of $82.3 billion in net earnings[28] - The fair value of Precision Castparts Corp. (PCC) was approximately $32.6 billion, exceeding its carrying value of $29.7 billion by 10% as of December 31, 2023[27] - The fair value of three reporting units (PTC, Jazwares, and IPS) totaled approximately $21.5 billion, exceeding their carrying values by 1.5% as of December 31, 2023[27] - The company's equity securities portfolio was concentrated in five companies, representing approximately 79% of the total fair value as of December 31, 2023[14] - Investments in equity securities grew from $308.793 billion in 2022 to $353.842 billion in 2023[39] - Equity securities had a fair value of $353.842 billion as of December 31, 2023, with net unrealized gains of $244.426 billion[445] - Approximately 79% of the aggregate fair value of equity securities was concentrated in five companies: American Express, Apple, Bank of America, Coca-Cola, and Chevron[445] - Approximately 75% of the aggregate fair value was concentrated in five companies: American Express Company ($22.4 billion), Apple Inc. ($119.0 billion), Bank of America Corporation ($34.2 billion), The Coca-Cola Company ($25.4 billion), and Chevron Corporation ($30.0 billion)[454] - The company's investment gains (losses) on equity securities were $71.842 billion in 2023, compared to a loss of $67.047 billion in 2022[466] - Proceeds from sales of equity securities were approximately $40.6 billion in 2023, $33.7 billion in 2022, and $15.8 billion in 2021[466] Financial Performance - Net earnings for 2023 were $97.147 billion, compared to a net loss of $21.998 billion in 2022 and net earnings of $90.949 billion in 2021[42] - Comprehensive income for 2023 was $98.465 billion, compared to a comprehensive loss of $18.988 billion in 2022 and comprehensive income of $92.838 billion in 2021[42] - Total revenues for 2023 increased to $364.482 billion, up from $302.020 billion in 2022 and $276.185 billion in 2021[48] - Net earnings attributable to Berkshire Hathaway shareholders in 2023 were $96.223 billion, a significant improvement from a loss of $22.759 billion in 2022 and up from $89.937 billion in 2021[48] - Investment and derivative contract gains in 2023 were $74.855 billion, compared to a loss of $67.899 billion in 2022 and gains of $78.542 billion in 2021[48] - Net earnings attributable to Berkshire Hathaway shareholders surged to $96.223 billion in 2023, a substantial recovery from a loss of $22.759 billion in 2022[381] - Comprehensive income attributable to shareholders reached $97.512 billion in 2023, compared to a loss of $19.688 billion in 2022[381] Cash and Cash Equivalents - Cash and cash equivalents increased from $32.260 billion in 2022 to $33.672 billion in 2023[39] - The company's cash and cash equivalents include short-term investments in U.S. Treasury Bills with maturities exceeding three months and less than one year[52] - Cash and cash equivalents increased to $5.566 billion in December 2023 from $2.777 billion in December 2022, reflecting a significant liquidity improvement[381] Assets and Liabilities - Total assets increased from $948.465 billion in 2022 to $1.069.978 trillion in 2023[39] - Retained earnings rose from $511.127 billion in 2022 to $607.350 billion in 2023[47] - Unpaid losses and loss adjustment expenses increased from $107.472 billion in 2022 to $111.082 billion in 2023[47] - Consolidated claim liabilities as of December 31, 2023 were approximately $146 billion, with 76% related to GEICO and the Berkshire Hathaway Reinsurance Group[58] - Periodic payment annuities liabilities increased to $11,212 million in 2023 from $10,640 million in 2022[333] - Life and health liabilities decreased to $5,749 million in 2023 from $5,879 million in 2022[333] - The funded status at December 31, 2023 reflected in assets was $1,823 million and in liabilities was $1,211 million, compared to $1,510 million in assets and $1,656 million in liabilities at December 31, 2022[345] - The accumulated benefit obligation (ABO) was $12.3 billion at December 31, 2023, up from $12.2 billion at December 31, 2022[345] - Goodwill at year-end 2023 was $84,626 million, compared to $78,119 million in 2022 and $73,875 million in 2021[358] - The company's identifiable assets at year-end 2023 were $1,069,978 million, up from $948,465 million in 2022 and $959,388 million in 2021[358] - Assets acquired totaled $28.52 billion, with liabilities assumed at $14.155 billion, resulting in net assets of $14.365 billion[440] - Alleghany assets acquired amounted to $35.59 billion, with liabilities assumed at $24.085 billion, leading to net assets of $11.505 billion[440] Insurance Premiums and Revenues - Insurance premiums earned in 2023 were $83.403 billion, compared to $74.576 billion in 2022 and $69.460 billion in 2021[48] - Sales and service revenues in 2023 were $155.687 billion, slightly down from $157.518 billion in 2022 but up from $145.043 billion in 2021[48] - Freight rail transportation revenues in 2023 were $23.791 billion, down from $25.802 billion in 2022 but up from $23.177 billion in 2021[48] - Utility and energy operating revenues in 2023 surged to $72.693 billion, compared to $21.023 billion in 2022 and $18.891 billion in 2021[48] - Premiums Written for Property/Casualty in 2023 reached $61,990 million, a 9.3% increase from $56,700 million in 2022[359] - Assumed premiums for Property/Casualty in 2023 were $20,751 million, up 37% from $15,143 million in 2022[359] - Total premiums earned for Property/Casualty in 2023 were $78,331 million, a 13.9% increase from $68,770 million in 2022[359] - United States premiums for Property/Casualty in 2023 were $67,831 million, a 13.7% increase from $59,648 million in 2022[359] - Asia Pacific premiums for Property/Casualty in 2023 were $5,306 million, a 12.9% increase from $4,699 million in 2022[359] - Consolidated sales, service and leasing revenues were $164.1 billion in 2023, $165.0 billion in 2022, and $151.0 billion in 2021[373] - Sales, service and leasing revenues attributable to the United States were 85% in 2023, 86% in 2022, and 85% in 2021[373] - Railroad, utilities, and energy revenues were $101.4 billion in 2023, $52.1 billion in 2022, and $48.2 billion in 2021[373] - Railroad, utilities, and energy revenues attributable to the United States were 94% in 2023 and 96% in both 2022 and 2021[373] Debt and Financing - Berkshire repaid approximately $4.3 billion of maturing senior notes and issued ¥286.4 billion (approximately $2.05 billion) of senior notes in 2023[336] - BHE subsidiaries issued $4.2 billion of term debt in 2023 with a weighted average interest rate of 5.7% and maturity dates ranging from 2033 to 2055[337] - BHE subsidiaries issued $5.1 billion of term debt in 2024 with a weighted average interest rate of 5.4% and maturity dates ranging from 2029 to 2055[337] - Unused lines of credit and commercial paper capacity were approximately $9.4 billion at December 31, 2023, with $6.0 billion related to BHE and its subsidiaries[337] - Parent Company debt maturities over the next five years are as follows: 2024—$1.9 billion; 2025—$2.0 billion; 2026—$4.4 billion; 2027—$2.0 billion; and 2028—$1.4 billion[383] Taxes and Regulatory Changes - Net unrecognized tax benefits were $480 million at December 31, 2023, compared to $440 million at December 31, 2022[340] - The Inflation Reduction Act of 2022 introduced a 15% corporate alternative minimum income tax effective for tax years beginning after December 31, 2022[340] - The Pillar Two model rules introduce a new global minimum tax of 15% intended to be effective on January 1, 2024[340] - Income taxes paid increased to $5.630 billion in 2023 from $2.259 billion in 2022[383] Wildfire Losses and Legal Cases - PacifiCorp recorded estimated pre-tax probable Wildfire losses of $1.9 billion in 2023, up from $225 million in 2022[363] - Net Wildfire losses after expected insurance recoveries were $1.7 billion in 2023, compared to $64 million in 2022[363] - PacifiCorp paid $631 million in settlements in 2023 related to the 2020 Wildfires, up from $53 million in 2022[363] - Cumulative charges for estimated probable Wildfire losses through December 31, 2023, were $2.4 billion before expected insurance recoveries[363] - Plaintiffs in the James case seek damages approximating $8 billion, excluding potential doubling or trebling of damages[365] - HomeServices of America, Inc. faces potential damages of up to $5.4 billion in the Burnett antitrust case, excluding attorneys' fees and prejudgment interest[375] - The jury in the Burnett case awarded $1.8 billion in damages, which could be trebled under federal law[375] - HomeServices of America, Inc. is defending against eleven antitrust cases, with potential losses from the other ten cases currently unquantifiable[375] Acquisitions and Investments - The company acquired all outstanding common stock of Alleghany Corporation for $11.5 billion in October 2022[383] - The company acquired an additional 41.4% interest in Pilot Travel Centers, LLC (PTC) for approximately $8.2 billion, increasing its interest to 80%[439] - PTC's revenues and net earnings attributable to Berkshire shareholders for the eleven months ending December 31, 2023 were $51.7 billion and $603 million, respectively[439] - The company recognized a one-time, non-cash remeasurement gain of approximately $3.0 billion from the fair value adjustment of its previously held 38.6% investment in PTC[439] - The company acquired Pilot Corporation's noncontrolling interest in PTC for $2.6 billion, increasing its interest in PTC to 100%[439] - Goodwill from the PTC acquisition is expected to be deductible for income tax purposes[439] - Berkshire Hathaway Energy subsidiary acquired an additional 50% interest in Cove Point LNG for $3.3 billion, increasing economic interest from 25% to 75%[442] - The company invested $10 billion in non-voting Cumulative Perpetual Preferred Stock of Occidental Petroleum Corporation in 2019, with an aggregate liquidation value of approximately $8.5 billion as of December 31, 2023[454] - Occidental issued mandatory redemption notifications for