Buffett's Berkshire posts bigger loss as stocks fall; operating profit sets record

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Domaine de Grand Pré’s Recipe for Award-Winning Service and Hospitality | SaltWire -Warren Buffett's Berkshire Hathaway Inc on Saturday posted its first overall quarterly loss in a year as the prices of Apple and other stocks it owns fell, but said improved results from insurance helped boost operating profit to a record.

The Omaha, Nebraska-based conglomerate's cash stake swelled in the third quarter to a record $157.2 billion, as Berkshire sold $5.3 billion more stocks than it bought and slowed repurchases of its own stock, buying back $1.1 billion.It said its BNSF railroad shipped fewer consumer goods, while lower homebuying hurt its namesake real estate brokerage and Clayton Homes unit, and sales of Forest River RVs and apparel from units such as Fruit of the Loom also fell.

Results included $23.5 billion of losses from investments, primarily reflecting a 12% decline in the stock price of iPhone maker Apple, in which Berkshire had owned a $177.6 billion stake. Operating profit rose 41% to $10.76 billion, or $7,444 per Class A share, from $7.65 billion a year earlier.

 

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