UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2025

OR

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

Commission file number 001-14905

BERKSHIRE HATHAWAY INC.

(Exact name of Registrant as specified in its charter)

Delaware	47-0813844
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification Number)

3555 Farnam Street, Omaha, Nebraska 68131

(Address of principal executive office) (Zip Code)

(402) 346-1400

(Registrant’s telephone number, including area code)

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbols	Name of each exchange on which registered
Class A Common Stock Class B Common Stock 1.125% Senior Notes due 2027 2.150% Senior Notes due 2028 1.500% Senior Notes due 2030 2.000% Senior Notes due 2034 1.625% Senior Notes due 2035 2.375% Senior Notes due 2039 0.500% Senior Notes due 2041 2.625% Senior Notes due 2059	BRK.A BRK.B BRK27 BRK28 BRK30 BRK34 BRK35 BRK39 BRK41 BRK59	New York Stock Exchange New York Stock Exchange New York Stock Exchange New York Stock Exchange New York Stock Exchange New York Stock Exchange New York Stock Exchange New York Stock Exchange New York Stock Exchange New York Stock Exchange

Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the Registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the Registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the Registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☒	Accelerated filer	☐
Non-accelerated filer	☐	Smaller reporting company	☐
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the Registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes ☐ No ☒

Number of shares of common stock outstanding as of October 20, 2025:

Class A —	523,010 shares
Class B —	1,372,820,139 shares

BERKSHIRE HATHAWAY INC.

		Page No.
Part I – Financial Information		2
Item 1. Financial Statements		2
	Consolidated Balance Sheets—September 30, 2025 and December 31, 2024	2
	Consolidated Statements of Earnings—Third Quarter and First Nine Months 2025 and 2024	4
	Consolidated Statements of Comprehensive Income—Third Quarter and First Nine Months 2025 and 2024	5
	Consolidated Statements of Changes in Shareholders’ Equity—Third Quarter and First Nine Months 2025 and 2024	6
	Consolidated Statements of Cash Flows—First Nine Months 2025 and 2024	7
	Notes to Consolidated Financial Statements	8
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	34
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	53
Item 4.	Controls and Procedures	53
Part II – Other Information		53
Item 1.	Legal Proceedings	53
Item 1A.	Risk Factors	53
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds and Issuer Repurchases of Equity Securities	53
Item 3.	Defaults Upon Senior Securities	53
Item 4.	Mine Safety Disclosures	54
Item 5.	Other Information	54
Item 6.	Exhibits	54
Signature		54

1

Part I Financial Information

Item 1. Financial Statements

BERKSHIRE HATHAWAY INC.

and Subsidiaries

CONSOLIDATED BALANCE SHEETS

(dollars in millions)

	September 30, 2025		December 31, 2024
	(Unaudited)
Assets:
Insurance and Other:
Cash and cash equivalents*	$	72,156	$	44,333
Short-term investments in U.S. Treasury Bills**		305,367		286,472
Investments in fixed maturity securities		17,943		15,364
Investments in equity securities		283,241		271,588
Equity method investments		25,524		31,134
Loans and finance receivables		29,327		27,798
Other receivables		48,938		43,887
Inventories		25,319		24,008
Property, plant and equipment		30,736		30,071
Equipment held for lease		18,250		17,828
Goodwill		57,418		56,860
Other intangible assets		34,055		34,638
Deferred charges - retroactive reinsurance		8,298		8,797
Other		26,133		24,994
		982,705		917,772
Railroad, Utilities and Energy:
Cash and cash equivalents*		4,150		3,396
Receivables		4,522		4,503
Property, plant and equipment		181,579		175,030
Goodwill		27,107		27,020
Regulatory assets		5,203		5,349
Other		20,697		20,811
		243,258		236,109
Total assets	$	1,225,963	$	1,153,881

——————

* Includes U.S. Treasury Bills with maturities of three months or less when purchased of $38.4 billion at September 30, 2025 and $14.4 billion at December 31, 2024.

** Includes unsettled purchases of U.S. Treasury Bills of $23.2 billion at September 30, 2025 and $12.8 billion at December 31, 2024. Such amounts were also included in liabilities and were paid shortly after the respective balance sheet date.

See accompanying Notes to Consolidated Financial Statements

2

BERKSHIRE HATHAWAY INC.

and Subsidiaries

CONSOLIDATED BALANCE SHEETS

(dollars in millions)

	September 30, 2025			December 31, 2024
	(Unaudited)
Liabilities:
Insurance and Other:
Unpaid losses and loss adjustment expenses	$	119,837		$	115,151
Unpaid losses and loss adjustment expenses - retroactive reinsurance contracts		31,307			32,443
Unearned premiums		33,483			30,808
Life, annuity and health insurance benefits		18,275			17,616
Other policyholder liabilities		10,747			10,703
Accounts payable, accruals and other liabilities		38,172			37,489
Payable for purchases of U.S. Treasury Bills		23,241			12,769
Aircraft repurchase liabilities and unearned lease revenues		10,052			9,356
Notes payable and other borrowings		45,617			44,885
		330,731			311,220
Railroad, Utilities and Energy:
Accounts payable, accruals and other liabilities		18,787			18,226
Regulatory liabilities		6,990			7,033
Notes payable and other borrowings		81,626			79,877
		107,403			105,136
Income taxes, principally deferred		87,388			85,870
Total liabilities		525,522			502,226
Shareholders’ equity:
Common stock		8			8
Capital in excess of par value		35,622			35,665
Accumulated other comprehensive income		(2,523	)		(3,584	)
Retained earnings		743,987			696,218
Treasury stock, at cost		(78,939	)		(78,939	)
Berkshire shareholders’ equity		698,155			649,368
Noncontrolling interests		2,286			2,287
Total shareholders’ equity		700,441			651,655
Total liabilities and shareholders’ equity	$	1,225,963		$	1,153,881

See accompanying Notes to Consolidated Financial Statements

3

BERKSHIRE HATHAWAY INC.

and Subsidiaries

CONSOLIDATED STATEMENTS OF EARNINGS

(dollars in millions except per share amounts)

(Unaudited)

