Berkshire Hathaway Shrinks Cash Pile in Buffett's Last Act as CEO
Berkshire Hathaway's cash hoard at the end of 2025, which successor Greg Abel noted was not a sign of an investment retreat, was down 2.1% from September to $373.3 billion. [3] This move comes as Berkshire Hathaway reported fourth-quarter and full-year 2025 earnings on Saturday. [2]
According to the company's latest earnings report, Berkshire Hathaway's operating earnings fell nearly 30% in Warren Buffett's final quarter as CEO. [2] This decline in earnings may have contributed to the decision to shrink the cash pile.
As Abel takes over as CEO, he is now looking to spend the company's cash in a more strategic manner. [3] In his first annual letter as chief executive, Abel vowed to keep Buffett's culture of disciplined investing. [6]
The shrinking of Berkshire Hathaway's cash pile may have significant implications for the company's future investments and growth. As the company continues to navigate the changing market landscape, it will be interesting to see how Abel's leadership and investment strategy shape the company's future.
Sources
[1] After 46 years working, I’m not retiring — instead, I take a vacation every month. Is that a good life in your 70s?
[2] Berkshire Hathaway operating earnings fell nearly 30% in Warren Buffett's final quarter as CEO
[3] Berkshire Hathaway shrinks cash pile in Buffett’s last act as CEO. Here’s how successor Greg Abel is now looking to spend.
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