approximately $1.5 billion of the aggregate liquidation value at a price of 110% of the liquidation value, plus accrued and unpaid dividends in 2023[454] - The company owned 151.6 million shares of American Express Company common stock, representing 21% of the outstanding common stock as of December 31, 2023[454] - The company owned 26.7% of Kraft Heinz outstanding common stock and 27.8% of Occidental common stock as of December 31, 2023[455] - Kraft Heinz reported net earnings attributable to common shareholders of $2.855 billion in 2023, up from $2.363 billion in 2022[465] - Occidental reported net earnings attributable to common shareholders of $4.471 billion for the twelve months ending September 30, 2023[466] Loans and Receivables - Loans and finance receivables before allowances and discounts were $26.289 billion as of December 31, 2023, with an allowance for credit losses of $950 million[469] - Performing loans increased to $5,716 million in 2023 from $4,368 million in 2022, a growth of 30.8%[471] - Non-performing loans decreased to 8 in 2023 from 11 in 2022, a reduction of 27.3%[471] - Commercial loan balances declined to $850 million in 2023 from $1.9 billion in 2022, a decrease of 55.3%[471] - Insurance premiums receivable increased to $19,052 million in 2023 from $18,395 million in 2022, a growth of 3.6%[472] - Trade receivables for railroad, utilities, and energy businesses rose to $6,034 million in 2023 from $4,182 million in 2022, an increase of 44.3%[472] - Aggregate provisions for credit losses were $513 million in 2023, up from $409 million in 2022, a rise of 25.4%[472] Inventory and Equipment - Raw materials inventory decreased to $6,026 million in 2023 from $6,381 million in 2022, a decline of 5.6%[473] - Railcars equipment held for lease increased to $10,031 million in 2023 from $9,612 million in 2022, a growth of 4.4%[475] - Customer relationships net carrying value for insurance and other businesses decreased to $20,404 million in 2023 from $20,591 million in 2022, a slight decline of 0.9%[476] - Trademarks and trade names net carrying value for railroad, utilities, and energy businesses surged to $3,494 million in 2023 from $178 million in 2022, a massive increase of 1863.5%[476] Other Comprehensive Income and Expenses - Foreign currency translation included in other comprehensive income was $749 million for 2023, compared to a loss of $2.05 billion in 2022[17] - Foreign currency translation gains were $782 million in 2023, compared to losses of $2.138 billion in 2022[42] - Long-duration insurance contract discount rate changes resulted in a loss of $237 million in 2023, compared to a gain of $7.177 billion in 2022[42] - Defined benefit pension plans contributed $578 million to other comprehensive income in 2023, compared to a loss of $253 million in 2022[42] - The company's defined contribution plan expense was approximately $1.1 billion in 2023, compared to $0.8 billion in 2022 and $1.0 billion in 2021[357] - The company's capital expenditures were $19,409 million in 2023, up from $15,464 million in 2022 and $13,276 million in 2021[358] Regulatory and Accounting Policies - Investments in fixed maturity securities are classified as available-for-sale and carried at fair value, with changes in fair value reported in earnings[53] - The aggregate market value of the voting stock held by non-affiliates as of June 30, 2023, was $625.5 billion[55] - The company's disclosure controls and procedures were deemed effective as of December 31, 2023[377] - Net cash flows from operating activities were $7.611 billion in 2023, slightly lower than $8.462 billion in 2022[383] - Income tax expense (benefit) for the three years ending December 31, 2023, with amounts in millions[408] - Non-performing loans are identified when the foreclosure process starts, with interest income recognition paused until foreclosure is cured or the loan is modified[410] - Property, plant, and equipment impairment evaluation based on estimated undiscounted cash flows and residual value, with impairment losses recorded if carrying value exceeds recoverable amounts[412] - Goodwill impairment evaluation at least annually, with impairment losses recorded if the carrying amount of a reporting unit exceeds its estimated fair value[413] - Regulatory assets and liabilities amortization into operating expenses and revenues over future periods, with assessments for probable future inclusion in regulatory rates[423] - Life, annuity, and health insurance benefits balance increased from $21,616 million at December 31, 2020, to $28,836 million

FORM 8-K DELAWARE 47-0813844 (STATE OR OTHER JURISDICTION (I.R.S. EMPLOYER OF INCORPORATION) IDENTIFICATION NO.) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below): ☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) ☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) ☐ Pre-commenc ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-14905 BERKSHIRE HATHAWAY INC. (Exact name of registrant as specified in its charter) Delaware 47-0813844 (State or other jur ...

| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |-------|----------------|-------|-------|----------------|-------|-----------|-------|-------|------------------------|---------------|------------------|-------|---------|--------------------------|------------|--------------------| | | | | | | | | $ | | Second 2023 \n33,061 | Quarter \n $ | 2022 \n(66,854 | ) $ | 2023 \n | First Six \n67,819 | Months \n$ | 2022 \n(68,589 ) | | | (losses) | | | | | | | ...

| --- | --- | --- | --- | --- | |---------------------------------------------------------|-------|--------------------------------|-------|---------------------| | | | March 31, 2023 \n(Unaudited) | | December 31, 2022 | | ASSETS | | | | | | Insurance and Other: | | | | | | Cash and cash equivalents* | $ | 23,805 | $ | 32,260 | | Short-term investments in U.S. Treasury Bills | | 103,869 | | 92,774 | | Investments in fixed maturity securities | | 22,566 | | 25,128 | | Investments in equity securities | | 32 ...

Earnings Performance - After-tax earnings of BNSF railroad were relatively unchanged in 2022 compared to 2021, with a 16.1% increase in 2021 versus 2020 [158]. - After-tax earnings from utilities and energy business increased by 9.3% in 2022 compared to 2021, and 13.7% in 2021 versus 2020 [158]. - Earnings from manufacturing, service, and retailing businesses rose by 12.5% in 2022 compared to 2021, and 34.0% in 2021 versus 2020 [158]. - Net earnings attributable to Berkshire Hathaway shareholders for 2022 were a loss of $24.107 billion, compared to a profit of $90.728 billion in 2021 [579]. - The company incurred losses of $56.791 billion in 2022, compared to $48.983 billion in 2021, reflecting an increase of approximately 16% [619]. Insurance Operations - Unpaid loss estimates for insurance liabilities were approximately $143 billion as of December 31, 2022, up from $125 billion in 2021 [159]. - Pre-tax underwriting earnings for insurance operations were $393 million in 2022, down from $607 million in 2021 [165]. - Losses and loss adjustment expenses for insurance were $9.889 billion in 2022, representing 71.9% of premiums earned [165]. - The net unpaid losses and ALAE for accident years from 2013 to 2022 total $16,082 million [679]. - The incurred losses for private passenger auto insurance increased significantly in 2022 due to higher claims frequencies and severities [670]. Revenue Growth - Total revenues for 2022 were $311.184 billion, an increase from $287.450 billion in 2021, representing an increase of 8.0% [579]. - Total revenues for 2022 reached $302,089 million, up from $276,203 million in 2021, representing a growth of approximately 9.4% [665]. - Railroad, utilities, and energy revenue increased to $6,181 million in 2022 from $5,990 million in 2021, a growth of 3.2% [633]. - The company’s total manufactured products revenue for 2022 was $207,771 million, compared to $191,252 million in 2021, indicating a growth of approximately 8.6% [665]. - The company reported $24,765 million in industrial and commercial products revenue for 2022, an increase from $22,343 million in 2021 [665]. Investment Activities - Berkshire Hathaway acquired Alleghany Corporation for approximately $11.5 billion on October 19, 2022 [578]. - The fair value of investments in fixed maturity securities as of December 31, 2022, was $25.128 billion, with a cost basis of $25.173 billion [598]. - Berkshire Hathaway's investment in fixed maturity securities included $10.039 billion in U.S. Treasury and government agencies as of December 31, 2022 [598]. - The investment in Occidental preferred stock has an aggregate liquidation value of $10 billion, with an 8% annual dividend [623]. - Proceeds from sales of equity securities were approximately $33.7 billion in 2022, compared to $15.8 billion in 2021 [627]. Asset and Liability Management - The total assets of Berkshire Hathaway as of September 30, 2022, were $72.144 billion, with liabilities of $43.424 billion [585]. - The net liabilities from unpaid losses and loss adjustment expenses increased to $102.447 billion as of December 31, 2022, from $83.704 billion in 2021 [619]. - Cash paid for income taxes in 2022 was $4.236 billion, down from $5.412 billion in 2021 [618]. - The balance of loans and finance receivables at December 31, 2022, was $856 million, up from $765 million in 2021 [628]. - The total lease payments for operating leases amounted to $5.651 billion as of December 31, 2022, with lease liabilities at $4.939 billion [616]. Goodwill and Intangible Assets - Goodwill and indefinite-lived intangible asset impairment charges were $157 million in 2022, down from $259 million in 2021 [158]. - Goodwill impairments totaled $11.0 billion as of December 31, 2022, remaining unchanged from 2021 [669]. - Goodwill and other intangible assets rose from $6,748 million in 2021 to $7,010 million in 2022 [685]. - Intangible asset amortization expense was $1,233 million in 2022, slightly down from $1,252 million in 2021 [638]. - Estimated amortization expense for intangible assets over the next five years is projected to be $1,253 million in 2023, decreasing to $877 million in 2027 [638]. Taxation - Net deferred income tax liability decreased from $89,679 million in 2021 to $76,069 million in 2022 [685]. - Net unrecognized tax benefits were $440 million at December 31, 2022, down from $1,046 million in 2021 [687]. - The company has $383 million of tax positions that could impact the effective tax rate if recognized [687]. - The company anticipates no material increases in unrecognized tax benefits during 2023 [687]. - The company has settled income tax liabilities with the IRS for tax years through 2011, with ongoing audits for subsequent years [687].