	Third Quarter				First Nine Months
	2025		2024		2025			2024
Revenues:
Insurance and Other:
Insurance premiums earned	$	22,445	$	22,055	$	66,444		$	65,482
Sales and service revenues		51,011		49,453		148,484			151,227
Leasing revenues		2,513		2,315		7,453			6,845
Interest, dividend and other investment income		5,697		5,928		17,331			15,550
		81,666		79,751		239,712			239,104
Railroad, Utilities and Energy:
Freight rail transportation revenues		5,986		5,885		17,375			17,242
Utility and energy operating revenues		6,046		6,014		16,658			16,350
Service revenues and other income		1,274		1,345		3,467			3,821
		13,306		13,244		37,500			37,413
Total revenues		94,972		92,995		277,212			276,517
Investment gains (losses)		21,939		20,514		21,868			46,247
Costs and expenses:
Insurance and Other:
Insurance losses and loss adjustment expenses		13,735		15,163		42,454			42,718
Life, annuity and health benefits		1,116		925		3,316			2,824
Insurance underwriting expenses		4,431		4,934		13,255			12,733
Cost of sales and services		40,875		39,579		119,042			122,453
Cost of leasing		1,877		1,774		5,651			5,204
Selling, general and administrative expenses		6,285		8,219		21,897			19,793
Interest expense		325		315		983			1,057
		68,644		70,909		206,598			206,782
Railroad, Utilities and Energy:
Freight rail transportation expenses		3,862		3,855		11,464			11,705
Utility and energy cost of sales and other expenses		4,578		4,456		12,825			12,849
Other expenses		1,116		1,104		3,113			3,341
Interest expense		936		899		2,788			2,703
		10,492		10,314		30,190			30,598
Total costs and expenses		79,136		81,223		236,788			237,380
Earnings before income taxes and equity method earnings		37,775		32,286		62,292			85,384
Equity method earnings (losses)		330		222		(4,289	)		967
Earnings before income taxes		38,105		32,508		58,003			86,351
Income tax expense		7,241		6,028		10,010			16,541
Net earnings		30,864		26,480		47,993			69,810
Earnings attributable to noncontrolling interests		68		229		224			509
Net earnings attributable to Berkshire shareholders	$	30,796	$	26,251	$	47,769		$	69,301
Net earnings per average equivalent Class A share	$	21,413	$	18,272	$	33,214		$	48,205
Net earnings per average equivalent Class B share*	$	14.28	$	12.18	$	22.14		$	32.14
Average equivalent Class A shares outstanding		1,438,223		1,436,706		1,438,223			1,437,619
Average equivalent Class B shares outstanding		2,157,335,139		2,155,058,383		2,157,335,139			2,156,427,917

——————

* Net earnings per average equivalent Class B share outstanding are equal to one-fifteen-hundredth of the equivalent Class A amount. See Note 18.

See accompanying Notes to Consolidated Financial Statements

4

BERKSHIRE HATHAWAY INC.

and Subsidiaries

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(dollars in millions)

(Unaudited)

	Third Quarter						First Nine Months
	2025			2024			2025			2024
Net earnings	$	30,864		$	26,480		$	47,993		$	69,810
Other comprehensive income:
Unrealized gains (losses) on investments		(42	)		134			116			109
Applicable income taxes		11			(31	)		(18	)		(28	)
Foreign currency translation		(283	)		900			1,307			139
Applicable income taxes		(35	)		57			(89	)		49
Long-duration insurance contract discount rate changes		(305	)		(882	)		(151	)		(23	)
Applicable income taxes		67			188			31			13
Defined benefit pension plans		(17	)		(19	)		(122	)		(18	)
Applicable income taxes		4			4			21			3
Other, net		(32	)		(157	)		(22	)		(170	)
Other comprehensive income, net		(632	)		194			1,073			74
Comprehensive income		30,232			26,674			49,066			69,884
Comprehensive income attributable to noncontrolling interests		64			260			236			512
Comprehensive income attributable to Berkshire shareholders	$	30,168		$	26,414		$	48,830		$	69,372

See accompanying Notes to Consolidated Financial Statements

5

BERKSHIRE HATHAWAY INC.

and Subsidiaries

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY

(dollars in millions)

(Unaudited)

	Berkshire shareholders’ equity
	Common stock and capital in excess of par value			Accumulated other comprehensive income			Retained earnings			Treasury stock			Non- controlling interests			Total
2025
Balance at December 31, 2024	$	35,673		$	(3,584	)	$	696,218		$	(78,939	)	$	2,287		$	651,655
Net earnings		—			—			4,603			—			69			4,672
Other comprehensive income, net		—			500			—			—			6			506
Transactions with noncontrolling interests		—			—			—			—			(91	)		(91	)
Balance at March 31, 2025	$	35,673		$	(3,084	)	$	700,821		$	(78,939	)	$	2,271		$	656,742
Net earnings		—			—			12,370			—			87			12,457
Other comprehensive income, net		—			1,189			—			—			10			1,199
Transactions with noncontrolling interests		(41	)		—			—			—			(81	)		(122	)
Balance at June 30, 2025	$	35,632		$	(1,895	)	$	713,191		$	(78,939	)	$	2,287		$	670,276
Net earnings		—			—			30,796			—			68			30,864
Other comprehensive income, net		—			(628	)		—			—			(4	)		(632	)
Transactions with noncontrolling interests		(2	)		—			—			—			(65	)		(67	)
Balance at September 30, 2025	$	35,630		$	(2,523	)	$	743,987		$	(78,939	)	$	2,286		$	700,441
2024
Balance at December 31, 2023	$	34,488		$	(3,763	)	$	607,350		$	(76,802	)	$	6,236		$	567,509
Net earnings		—			—			12,702			—			130			12,832
Adoption of ASU 2023-02		—			—			(127	)		—			—			(127	)
Other comprehensive income, net		—			(287	)		—			—			(23	)		(310	)
Acquisitions of common stock		—			—			—			(2,573	)		—			(2,573	)
Transactions with noncontrolling interests		502			—			—			—			(48	)		454
Balance at March 31, 2024	$	34,990		$	(4,050	)	$	619,925		$	(79,375	)	$	6,295		$	577,785
Net earnings		—			—			30,348			—			150			30,498
Other comprehensive income, net		—			195			—			—			(5	)		190
Acquisitions of common stock		—			—			—			(345	)		—			(345	)
Transactions with noncontrolling interests		9			—			—			—			(166	)		(157	)
Balance at June 30, 2024	$	34,999		$	(3,855	)	$	650,273		$	(79,720	)	$	6,274		$	607,971
Net earnings		—			—			26,251			—			229			26,480
Other comprehensive income, net		—			163			—			—			31			194
Acquisitions of common stock		—			—			—			—			—			—
Transactions with noncontrolling interests		487			—			—			471			(3,797	)		(2,839	)
Balance at September 30, 2024	$	35,486		$	(3,692	)	$	676,524		$	(79,249	)	$	2,737		$	631,806

