Berkshire Hathaway, a subsidiary of “stock god” Buffett, released its financial report for the second quarter of 2021 on August 7.
At the time of the financial report, Berkshire Hathaway’s shares had wiped out all the declines in 2020 and reached an all-time high. The company’s class B shares rose 2.7% in August and have risen more than 23% this year.
Among them, the after tax income of railway business increased by 34% in the second quarter, becoming the biggest bright spot. As the largest investment in Buffett’s history, it acquired BNSF (Burlington Northern Santa Fe, or BNSF for short) with us $44 billion in 2009. Today, the company estimates that it has exceeded $160 billion.
Obviously, with the increasing fiscal stimulus in the United States, more and more goods and goods are transported to all parts of the United States, economic activities continue to recover from the pandemic, and railway companies benefit significantly. However, in terms of insurance underwriting business, the operating profit was only US $376 million, a year-on-year decrease of 53.3%. This shows that Berkshire Hathaway’s financial business revenue has continued to decline in recent years.
At present, Berkshire Hathaway still holds $144.1 billion in cash (about 934.1 billion yuan), little change from the record high of $146.6 billion in the same period last year. From the perspective of position, Berkshire Hathaway’s stock portfolio has hardly changed. In the absence of appropriate “elephant” goals, Buffett has carried out more Berkshire stock repurchase plans. In the second quarter, Berkshire Hathaway spent about $6 billion on share repurchase, with a total amount of $12.6 billion in six months. Since the end of 2019, the total repurchase has exceeded US $37 billion (about RMB 240 billion).
Net profit in the second quarter increased by 6.8%
On August 7, the second quarter report card of “stock god” Buffett was released, and Berkshire Hathaway announced the second quarter financial report of 2021. According to the financial report, the company’s total revenue in the second quarter was US $69.114 billion, an increase of 22% over US $56.84 billion in the same period last year; The net profit attributable to the parent company was US $28.094 billion (about 180 billion yuan), an increase of 6.8% over US $26.295 billion in the same period in 2020.
Berkshire Hathaway’s earnings per share of class A shares were $18488, compared with $16314 in the same period last year; The earnings per share of class B shares was $12.33, compared with $10.88 in the same period last year.
According to the financial report, the company’s operating profit was US $6.686 billion, compared with us $5.513 billion in the same period last year, a year-on-year increase of 21.3%; The profit from investment and derivatives was US $21.408 billion, compared with us $31.645 billion in the same period last year.