Financial Performance - Net earnings attributable to Berkshire Hathaway shareholders decreased to $(2.688) billion in Q3 2022 from $10.344 billion in Q3 2021, and $(40.983) billion in the first nine months of 2022 compared to $50.149 billion in the same period of 2021[110]. - Net earnings for the third quarter of 2022 were $1.442 billion, compared to $1.538 billion in Q3 2021[135]. - Consolidated shareholders' equity attributable to Berkshire shareholders was $455.4 billion as of September 30, 2022, a decrease of $50.8 billion since December 31, 2021[171]. - Net loss attributable to Berkshire shareholders for the first nine months of 2022 was $41.0 billion, including after-tax losses on investments of $64.9 billion[171]. Insurance Operations - After-tax insurance underwriting earnings decreased by $178 million in Q3 2022 and $690 million in the first nine months of 2022 compared to 2021, with significant catastrophe losses of approximately $2.7 billion from Hurricane Ian in 2022[110][112]. - GEICO's pre-tax underwriting losses were $(759) million in Q3 2022 and $(1.424) billion in the first nine months of 2022, reflecting increased claims severities and a 4.6% decline in voluntary auto policies-in-force[113][115]. - Losses and loss adjustment expenses for GEICO increased by $1.0 billion (12.1%) in Q3 2022 and $4.6 billion (20.4%) in the first nine months of 2022 compared to 2021, with a loss ratio of 97.0% in Q3 2022[115]. - Berkshire acquired Alleghany Corporation on October 19, 2022, which will be included in the insurance results from the acquisition date[112]. Investment Income - After-tax earnings from insurance investment income increased by $247 million in Q3 2022 and $896 million in the first nine months of 2022 compared to 2021, driven by higher dividend income and interest rates[110]. - Pre-tax net investment income rose by 25.5% in Q3 2022 and 26.6% in the first nine months of 2022 compared to 2021[131]. - Dividend income increased by 7.1% in Q3 2022 and 21.0% in the first nine months of 2022 compared to the same periods in 2021[131]. - Interest and other investment income surged by 181.6% in Q3 2022 and 72.3% in the first nine months of 2022 compared to 2021, primarily due to rising short-term interest rates[131]. Revenue and Earnings by Segment - BNSF railroad after-tax earnings declined by 6.2% in Q3 2022 but increased by 4.0% in the first nine months of 2022 compared to 2021, reflecting higher revenue per car/unit and increased operating costs[110]. - Utilities and energy business after-tax earnings increased by 5.9% in Q3 2022 and 5.5% in the first nine months of 2022 compared to 2021, attributed to higher earnings from tax equity investments and natural gas pipeline operations[110]. - Manufacturing, service, and retailing businesses saw a 20.0% increase in after-tax earnings in Q3 2022 and a 14.3% increase in the first nine months of 2022 compared to 2021, despite rising input costs[110]. - Energy operating revenue for BHE was $6.095 billion in Q3 2022, an increase from $5.225 billion in Q3 2021[141]. Premiums and Underwriting - Premiums written increased by $389 million (11.1%) in Q3 2022 and $1.4 billion (15.3%) in the first nine months compared to 2021, driven by increases at BH Specialty (20%), USLI (17%), and BHHC (15%)[116]. - The loss ratio for BH Primary was 81.1% in Q3 2022 and 74.0% for the first nine months, reflecting an increase of 5.5 percentage points and 1.8 percentage points, respectively, compared to 2021[118]. - Catastrophe event losses amounted to approximately $660 million in Q3 2022 and $740 million in the first nine months, compared to $260 million and $420 million in the same periods of 2021[118]. - Underwriting expenses rose by $194 million (26.0%) in Q3 2022 and $541 million (27.3%) in the first nine months compared to 2021, with the expense ratio increasing by 1.8 percentage points in Q3 and 1.9 percentage points year-to-date[118]. Cash and Capital Management - Cash, cash equivalents, and U.S. Treasury Bills totaled $59.7 billion as of September 30, 2022, down from $90.7 billion at December 31, 2021[134]. - Cash, cash equivalents, and U.S. Treasury Bills held by insurance and other businesses totaled $105.2 billion, including $77.9 billion in U.S. Treasury Bills[171]. - Berkshire repurchased $5.2 billion of its Class A and B common stock in the first nine months of 2022[171]. - Outstanding borrowings at Berkshire parent company were $19.2 billion as of September 30, 2022, a decrease of $2.2 billion since December 31, 2021[173]. Market Conditions and Economic Impact - The company does not expect a material impact from the Inflation Reduction Act of 2022 on its consolidated financial statements[173]. - Effective income tax rate for the third quarter of 2022 was 23.5%, compared to 24.2% in Q3 2021[135]. - Effective income tax rate was 20.9% in Q3 2022 compared to 20.7% in Q3 2021[165]. Miscellaneous - The financial information for the quarter ended September 30, 2022, includes consolidated balance sheets and statements of earnings, cash flows, and changes in shareholders' equity[188]. - The report was signed by Marc D. Hamburg, Senior Vice President and Principal Financial Officer, on November 5, 2022[190].