See accompanying Notes to Consolidated Financial Statements

6

BERKSHIRE HATHAWAY INC.

and Subsidiaries

CONSOLIDATED STATEMENTS OF CASH FLOWS

(dollars in millions)

(Unaudited)

	First Nine Months
	2025			2024
Cash flows from operating activities:
Net earnings	$	47,993		$	69,810
Adjustments to reconcile net earnings to operating cash flows:
Investment (gains) losses		(21,868	)		(46,247	)
Depreciation and amortization		9,927			9,572
Discount accretion on investments, principally U.S. Treasury Bills		(8,846	)		(7,880	)
Other		7,107			699
Changes in operating assets and liabilities:
Unpaid losses and loss adjustment expenses		2,589			2,885
Deferred charges - retroactive reinsurance		499			610
Unearned premiums		2,583			2,510
Receivables and originated loans		(5,930	)		(1,747	)
Inventories		(1,013	)		232
Other assets		(676	)		(1,549	)
Other liabilities		1,229			(1,729	)
Income taxes		1,183			(1,195	)
Net cash flows from operating activities		34,777			25,971
Cash flows from investing activities:
Purchases of equity securities		(13,447	)		(5,809	)
Sales of equity securities		24,046			133,218
Purchases of U.S. Treasury Bills and fixed maturity securities		(444,370	)		(385,224	)
Sales of U.S. Treasury Bills and fixed maturity securities		29,238			30,755
Redemptions and maturities of U.S. Treasury Bills and fixed maturity securities		412,821			226,901
Purchases of property, plant and equipment and equipment held for lease		(14,725	)		(13,629	)
Other		342			(767	)
Net cash flows from investing activities		(6,095	)		(14,555	)
Cash flows from financing activities:
Proceeds from borrowings of insurance and other businesses		1,734			2,689
Repayments of borrowings of insurance and other businesses		(2,672	)		(7,761	)
Proceeds from borrowings of railroad, utilities and energy businesses		4,015			6,617
Repayments of borrowings of railroad, utilities and energy businesses		(3,253	)		(2,249	)
Changes in short-term borrowings, net		628			(3,407	)
Acquisitions of treasury stock		—			(2,918	)
Other, principally transactions with noncontrolling interests		(730	)		(4,984	)
Net cash flows from financing activities		(278	)		(12,013	)
Effects of foreign currency exchange rate changes		331			(54	)
Increase (decrease) in cash and cash equivalents and restricted cash		28,735			(651	)
Cash and cash equivalents and restricted cash at the beginning of the year*		48,376			38,643
Cash and cash equivalents and restricted cash at the end of the third quarter*	$	77,111		$	37,992
* Cash and cash equivalents and restricted cash are comprised of:
Beginning of the year—
Insurance and Other	$	44,333		$	34,268
Railroad, Utilities and Energy		3,396			3,754
Restricted cash included in other assets		647			621
	$	48,376		$	38,643
End of the third quarter—
Insurance and Other	$	72,156		$	32,605
Railroad, Utilities and Energy		4,150			4,576
Restricted cash included in other assets		805			811
	$	77,111		$	37,992

See accompanying Notes to Consolidated Financial Statements

7

BERKSHIRE HATHAWAY INC.

and Subsidiaries

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

September 30, 2025

Note 1. General

The accompanying unaudited Consolidated Financial Statements include the accounts of Berkshire Hathaway Inc. (“Berkshire” or “Company”) consolidated with the accounts of all subsidiaries and affiliates in which Berkshire holds a controlling financial interest as of the financial statement date. In these notes, the terms “us,” “we” or “our” refer to Berkshire and its consolidated subsidiaries. Reference is made to Berkshire’s most recently issued Annual Report on Form 10-K (“Annual Report”), which includes information necessary or useful to understanding Berkshire’s businesses and financial statement presentations. Our significant accounting policies and practices were presented as Note 1 to the Consolidated Financial Statements included in the Annual Report.

Financial information in this Quarterly Report reflects all adjustments that are, in the opinion of management, necessary to a fair statement of results for the interim periods in accordance with accounting principles generally accepted in the United States (“GAAP”). For several reasons, our results for interim periods may not be indicative of results to be expected for the year. The timing and magnitude of catastrophe losses incurred by insurance subsidiaries and the estimation error inherent to the process of determining liabilities for unpaid losses of insurance subsidiaries can be more significant to results of interim periods than to results for a full year. Changes in market prices of our investments in equity securities and the related changes in unrealized gains and losses will produce significant volatility in our interim and annual earnings. In addition, gains and losses from the periodic revaluation of certain assets and liabilities denominated in foreign currencies and asset impairment charges may cause significant variations in periodic net earnings.

Significant estimates are used in the preparation of our Consolidated Financial Statements, including those associated with evaluations of long-lived assets, goodwill and other intangible assets for impairment, expected credit losses on loans and other receivables and the estimation of losses assumed under insurance and reinsurance contracts. These estimates may be subject to significant adjustments in future periods.

Changes in macroeconomic conditions and geopolitical events, including changes in international trade policies and tariffs, may negatively affect our operating results and the values of our investments in equity securities and of our operating businesses. We are currently unable to reliably predict the nature, timing or magnitude of the potential economic consequences of any such changes or the impacts on our Consolidated Financial Statements.

As described in Note 1 to the Consolidated Financial Statements in the Annual Report, we reclassified the asset, liability, revenue and expense balances of Pilot Travel Centers LLC (“Pilot”) from the Railroad, Utilities and Energy sections to the Insurance and Other sections of our Consolidated Balance Sheets and Statements of Earnings. Accordingly, we reclassified the Pilot balances in the accompanying Consolidated Statements of Earnings for the third quarter and first nine months of 2024 from the Railroad, Utilities and Energy section to the Insurance and Other section to conform with current presentations for comparability purposes. These reclassifications had no effect on consolidated revenues, expenses or net earnings from the amounts previously reported. The reclassifications to the amounts previously reported in our Consolidated Statement of Earnings are summarized below (in millions).

