Underwriting Earnings - Pre-tax underwriting earnings for GEICO reached $1,928 million in Q1 2024, a significant increase from $703 million in Q1 2023, representing a growth of 174%[4] - Berkshire Hathaway Primary Group reported pre-tax underwriting earnings of $486 million in Q1 2024, up from $268 million in Q1 2023, marking an increase of 81%[4] - Berkshire Hathaway Reinsurance Group's pre-tax underwriting earnings rose to $912 million in Q1 2024, compared to $231 million in Q1 2023, reflecting a growth of 295%[4] - Total pre-tax underwriting earnings for the company amounted to $3,326 million in Q1 2024, compared to $1,202 million in Q1 2023, indicating an increase of 176%[4] Tax Rates and Payments - The effective income tax rate decreased to 21.9% in Q1 2024 from 24.3% in Q1 2023[4] - The consolidated effective income tax rate for the company was 18.3% in Q1 2024, down from 20.1% in Q1 2023[5] - Cash paid for income taxes in Q1 2024 was $339 million, compared to $312 million in Q1 2023[8] Legal and Wildfire Liabilities - As of March 31, 2024, the total amount sought in legal complaints related to the 2020 and 2022 wildfires approximated $7 billion[9] - PacifiCorp recorded cumulative estimated pre-tax probable Wildfire losses of approximately $2.4 billion, with $700 million paid in settlements, leaving an unpaid estimated liability of approximately $1.7 billion as of March 31, 2024[12] - The company reported liabilities assumed in connection with business acquisitions of $6 million in Q1 2024, significantly lower than $10,747 million in Q1 2023[8] Revenue and Earnings - Total revenue for the three months ending March 31, 2024, was $89.869 billion, an increase from $85.393 billion in the same period last year, representing a growth of approximately 5.8%[15] - Total earnings before income taxes for operating businesses in Q1 2024 were $12,486 million, up from $9,540 million in Q1 2023, marking a 30.6% increase[35] - Net earnings for Q1 2024 were reported at $12,832 million, a decrease from $35,757 million in Q1 2023, primarily due to investment losses[46] Investment Performance - Investment income rose to $3,164 million in Q1 2024 from $2,392 million in Q1 2023, reflecting a 32.2% increase[35] - The company reported investment losses of $1,876 million in Q1 2024, a significant decrease from gains of $34,758 million in Q1 2023[46] - The fair value of equity securities as of March 31, 2024, was $335,864 million, with unrealized gains of $232,111 million[67] Shareholder Equity and Stock - The balance of Class A common stock outstanding decreased to 563,143 shares as of March 31, 2024, from 567,775 shares at the end of 2023[24] - The repurchase program allows for share buybacks when the price is below intrinsic value, with no specified maximum number of shares to be repurchased[26] - Net earnings per average equivalent Class A share for Q1 2024 were $8.825, down 63.8% from $24.377 in Q1 2023[82] Insurance Premiums and Loss Ratios - Insurance premiums earned increased to $21.474 billion in Q1 2024, compared to $19.796 billion in Q1 2023, reflecting an 8.5% growth[82] - GEICO's loss ratio improved to 72.5% in Q1 2024, a decrease of 10.5 percentage points from 2023, reflecting lower claims frequencies[139] - Berkshire Hathaway Primary Group's premiums written rose to $4,493 million in Q1 2024, up 8.1% from $4,158 million in Q1 2023[141] Operating Revenues and Expenses - Total costs and expenses for Q1 2024 were $76.532 billion, slightly up from $76.087 billion in Q1 2023[82] - Railroad operating revenues decreased by 4.1% to $5,644 million in Q1 2024 from $5,888 million in Q1 2023, attributed to lower revenue per car/unit despite a volume increase of 6.6%[169] - Operating revenues from consumer products rose to $2.0 billion in Q1 2024, a 5.5% increase from 2023, driven by a 19.3% increase in volumes[169] Acquisitions and Investments - The acquisition of Pilot Travel Centers increased Berkshire's ownership to 100% for $2.6 billion, following a previous acquisition of 41.4% for approximately $8.2 billion[89] - Berkshire Hathaway's investments in Occidental preferred stock had an aggregate liquidation value of approximately $8.5 billion as of March 31, 2024[68] - The company recorded a charge of $127 million to retained earnings due to the adoption of the proportional amortization method for tax equity investments[63]
Berkshire Hathaway(BRK_B) - 2024 Q1 - Quarterly Report