Part I – Financial Information [Financial Statements](index=2&type=section&id=Item%201.%20Financial%20Statements) The company's financial statements reflect a significant net loss driven by unrealized losses in the equity portfolio [Consolidated Balance Sheets](index=3&type=section&id=Consolidated%20Balance%20Sheets) Total assets and shareholders' equity decreased, primarily driven by a reduction in the fair value of equity securities | Balance Sheet Items | June 30, 2022 (Unaudited) | December 31, 2021 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $30,608 million | $88,184 million | | Investments in equity securities | $327,662 million | $350,719 million | | Total Assets | $909,860 million | $958,784 million | | **Liabilities & Equity** | | | | Total Liabilities | $440,207 million | $443,854 million | | Total Shareholders' Equity | $469,653 million | $514,930 million | [Consolidated Statements of Earnings](index=5&type=section&id=Consolidated%20Statements%20of%20Earnings) The company reported a substantial net loss due to investment and derivative losses, despite growth in total revenues | (in millions, except per share) | Q2 2022 | Q2 2021 | First Six Months 2022 | First Six Months 2021 | | :--- | :--- | :--- | :--- | :--- | | Total Revenues | $76,180 | $69,114 | $146,990 | $133,713 | | Investment/Derivative Gains (Losses) | $(66,919) | $27,394 | $(68,897) | $33,094 | | Net Earnings (Loss) Attributable to BRK | $(43,755) | $28,094 | $(38,295) | $39,805 | | Net Earnings (Loss) per Class A Share | $(29,754) | $18,488 | $(26,005) | $26,078 | [Consolidated Statements of Cash Flows](index=7&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Operating cash flow decreased while investing activities saw a large outflow due to net equity security purchases | (in millions) | First Six Months 2022 | First Six Months 2021 | | :--- | :--- | :--- | | Net cash flows from operating activities | $15,361 | $19,559 | | Net cash flows from investing activities | $(74,173) | $(11,433) | | Net cash flows from financing activities | $1,607 | $(13,578) | | **Increase (decrease) in cash** | **$(57,482)** | **$(5,564)** | - Significant investing activities in the first six months of 2022 included **$57.3 billion in purchases** of equity securities, partially offset by $12.0 billion in sales[20](index=20&type=chunk) - The company acquired **$4.2 billion** of its own treasury stock in the first half of 2022, compared to $12.6 billion in the same period of 2021[20](index=20&type=chunk) [Notes to Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) Notes detail the high concentration in the equity portfolio and significant acquisition and repurchase activities - Approximately **73% of the aggregate fair value** of the equity securities portfolio was concentrated in four companies as of June 30, 2022[29](index=29&type=chunk) - During the first six months of 2022, Berkshire acquired approximately **17% of the outstanding common stock of Occidental Petroleum**, with a fair value of $9.3 billion as of June 30, 2022[31](index=31&type=chunk) - Berkshire entered into an agreement to acquire Alleghany Corporation for approximately **$11.6 billion in cash**, with the transaction expected to close in the fourth quarter of 2022[74](index=74&type=chunk) - The company's common stock repurchase program allows for repurchases when the price is below intrinsic value, provided that consolidated cash holdings do not fall below **$30 billion**[69](index=69&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=25&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management highlights strong operating earnings from diverse businesses despite the reported net loss from investments - Management emphasizes that investment and derivative gains/losses, which are the primary cause of the reported net loss, are **'generally meaningless in understanding our reported quarterly or annual