	Third Quarter 2024							First Nine Months 2024
	As previously reported		Reclassification			As reclassified		As previously reported		Reclassification			As reclassified
Revenues:
Insurance and Other:
Sales and service revenues	$	38,863	$	10,590		$	49,453	$	115,227	$	36,000		$	151,227
Interest, dividend and other investment income		5,896		32			5,928		15,450		100			15,550
Railroad, Utilities and Energy:
Utility and energy operating revenues		16,598		(10,584	)		6,014		52,336		(35,986	)		16,350
Service revenues and other income		1,383		(38	)		1,345		3,935		(114	)		3,821
Costs and expenses:
Insurance and Other:
Cost of sales and services		30,323		9,256			39,579		90,109		32,344			122,453
Selling, general and administrative expenses		7,324		895			8,219		17,292		2,501			19,793
Interest expense		315		—			315		961		96			1,057
Railroad, Utilities and Energy:
Utility and energy cost of sales and other expenses		14,607		(10,151	)		4,456		47,694		(34,845	)		12,849
Interest expense		899		—			899		2,799		(96	)		2,703

8

Notes to Consolidated Financial Statements

Note 2. New accounting and financial reporting pronouncements

In December 2023, the FASB issued Accounting Standards Update 2023-09, “Improvements to Income Tax Disclosures” (“ASU 2023-09”), which provides for additional income tax rate reconciliation and income taxes paid disclosures in annual financial statements. ASU 2023-09 may be adopted prospectively or retrospectively and is effective for annual reporting periods beginning after December 15, 2024.

In November 2024, the FASB issued Accounting Standards Update 2024-03, “Disaggregation of Income Statement Expenses” (“ASU 2024-03”), which requires disclosure in the notes to the financial statements of specific categories underlying certain expense captions on the income statement. ASU 2024-03 may be adopted prospectively or retrospectively and is effective for annual reporting periods beginning after December 15, 2026, with early adoption permitted.

We are evaluating the impacts these pronouncements will have on disclosures in our Consolidated Financial Statements.

Note 3. Investments in fixed maturity securities

Investments in fixed maturity securities are summarized as follows (in millions).

	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
September 30, 2025
U.S. Treasury, U.S. government corporations and agencies	$	4,613	$	13	$	—		$	4,626
Foreign governments		11,822		39		(19	)		11,842
Corporate and other		1,240		239		(4	)		1,475
	$	17,675	$	291	$	(23	)	$	17,943
December 31, 2024
U.S. Treasury, U.S. government corporations and agencies	$	4,447	$	16	$	(4	)	$	4,459
Foreign governments		9,443		16		(97	)		9,362
Corporate and other		1,324		225		(6	)		1,543
	$	15,214	$	257	$	(107	)	$	15,364

As of September 30, 2025, approximately 95% of our foreign government holdings were rated AA or higher by at least one of the major rating agencies. The amortized cost and estimated fair value of fixed maturity securities at September 30, 2025 are summarized below by contractual maturity dates (in millions). Actual maturities may differ from contractual maturities due to prepayment rights held by issuers.

	Due in one year or less		Due after one year through five years		Due after five years through ten years		Due after ten years		Mortgage- backed securities		Total
Amortized cost	$	12,780	$	4,179	$	498	$	109	$	109	$	17,675
Fair value		12,829		4,179		693		120		122		17,943

Note 4. Investments in equity securities

Investments in equity securities are summarized as follows (in millions).

	Cost Basis		Net Unrealized Gains		Fair Value
September 30, 2025
Banks, insurance and finance	$	14,966	$	82,006	$	96,972
Consumer products		12,198		80,191		92,389
Commercial, industrial and other		56,013		37,867		93,880
	$	83,177	$	200,064	$	283,241
December 31, 2024
Banks, insurance and finance	$	15,707	$	75,936	$	91,643
Consumer products		12,658		92,091		104,749
Commercial, industrial and other		47,141		28,055		75,196
	$	75,506	$	196,082	$	271,588

9

Notes to Consolidated Financial Statements

Note 4. Investments in equity securities

Our investments in equity securities over the years have been concentrated in relatively few companies. The fair value of our five largest holdings at September 30, 2025 and December 31, 2024 represented 66% and 71%, respectively, of the aggregate fair value of our equity securities shown in the preceding tables. The five largest holdings at each date were American Express Company, Apple Inc., Bank of America Corporation, The Coca-Cola Company and Chevron Corporation.

Additionally, we own shares of Occidental Petroleum Corporation (“Occidental”) common stock, which we account for under the equity method. See Note 5. Since 2019, we have also owned non-voting Cumulative Perpetual Preferred Stock of Occidental and Occidental common stock warrants. Our investments in the Occidental preferred stock and Occidental common stock warrants are recorded at fair value and included as equity securities in our Consolidated Balance Sheets, as such investments are not in-substance common stock under GAAP and are not eligible for the equity method.

The Occidental preferred stock accrues dividends at 8% per annum and is redeemable at the option of Occidental commencing in 2029 at a redemption price equal to 105% of the liquidation value. As of September 30, 2025, our investment in Occidental preferred stock had an aggregate liquidation value of approximately $8.5 billion. To date, Occidental has redeemed approximately $1.5 billion of the aggregate liquidation value due to excess distributions, as defined under the terms of the Occidental preferred stock certificate of designations, to its common stockholders.

The Occidental common stock warrants currently allow us to purchase up to 83.9 million shares of Occidental common stock at an exercise price of $59.59 per share. The warrants are exercisable in whole or in part until one year after the date the preferred stock is fully redeemed.

As of September 30, 2025, we owned 151.6 million shares of American Express Company (“American Express”) common stock representing 22.0% of the outstanding common stock of American Express. Since 1995, we have been party to an agreement with American Express whereby we agreed to vote a significant portion of our shares in accordance with the recommendations of the American Express Board of Directors. We have also agreed to passivity commitments as requested by the Board of Governors of the Federal Reserve System, which collectively, in our judgment, restrict our ability to exercise significant influence over the operating and financial policies of American Express. Accordingly, we do not use the equity method with respect to our investment in American Express common stock, and we continue to record our investment at fair value.

