Berkshire Operating Earnings Jump on Insurance Strength
- Firm posts $10.04 billion in second-quarter operating profit
- Boost comes after Buffett warned of declines at units in May
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Warren Buffett’s Berkshire Hathaway Inc. posted gains in operating profit as strength in its insurance businesses helped counter inflationary pressures that have weighed on the sprawling conglomerate in the last year.
The firm reported $10.04 billion of operating profit for the second quarter, surpassing its $9.28 billion haul from the same period last year. The results were largely driven by a 74% increase in insurance underwriting earnings to $1.25 billion, as it trimmed expenses at auto insurer Geico and benefited from its acquisition of underwriter Alleghany Corp.