Warren Buffett’s Berkshire Hathaway released its fourth-quarter earnings on Saturday, revealing a rare net loss that was battered by its Kraft Heinz holdings.
Continue Reading Below
Although operating profits climbed to $5.72 billion from $3.34 billion, the sprawling conglomerate suffered a $3.02 billion writedown that Buffett said was “almost entirely attributable” to its significant stake in Kraft Heinz. Berkshire owns 35 million shares of Kraft Heinz, making it one of the Omaha, Nebraska-based company’s biggest holdings.
| Ticker | Security | Last | Change | %Chg |
|---|---|---|---|---|
| BRK.A | BERKSHIRE HATHAWAY INC. | 302,000.00 | -5,925.00 | -1.92% |
The report follows a disclosure by Kraft Heinz on Thursday of a Securities and Exchange Commission investigation into the food and beverage retailer’s accounting policies. On Friday, the brand’s stock ended at the lowest level in history.
Kraft Heinz dragged on Berkshire, causing it to post a rare share loss of more than $15,000.
MORE FROM FOXBUSINESS.COM…
Advertisement
Buffett also released his widely anticipated annual letter to Berkshire shareholders in which he generally offers insight into general operations at Berkshire; general wisdom and business advice; and stock purchases he made over the year.
This year, Buffett — as expected — did not make any significant purchases. The reason? Prices are too high.
“That disappointing reality means that 2019 will likely see us again expanding our holdings of marketable equities,” he wrote. “We continue, nevertheless, to hope for an elephant-sized acquisition.”
This is a developing post. Check back for more.