Note 5. Equity method investments

Berkshire and its subsidiaries hold investments that are accounted for pursuant to the equity method. The most significant of these are our investments in the common stock of The Kraft Heinz Company (“Kraft Heinz”) and Occidental. As of September 30, 2025, we owned 27.5% of the outstanding Kraft Heinz common stock and 26.9% of the outstanding Occidental common stock, which excludes the potential effect of the exercise of Occidental’s outstanding common stock warrants. Kraft Heinz manufactures and markets food and beverage products, including condiments and sauces, cheese and dairy, meals, meats, refreshment beverages, coffee and other grocery products. Occidental is an international energy company, whose activities include oil and natural gas exploration, development and production, and chemicals manufacturing businesses.

We also own a 50% interest in Berkadia Commercial Mortgage LLC (“Berkadia”). Jefferies Financial Group Inc. (“Jefferies”) owns the other 50% interest. Berkadia engages in mortgage banking, investment sales and servicing commercial/multi-family real estate loans. Berkadia’s commercial paper borrowing capacity (limited to $1.5 billion) is supported by a surety policy issued by a Berkshire insurance subsidiary. Jefferies is obligated to indemnify us for one-half of any losses incurred under the policy.

Our investments in Kraft Heinz, Occidental and Berkadia are summarized as follows (in millions). Kraft Heinz and Occidental common stocks are publicly-traded and the fair values are based on quoted market prices as of our balance sheet dates.

	Carrying Value				Fair Value
	September 30, 2025		December 31, 2024		September 30, 2025		December 31, 2024
Kraft Heinz	$	8,605	$	13,395	$	8,480	$	9,994
Occidental		16,468		17,287		12,518		13,053
Berkadia		451		452
	$	25,524	$	31,134

10

Notes to Consolidated Financial Statements

Note 5. Equity method investments

Our equity in earnings and distributions received from equity method investments are as follows (in millions).

	Equity in Earnings										Distributions Received
	Third Quarter					First Nine Months					Third Quarter				First Nine Months
	2025		2024			2025			2024		2025		2024		2025		2024
Kraft Heinz*	$	225	$	(78	)	$	(4,571	)	$	164	$	131	$	131	$	391	$	391
Occidental*		77		277			211			740		63		55		183		151
Berkadia		28		23			71			63		34		19		72		37
	$	330	$	222		$	(4,289	)	$	967	$	228	$	205	$	646	$	579

——————

* We report our equity in Occidental’s earnings on a one-quarter lag and, as indicated below, in the second quarter of 2025, we began reporting our equity in Kraft Heinz’s earnings on a one-quarter lag.

We recorded a pre-tax impairment loss of approximately $5.0 billion in the second quarter of 2025 as a component of our equity in the earnings of Kraft Heinz, which reduced the carrying value of our investment in Kraft Heinz to fair value at that time. As such, Berkshire’s share of Kraft Heinz shareholders’ equity exceeded Berkshire’s equity method carrying value by approximately $5.0 billion at that time. This basis difference was attributed to Kraft Heinz’s indefinite-lived intangible assets and goodwill.

In evaluating our investment in Kraft Heinz for other-than-temporary impairment in the second quarter of 2025, we considered our ability and intent to hold the investment until the fair value exceeds carrying value, the magnitude and duration of the decline in fair value, and the operating results and financial condition of the company. Furthermore, Berkshire’s representatives on the Kraft Heinz Board of Directors stepped down on May 19, 2025. Since then, the timing and extent of financial information Berkshire receives regarding Kraft Heinz is limited to the information that Kraft Heinz makes available to the public. In May 2025, Kraft Heinz announced that it was evaluating potential strategic transactions to enhance shareholder value. On September 2, 2025, Kraft Heinz announced a plan to split Kraft Heinz into two independent, publicly traded companies through a tax-free spin-off.

Since the timing and extent of financial information we receive from Kraft Heinz became limited to the information Kraft Heinz makes publicly available, we concluded our receipt of such information was no longer sufficiently timely for concurrent inclusion in our Consolidated Financial Statements. Thus, we began recognizing the equity method effects attributable to our investment in Kraft Heinz on a one-quarter lag beginning with our second quarter of 2025.

Our equity in earnings from Kraft Heinz in the first six months of 2025 included the $5.0 billion impairment loss we recorded in our second quarter, as well as our share of earnings Kraft Heinz reported in its first quarter of 2025. Our equity in earnings from Kraft Heinz for the third quarter of 2025 included our proportionate share of Kraft Heinz’s net earnings in the second quarter before our share ($2.4 billion) of the after-tax indefinite-lived intangible asset and goodwill impairment losses recognized by Kraft Heinz in its second quarter of 2025 (approximately $8.6 billion), which we applied to the basis difference that resulted from the impairment loss we recorded in our second quarter.

Summarized financial information of Kraft Heinz follows (in millions).

	June 28, 2025		December 28, 2024
Assets	$	81,581	$	88,287
Liabilities		40,089		38,962

	Quarter Ended June 28, 2025			Six Months Ended June 28, 2025			Quarter Ended September 28, 2024			Nine Months Ended September 28, 2024
Net sales	$	6,352		$	12,351		$	6,383		$	19,270
Net earnings (loss) attributable to common shareholders		(7,824	)		(7,112	)		(290	)		613

11

Notes to Consolidated Financial Statements

Note 5. Equity method investments

As of September 30, 2025, the excess of the carrying value over the fair value of our investment in Occidental common stock was $3.95 billion (or 24% of our carrying value). In evaluating the investment in Occidental for other-than-temporary impairment as of September 30, 2025, we considered our ability and intent to hold the investment until the fair value exceeds carrying value, the magnitude and duration of the decline in fair value, and the operating results and financial condition of the company, as well as our current expectations and other factors. Based on the prevailing facts and circumstances, we concluded the recognition of an impairment charge in earnings for Occidental was not required as of September 30, 2025. However, our current expectations and intentions concerning this investment may change in the future, which may result in the recognition of an impairment loss at that time. Our carrying value in Occidental common stock as of September 30, 2025 exceeded our share of Occidental common shareholders’ equity as of June 30, 2025 by approximately $9.1 billion.

Summarized financial information of Occidental follows (in millions).

	June 30, 2025		September 30, 2024
Assets	$	84,360	$	85,803
Liabilities		48,184		50,869

	Quarter Ended June 30,				Nine Months Ended June 30,
	2025		2024		2025		2024
Total revenues and other income	$	6,456	$	6,879	$	20,136	$	20,418
Net earnings attributable to common shareholders		288		992		757		2,739

Note 6. Investment gains (losses)

Investment gains (losses) are summarized as follows (in millions).

