Berkshire Hathaway more than doubles buybacks in third quarter as earnings decline

Greg Abel, CEO of Berkshire Hathaway, spoke at the Berkshire Hathaway Annual Shareholders Meeting in Omaha, NE on May 2, 2026.

In a recent update, Berkshire Hathaway disclosed that the conglomerate has accelerated its share repurchase program during the third quarter, as operating and overall profits came under pressure.

The leadership-led company initiated a $9.6 billion repurchase of its own stock, exceeding double the $4.5 billion returned in the second quarter. This effort has brought the total buybacks for 2026 to approximately $14.4 billion.

This decision was driven by falling operating earnings from wholly-owned businesses, with year-over-year declines seen in profit generation.

Berkshire Hathaway reported operating profits of $12.705 billion, a 5.8% decrease from $13.485 billion in the prior year. Insurance underwriting contracted 43% to $1.352 billion, while investment income fell 14% to $2.734 billion. Meanwhile, the railroad, energy, and manufacturing units all posted revenue growth.

The firm’s total corporate earnings, which also include its extensive stock market portfolio, dropped 28% in the third quarter to $22.112 billion from $30.796 billion a year earlier. Investment gains plummeted nearly 50% to $9.407 billion.

Despite the earnings headwind, Berkshire’s shares have gained momentum recently amid a broad outflow from technology sectors. Class A shares rose over 12% in the past month, while the S&P 500 declined 5.5% in the same period. Year-to-date, Berkshire has outperformed the market with a 13% gain versus a 7.8% index rise.

The conglomerate’s five largest equity holdings remained stable in the third quarter: Alphabet, American Express, Apple, Bank of America, and Coca-Cola.

Berkshire’s cash reserves grew 3% quarter-over-quarter to $377.435 billion from $365.514 billion in the second quarter. However, after accounting for rail, utility cash, and T-bill payables, total cash held decreased 1.9% to $352.3 billion.

— CNBC’s Alex Crippen contributed reporting.

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