results'**[85](index=85&type=chunk) - The company's financial condition remains strong, with insurance and other businesses holding **$101.3 billion in cash**, cash equivalents, and U.S. Treasury Bills at June 30, 2022[155](index=155&type=chunk) - In the first six months of 2022, Berkshire paid **$4.2 billion** to repurchase its Class A and B common stock[155](index=155&type=chunk) | After-Tax Earnings by Segment (in millions) | Q2 2022 | Q2 2021 | First Six Months 2022 | First Six Months 2021 | | :--- | :--- | :--- | :--- | :--- | | Insurance – underwriting | $581 | $376 | $628 | $1,140 | | Insurance – investment income | $1,906 | $1,219 | $3,076 | $2,427 | | Railroad | $1,664 | $1,516 | $3,035 | $2,767 | | Utilities and energy | $766 | $740 | $1,516 | $1,443 | | Manufacturing, service and retailing | $3,249 | $3,004 | $6,274 | $5,623 | | Investment and derivative gains (losses) | $(53,038) | $21,408 | $(54,618) | $26,101 | | **Net Earnings (Loss)** | **$(43,755)** | **$28,094** | **$(38,295)** | **$39,805** | [Insurance—Underwriting](index=26&type=section&id=Insurance%E2%80%94Underwriting) Underwriting results were mixed, with a significant loss at GEICO offset by improved reinsurance earnings | Pre-tax Underwriting Earnings (Loss) (in millions) | Q2 2022 | Q2 2021 | First Six Months 2022 | First Six Months 2021 | | :--- | :--- | :--- | :--- | :--- | | GEICO | $(487) | $626 | $(665) | $1,649 | | Berkshire Hathaway Primary Group | $242 | $166 | $334 | $372 | | Berkshire Hathaway Reinsurance Group | $967 | $(327) | $1,123 | $(590) | | **Total** | **$722** | **$465** | **$792** | **$1,431** | - GEICO's underwriting loss was driven by **increased claims severities** from significant cost inflation in automobile markets[92](index=92&type=chunk) - BHRG's property/casualty underwriting expenses included **foreign currency exchange gains of $308 million in Q2** and $389 million in H1 2022, significantly boosting results[102](index=102&type=chunk) - BHRG's life/health reinsurance results improved as 2021 results were negatively affected by **significant, pandemic-related increases in mortality**[105](index=105&type=chunk) [Insurance—Investment Income](index=30&type=section&id=Insurance%E2%80%94Investment%20Income) Net investment income grew significantly, driven by higher dividend income and rising short-term interest rates | (in millions) | Q2 2022 | Q2 2021 | First Six Months 2022 | First Six Months 2021 | | :--- | :--- | :--- | :--- | :--- | | Dividend income | $2,055 | $1,298 | $3,252 | $2,551 | | Interest and other | $228 | $158 | $392 | $317 | | **Pre-tax net investment income** | **$2,283** | **$1,456** | **$3,644** | **$2,868** | - The increase in dividend income was due to an **overall increase in equity security investments** during the first half of 2022[111](index=111&type=chunk) - The increase in interest income was primarily due to **increases in short-term interest rates**[111](index=111&type=chunk) - The float of the insurance businesses was approximately **$147 billion** at both June 30, 2022, and December 31, 2021[113](index=113&type=chunk) [Railroad (BNSF)](index=31&type=section&id=Railroad) BNSF's net earnings grew due to higher revenue per car, which offset a decline in total freight volumes | BNSF Performance (in millions) | Q2 2022 | Q2 2021 | First Six Months 2022 | First Six Months 2021 | | :--- | :--- | :--- | :--- | :--- | | Railroad operating revenues | $6,640 | $5,609 | $12,231 | $10,830 | | Railroad operating earnings | $2,564 | $2,220 | $4,421 | $4,115 | | Net earnings | $1,664 | $1,516 | $3,035 | $2,767 | - Revenue growth was primarily due to a **17.9% year-to-date increase in average revenue per car/unit**, driven by higher fuel surcharge revenue[119](index=119&type=chunk) - Total freight volumes **decreased by 4.5%** in the first six months of 2022, with consumer products volumes seeing the largest decline[118](index=118&type=chunk)[119](index=119&type=chunk) - Fuel expenses **increased by 71.9%** in the first six months of 2022 due to higher fuel prices[119](index=119&type=chunk) [Utilities and Energy (BHE)](index=33&type=section&id=Utilities%20and%20Energy) BHE's net earnings increased slightly, with growth in some segments offsetting declines in others like PacifiCorp | BHE Net Earnings Attributable to BHE (in millions) | Q2 2022 | Q2 2021 | First Six Months 2022 | First Six Months 2021 | | :--- | :--- | :--- | :--- | :--- | | PacifiCorp | $83 | $226 | $213 | $395 | | MidAmerican Energy Company | $204 | $211 | $445 | $355 | | Natural gas pipelines | $188 | $100 | $497 | $483 | | Real estate brokerage | $84 | $135 | $105 | $219 | | **Total BHE Net Earnings** | **$865** | **$849** | **$1,715** | **$1,658** | - PacifiCorp's earnings **decreased significantly**, reflecting higher operating expenses related to wildfires and plant maintenance, and lower production tax credits[125](index=125&type=chunk) - Real estate brokerage earnings **decreased sharply** due to lower mortgage volumes, reduced refinancing activity, and a decrease in closed units[125](index=125&type=chunk) [Manufacturing, Service and Retailing](index=35&type=section&id=Manufacturing%2C%20Service%20and%20Retailing) This diverse group reported increased pre-tax earnings, led by strong performance in the Building Products segment | Pre-tax Earnings (in millions) | Q2 2022 | Q2 2021 | First Six Months 2022 | First Six Months 2021 | | :--- | :--- | :--- | :--- | :--- | | Manufacturing | $3,028 | $2,714 | $5,852 | $5,150 | | Service and retailing | $1,275 | $1,270 | $2,492 | $2,311 | | **Total** | **$4,303** | **$3,984** | **$8,344** | **$7,461** | - The Building Products group's pre-tax earnings **increased 40.6%** in the first six months, driven by strong residential construction[136](index=136&type=chunk) - The Consumer Products group's pre-tax earnings **declined 10.6%** in the first six months, as apparel businesses were negatively impacted by lower sales volumes and higher input costs[138](index=138&type=chunk) - McLane's foodservice and grocery distribution business saw revenues increase but **earnings decline** due to higher costs and supply chain constraints[147](index=147&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=43&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company reports no material changes in market risks from those described in its 2021 Annual Report - There were **no material changes** in the market risks described in Berkshire's Annual Report on Form 10-K for the year ended December 31, 2021[164](index=164&type=chunk) [Controls and Procedures](index=43&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective with no significant changes noted - Based on an evaluation, the CEO and CFO concluded that the Company's disclosure controls and procedures are **effective**[165](index=165&type=chunk) - **No significant changes** in the Company's internal control over financial reporting occurred during the quarter[165](index=165&type=chunk) Part II – Other Information [Legal Proceedings](index=43&type=section&id=Item%201.%20Legal%20Proceedings) The company does not expect pending legal actions from normal business operations to have a material financial effect - The company states its belief that pending legal actions arising from the normal course of business **will not have a material effect** on its financial condition or operations[166](index=166&type=chunk) [Risk Factors](index=43&type=section&id=Item%201A.%20Risk%20Factors) The report references the significant business risks previously described in the annual Form 10-K filing - The report references the risk factors disclosed in the **Form 10-K for the year ended December 31, 2021**, without adding new ones[167](index=167&type=chunk) [Issuer Repurchases of Equity Securities](index=44&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds%20and%20Issuer%20Repurchases%20of%20Equity%20Securities) The company repurchased both Class A and Class B common stock during the second quarter of 2022 | Period (2022) | Class | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | :--- | | April | A & B | 0 | N/A | | May | A & B | 0 | N/A | | June | A | 2,397 | $425,870.54 | | June | B | 25,462 | $276.75 | - The repurchase program does not specify a maximum number of shares and has no expiration date, but repurchases will not be made if they reduce consolidated cash holdings **below $30 billion**[170](index=170&type=chunk) [Exhibits](index=45&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed with the Form 10-Q, including certifications and iXBRL data - The exhibits filed include certifications under Rule 13a-14(a)/15d-14(a) and Section 1350, as well as Mine Safety Disclosures and iXBRL data files[172](index=172&type=chunk)[173](index=173&type=chunk)[176](index=176&type=chunk)

FORM 10-Q UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-14905 BERKSHIRE HATHAWAY INC. (Exact name of registrant as specified in its charter) Delaware 47-0813844 (State or other jurisdi ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-14905 BERKSHIRE HATHAWAY INC. (Exact name of Registrant as specified in its charter) Delaware 47-0813844 State or other jurisdiction of incorpor ...