	Third Quarter						First Nine Months
	2025			2024			2025			2024
Investment gains (losses):
Equity securities:
Increase in unrealized investment gains during the      period on securities held at the end of the period	$	20,555		$	18,643		$	23,559		$	45,053
Investment gains (losses) on securities sold during the period		1,365			1,868			(820	)		1,221
		21,920			20,511			22,739			46,274
Fixed maturity securities:
Gross realized gains		27			23			43			37
Gross realized losses		(13	)		(17	)		(68	)		(57	)
Other		5			(3	)		(846	)		(7	)
	$	21,939		$	20,514		$	21,868		$	46,247

Equity securities gains and losses include unrealized gains and losses from changes in fair values during the period on equity securities we owned at the end of the period, as well as gains and losses on securities we sold during the period. In the preceding table, investment gains and losses on equity securities sold during the period represent the difference between the sales proceeds and the fair value of the equity securities sold at the beginning of the applicable period or, if later, the purchase date.

Proceeds from sales of equity securities were approximately $24.0 billion in the first nine months of 2025 and $133.2 billion in 2024. Taxable gains and losses on equity securities sold are generally the difference between the proceeds from sales and cost at the acquisition date. Equity securities sold produced taxable gains of $10.4 billion in the third quarter and $18.7 billion in the first nine months of 2025 compared to gains of $23.4 billion in the third quarter and $97.1 billion in the first nine months of 2024.

12

Notes to Consolidated Financial Statements

Note 7. Loans and finance receivables

Loans and finance receivables are principally manufactured home loans, and to a lesser extent, commercial loans and site-built home loans and are summarized as follows (in millions).

	September 30, 2025			December 31, 2024
Loans and finance receivables, before allowances and discounts	$	31,450		$	29,700
Allowances for credit losses		(1,323	)		(1,134	)
Unamortized acquisition discounts and points		(800	)		(768	)
	$	29,327		$	27,798

Reconciliations of the allowance for credit losses on loans and finance receivables follow (in millions).

	2025			2024
Balance at the beginning of the year	$	1,134		$	950
Provision for credit losses		314			180
Charge-offs, net of recoveries		(125	)		(79	)
Balance at September 30	$	1,323		$	1,051

As of September 30, 2025, substantially all manufactured and site-built home loans were evaluated collectively for impairment, and we considered approximately 96% of these loans to be current as to payment status. A summary of performing and non-performing home loans, before discounts and allowances, by year of loan origination as of September 30, 2025 follows (in millions).

	Origination Year
	2025		2024		2023		2022		2021		Prior		Total
Performing	$	4,512	$	5,527	$	4,611	$	3,421	$	2,845	$	9,590	$	30,506
Non-performing		2		18		25		18		15		59		137
	$	4,514	$	5,545	$	4,636	$	3,439	$	2,860	$	9,649	$	30,643

Note 8. Other receivables

Other receivables are summarized as follows (in millions).

	September 30, 2025			December 31, 2024
Insurance and other:
Insurance premiums receivable	$	20,943		$	18,548
Reinsurance recoverables		5,182			5,177
Trade receivables		16,956			15,638
Other		6,577			5,199
Allowances for credit losses		(720	)		(675	)
	$	48,938		$	43,887
Railroad, utilities and energy:
Trade receivables	$	3,934		$	3,764
Other		676			862
Allowances for credit losses		(88	)		(123	)
	$	4,522		$	4,503

Provisions for credit losses with respect to other receivables were $404 million in the first nine months of 2025 compared to $358 million in 2024. Charge-offs, net of recoveries, were $402 million in the first nine months of 2025 compared to $364 million in 2024.

13

Notes to Consolidated Financial Statements

Note 9. Inventories

Inventories of our insurance and other businesses are comprised of the following (in millions).

	September 30, 2025		December 31, 2024
Raw materials and supplies	$	5,720	$	5,421
Work in process and other		3,502		3,150
Finished manufactured goods		5,342		4,898
Goods acquired for resale		10,755		10,539
	$	25,319	$	24,008

Inventories, materials and supplies of our railroad, utilities and energy businesses are included in other assets and were approximately $3.2 billion as of September 30, 2025 and $3.0 billion as of December 31, 2024.

Note 10. Property, plant and equipment

A summary of property, plant and equipment of our insurance and other businesses follows (in millions).

	September 30, 2025			December 31, 2024
Land, buildings and improvements	$	21,612		$	20,735
Machinery and equipment		33,611			32,475
Furniture, fixtures and other		6,129			5,501
		61,352			58,711
Accumulated depreciation		(30,616	)		(28,640	)
	$	30,736		$	30,071

A summary of property, plant and equipment of our railroad, utilities and energy businesses follows (in millions). The utility generation, transmission and distribution systems and interstate natural gas pipeline assets are owned by regulated public utility and natural gas pipeline subsidiaries.

	September 30, 2025			December 31, 2024
Railroad:
Land, track structure and other roadway	$	75,996		$	74,093
Locomotives, freight cars and other equipment		15,591			15,766
Construction in progress		2,203			1,813
		93,790			91,672
Accumulated depreciation		(21,965	)		(20,411	)
		71,825			71,261
Utilities and energy:
Utility generation, transmission and distribution systems		106,751			103,015
Interstate natural gas pipeline assets		20,646			20,237
Independent power plants and other		15,619			14,840
Construction in progress		11,845			8,793
		154,861			146,885
Accumulated depreciation		(45,107	)		(43,116	)
		109,754			103,769
	$	181,579		$	175,030

Property, plant and equipment depreciation expense for the first nine months of 2025 and 2024 is summarized below (in millions).

	2025		2024
Insurance and other	$	2,366	$	2,316
Railroad, utilities and energy		5,121		4,859
	$	7,487	$	7,175

14

Notes to Consolidated Financial Statements

Note 11. Equipment held for lease

Equipment held for lease includes railcars, aircraft and other equipment, including over-the-road trailers, intermodal tank containers, cranes, storage units and furniture. Equipment held for lease is summarized below (in millions).

	September 30, 2025			December 31, 2024
Railcars	$	10,292		$	10,137
Aircraft		15,303			14,201
Other		5,724			5,686
		31,319			30,024
Accumulated depreciation		(13,069	)		(12,196	)
	$	18,250		$	17,828

Depreciation expense on equipment held for lease in the first nine months was $1,134 million in 2025 and $1,054 million in 2024. Fixed and variable operating lease revenues are summarized below (in millions).

