Core Insights - Berkshire Hathaway's fourth-quarter 2025 operating earnings per share decreased by 27.7% year over year, missing the Zacks Consensus Estimate by 8.9% [1] - Operating earnings totaled $19.2 billion, reflecting a year-over-year increase of 2.5%, while operating revenues decreased by 0.7% to $94.2 billion, also missing consensus estimates by 8.4% [1] Full-Year Highlights - For the full year, revenues rose slightly to $371.4 billion, driven by higher revenues in Insurance and Other, as well as Railroad, Utilities, and Energy [2] - Costs and expenses increased by 0.9% year over year to $79.1 billion, primarily due to higher insurance losses, life and health insurance benefits, and increased selling, general, and administrative expenses [2] Segment Performance - The Insurance and Other segment's operating earnings declined by 12.9% year over year to $19.8 billion, attributed to lower earnings across various groups [3] Railroad, Utilities, and Energy - Pre-tax earnings in the Railroad, Utilities, and Energy segment increased by 7.9% to $9.4 billion, supported by improved earnings at BHE and BNSF [4] - BHE benefited from lower wildfire loss accruals and reduced litigation accruals, while BNSF saw lower operating expenses due to enhanced efficiencies [4] Manufacturing, Service, and Retailing - Earnings from Manufacturing, Service, and Retailing businesses rose by 4.4% year over year to $13.6 billion, driven by higher earnings in manufacturing and services, despite lower earnings in retailing [5] Financial Position - As of December 31, 2025, consolidated shareholders' equity was $719.7 billion, up 10.4% from the previous year, with cash and cash equivalents at $51.9 billion, an increase of 8.7% [6] - The company ended 2025 with a float of approximately $176 billion, up from $171 billion at the end of 2024, and cash flow from operating activities totaled $46 billion in the first nine months of 2025, up 50.3% year over year [6]
Berkshire Hathaway Q4 Earnings, Revenues Miss Estimates, Fall Y/Y