Investment company Berkshire Hathaway saw its profits rise sharply in the past quarter. The company of billionaire Warren Buffett benefited, among other things, from strong performance of its insurance activities and lower taxes.
Berkshire posted an operating profit of almost $ 6.9 billion, compared with more than $ 3.4 billion a year earlier. That is also more than average analysts had foreseen. A market expert spoke of “absolutely one of the biggest gains in a quarterly report ever from an American group”.
Last year, the Berkshire insurance branch suffered significantly from the effects of three American hurricanes and an earthquake in Mexico. Buffett himself had previously indicated that tax changes in the United States would boost Berkshire’s performance.
A large part of Bershire, with its headquarters in Omaha, Nebraska, consists of equity interests. The biggest interest of the company is in Apple, which had a value of nearly 58 billion dollars at the end of September. Other associates of Berkshire are Coca-Cola, Wells Fargo and American Express. A share of Berkshire Hathaway itself currently has a value of about $ 308,411
Nicholas de Krammer, а self-taught economic analytic with heave mathematical background. Math behind the economics (and economics behind math) is the strong side of the author. Contact him at nicholas.dekramer@economicinform.com