	Third Quarter				First Nine Months
	2025		2024		2025		2024
Fixed lease revenue	$	1,743	$	1,637	$	5,163	$	4,801
Variable lease revenue		770		678		2,290		2,044
	$	2,513	$	2,315	$	7,453	$	6,845

Note 12. Goodwill and other intangible assets

Reconciliations of the changes in the carrying value of goodwill for the first nine months of 2025 and for the year ended December 31, 2024 follow (in millions).

	September 30, 2025		December 31, 2024
Balance at the beginning of the year*	$	83,880	$	84,626
Business acquisitions		400		87
Other, including foreign currency translation		245		(833	)
Balance at the end of the period*	$	84,525	$	83,880

——————

* Net of accumulated goodwill impairments of $11.5 billion as of September 30, 2025 and December 31, 2024 and $11.1 billion as of December 31, 2023.

Other intangible assets are summarized below (in millions).

	September 30, 2025						December 31, 2024
	Gross carrying amount		Accumulated amortization		Net carrying value		Gross carrying amount		Accumulated amortization		Net carrying value
Insurance and other:
Customer relationships	$	31,150	$	9,428	$	21,722	$	30,941	$	8,840	$	22,101
Trademarks and trade names		9,047		1,146		7,901		9,007		1,041		7,966
Patents and technology		5,700		4,666		1,034		5,375		4,359		1,016
Other		5,614		2,216		3,398		5,551		1,996		3,555
	$	51,511	$	17,456	$	34,055	$	50,874	$	16,236	$	34,638
Railroad, utilities and energy:
Customer relationships and contracts	$	1,540	$	785	$	755	$	1,553	$	728	$	825
Other		441		133		308		437		126		311
	$	1,981	$	918	$	1,063	$	1,990	$	854	$	1,136

15

Notes to Consolidated Financial Statements

Note 12. Goodwill and other intangible assets

Intangible asset amortization expense in the first nine months was $1.3 billion in 2025 and 2024. Intangible assets with indefinite lives were $19.0 billion as of September 30, 2025 and $18.9 billion as of December 31, 2024 and primarily consisted of certain customer relationships, trademarks and trade names. Railroad, utilities and energy intangible assets are included in other assets.

Note 13. Unpaid losses and loss adjustment expenses

Reconciliations of the changes in unpaid losses and loss adjustment expenses (“claim liabilities”), excluding liabilities under retroactive reinsurance contracts (see Note 14), follow (in millions).

	2025			2024
Balance at the beginning of the year:
Gross liabilities	$	115,151		$	111,082
Reinsurance recoverable on unpaid losses		(4,593	)		(4,893	)
Net liabilities		110,558			106,189
Losses and loss adjustment expenses incurred:
Current accident year		43,124			43,166
Prior accident years		(1,182	)		(992	)
Total		41,942			42,174
Losses and loss adjustment expenses paid:
Current accident year		(16,086	)		(16,011	)
Prior accident years		(22,165	)		(21,370	)
Total		(38,251	)		(37,381	)
Foreign currency effect		949			206
Balance at September 30:
Net liabilities		115,198			111,188
Reinsurance recoverable on unpaid losses		4,639			4,648
Gross liabilities	$	119,837		$	115,836

Our claim liabilities under property and casualty insurance and reinsurance contracts are based upon estimates of the ultimate claim costs associated with claim events that have occurred as of the balance sheet date and include estimates for incurred-but-not-reported (“IBNR”) claims. Losses and loss adjustment expenses incurred in the preceding table related to events occurring in the current year (“current accident year”) and events occurring in all prior years (“prior accident years”). Losses and loss adjustment expenses incurred and paid are net of reinsurance recoveries.

Current accident year incurred losses from significant catastrophe events (losses exceeding $150 million per event) in the first nine months were $1.1 billion in 2025 from the Southern California wildfires, which occurred in the first quarter, and $715 million in 2024 from Hurricane Helene, which occurred in the third quarter.

We recorded net reductions of estimated ultimate claim liabilities for prior accident years’ claims of $1.2 billion in the first nine months of 2025 and $992 million in the first nine months of 2024, which reduced losses and loss adjustment expenses incurred in those periods. These reductions, as percentages of the net liabilities at the beginning of each year, were 1.1% in 2025 and 0.9% in 2024.

16

Notes to Consolidated Financial Statements

Note 13. Unpaid losses and loss adjustment expenses

Our primary insurance businesses recorded net decreases in prior accident years’ estimated ultimate claim liabilities of $284 million in the first nine months of 2025, attributable to decreases for property and workers’ compensation coverages, partly offset by increases in medical professional liability and other casualty coverages. In the first nine months of 2024, our primary insurance businesses increased estimated losses for prior accident years by $222 million, which reflected higher projected claim losses for certain commercial auto, business owner and other casualty coverages, partly offset by lower than expected property, medical professional liability and workers’ compensation losses. Our reinsurance businesses recorded net reductions of estimated ultimate claim liabilities for prior accident years of $898 million in the first nine months of 2025 compared to $1.2 billion in 2024. These reductions were primarily attributable to lower estimates for property coverages.

Note 14. Retroactive reinsurance contracts

Retroactive reinsurance policies provide indemnification of losses and loss adjustment expenses of short-duration insurance contracts with respect to underlying loss events that occurred prior to the contract inception date and may include significant asbestos, environmental and other mass tort claims. Retroactive reinsurance contracts are generally subject to aggregate policy limits and our exposure to such claims under these contracts is likewise limited. Reconciliations of the changes in estimated liabilities for retroactive reinsurance unpaid losses and loss adjustment expenses follow (in millions).

	2025			2024
Balance at the beginning of the year	$	32,443		$	34,647
Losses and loss adjustment expenses incurred	13				(66	)
Losses and loss adjustment expenses paid		(1,259	)		(1,596	)
Foreign currency effect		110			75
Balance at September 30	$	31,307		$	33,060
Losses and loss adjustment expenses incurred	$	13		$	(66	)
Deferred charge adjustments		499			610
Losses and loss adjustment expenses incurred, including deferred charge adjustments	$	512		$	544

We classify incurred and paid losses and loss adjustment expenses based on the inception dates of the contracts, reflecting when our exposure to losses began. Substantially all of the incurred and paid losses and loss adjustment expenses shown in the preceding table related to contracts written in prior years. Losses and loss adjustment expenses incurred shown in the Consolidated Statements of Earnings include changes in estimated ultimate liabilities and related adjustments to deferred charge assets arising from the changes in the estimated timing and amount of loss payments. Deferred charge assets on retroactive reinsurance contracts were $8.3 billion at September 30, 2025 and $8.8 billion at December 31, 2024.

