Berkshire Hathaway Reports Record Profits as Warren Buffett Urges Wise Spending
On Saturday, Berkshire Hathaway announced record annual profits, with Chairman and CEO Warren Buffett cautioning Washington to spend money wisely and remember those less fortunate in his annual letter to shareholders.
Buffett highlighted that Berkshire Hathaway had paid a substantial amount in corporate income tax, surpassing even the tech giants in the US market. The 94-year-old billionaire emphasized the importance of prudent spending by the government and maintaining a stable currency.
In his letter, Buffett revealed that Berkshire Hathaway paid $26.8 billion in taxes last year, emphasizing the message of responsible fiscal management. CFRA Research analyst Cathy Seifert praised the subtle yet powerful message conveyed by Buffett.
Buffett also reflected on the success of Berkshire Hathaway over the past 60 years since he took over the struggling New England textile company and transformed it into a conglomerate. The company’s growth and financial stability have been remarkable under his leadership.
Furthermore, Berkshire Hathaway currently holds a cash reserve of $334.2 billion, having divested its holdings in Apple and Bank of America. The company’s fourth-quarter profit stood at $19.69 billion, demonstrating a strong performance despite market challenges.
Operating earnings for the quarter reached $14.5 billion, exceeding analysts’ expectations and showcasing a 70% increase from the previous year. Buffett’s strategic decisions and long-term vision have contributed to Berkshire Hathaway’s continued success in the market.
