Daily Management Review

Buffett's company reports $2.7B loss


Berkshire Hathaway, owned by billionaire Warren Buffett, revealed losses of $2.69 billion, which they attributed to issues with their supply chain and other uncontrollable circumstances including the COVID-19 epidemic and the Ukraine war.

According to Reuters' report on the financial statements for the third quarter of 2022, investment company Berkshire Hathaway, which is led by billionaire Warren Buffett, revealed losses of $ 2.69 billion.

According to the report, businesses in Berkshire Hathaway's portfolio continue to experience "major problems" as a result of supply chain disruptions and other uncontrollable circumstances, such as the coronavirus epidemic and the Russian invasion in Ukraine.

Additionally, Berkshire said that the performance of two of its most well-known companies, the American railroad BNSF and the auto insurance provider Geico, had been negatively impacted by rising fuel prices and accidents.

CFRA Research notes that Buffett's company is at an "inflection point" and will need to cut spending in the future to get ready for sluggish demand and a potential recession. It was a strong quarter, but the company's trajectory over the following 12 months should worry you, she added.

source: reuters.com