Note 15. Long-duration insurance contracts

A summary of our long-duration life, annuity and health insurance benefits liabilities disaggregated by our principal product categories follows (in millions).

	September 30,
	2025		2024
Periodic payment annuity (“Annuities”)	$	10,578	$	11,136
Life and health		4,721		4,456
Other		2,976		3,020
	$	18,275	$	18,612

17

Notes to Consolidated Financial Statements

Note 15. Long-duration insurance contracts

Reconciliations of the liabilities for each of our principal product categories follow (in millions). The information reflects the changes in discounted present values of expected future policy benefits and expected future net premiums before reinsurance ceded. Net premiums represent the portion of expected gross premiums that are required to provide for future policy benefits and variable expenses.

	Annuities						Life and health
	2025			2024			2025			2024
Expected future policy benefits:
Balance at the beginning of the year	$	10,276		$	11,212		$	43,784		$	52,665
Balance at the beginning of the year - original discount rates		11,757			11,681			55,170			65,871
Effects of cash flow assumption changes		—			—			(138	)		1,485
Effects of actual versus expected experience		(17	)		2			199			(12,709	)
Change in benefits, net		(373	)		(357	)		(1,434	)		(1,404	)
Interest accrual		417			411			981			891
Foreign currency effect		110			96			1,728			218
Balance at September 30 - original discount rates		11,894			11,833			56,506			54,352
Effects of changes in discount rate assumptions		(1,316	)		(697	)		(11,122	)		(11,111	)
Balance at September 30	$	10,578		$	11,136		$	45,384		$	43,241
Expected future net premiums:
Balance at the beginning of the year							$	39,294		$	46,916
Balance at the beginning of the year - original discount rates								49,500			58,731
Effects of cash flow assumption changes								(97	)		1,449
Effects of actual versus expected experience								164			(11,033	)
Change in premiums, net								(1,418	)		(1,348	)
Interest accrual								879			791
Foreign currency effect								1,604			200
Balance at September 30 - original discount rates								50,632			48,790
Effects of changes in discount rate assumptions								(9,969	)		(10,005	)
Balance at September 30							$	40,663		$	38,785
Liabilities for future policy benefits:
Balance at September 30	$	10,578		$	11,136		$	4,721		$	4,456
Reinsurance recoverables		—			—			(52	)		(52	)
Balance at September 30, net of reinsurance recoverables	$	10,578		$	11,136		$	4,669		$	4,404

Expected future policy benefits and expected future net premiums declined in the first nine months of 2024, primarily attributable to life reinsurance contract commutations. The impacts of these commutations were included in the effects of actual versus expected experience.

Other information relating to our long-duration insurance liabilities follows (dollars in millions).

	Annuities						Life and health
	September 30,						September 30,
	2025			2024			2025			2024
Undiscounted expected future gross premiums	$	—		$	—		$	103,457		$	101,134
Discounted expected future gross premiums		—			—			61,069			58,530
Undiscounted expected future benefits		30,522			30,915			94,059			91,751
Weighted average discount rate		5.7	%		5.2	%		5.0	%		4.7	%
Weighted average accretion rate		4.8	%		4.8	%		2.6	%		2.6	%
Weighted average duration	16 years			17 years			13 years			13 years

18

Notes to Consolidated Financial Statements

Note 15. Long-duration insurance contracts

Gross premiums earned and interest expense before reinsurance ceded for the first nine months of 2025 and 2024 were as follows (in millions).

	Gross premiums				Interest expense
	2025		2024		2025		2024
Annuities	$	—	$	—	$	417	$	411
Life and health		2,938		2,831		102		100

Note 16. Notes payable and other borrowings

Notes payable and other borrowings of our insurance and other businesses are summarized below (dollars in millions). The weighted average interest rates and maturity date ranges are based on borrowings as of September 30, 2025.

	Weighted Average Interest Rate			September 30, 2025		December 31, 2024
Insurance and other:
Berkshire Hathaway Inc. (“Berkshire”):
U.S. Dollar denominated due 2026-2047		3.5	%	$	3,547	$	3,749
Euro denominated due 2027-2041		1.4	%		4,196		4,733
Japanese Yen denominated due 2025-2060		1.1	%		14,757		12,609
Berkshire Hathaway Finance Corporation (“BHFC”):
U.S. Dollar denominated due 2027-2052		3.6	%		14,473		14,469
Great Britain Pound denominated due 2039-2059		2.5	%		2,318		2,156
Euro denominated due 2030-2034		1.8	%		1,462		1,290
Other subsidiary borrowings due 2025-2051		5.1	%		3,544		4,564
Short-term subsidiary borrowings		6.1	%		1,320		1,315
				$	45,617	$	44,885

Berkshire borrowings consist of senior unsecured debt. Berkshire repaid approximately $1.6 billion of maturing debt in the first nine months of 2025. In April 2025, Berkshire issued ¥90 billion ($632 million) of senior notes with maturity dates ranging from 2028 to 2055 and a weighted average interest rate of 1.6%. In July 2025, Berkshire issued ¥151.5 billion ($1.0 billion) of senior notes with maturity dates ranging from 2030 to 2040 and a weighted average interest rate of 2.3%.

Borrowings of BHFC, a wholly-owned finance subsidiary of Berkshire, consist of senior unsecured notes used to fund manufactured home loans originated or acquired and equipment held for lease of certain subsidiaries. BHFC borrowings are fully and unconditionally guaranteed by Berkshire. Berkshire also guarantees certain debt of other subsidiaries, aggregating approximately $1.7 billion at September 30, 2025. Generally, Berkshire’s guarantee of a subsidiary’s debt obligation is an absolute, unconditional and irrevocable guarantee for the full and prompt payment when due of all payment obligations.

The carrying values of Berkshire and BHFC non-U.S. Dollar denominated senior notes (€4.85 billion, £1.75 billion and ¥2,188 billion par at September 30, 2025) reflect the applicable exchange rates as of each balance sheet date. The effects of changes in foreign currency exchange rates during the period on these borrowings are recorded in earnings as a component of selling, general and administrative expenses. Changes in the exchange rates produced pre-tax gains of $433 million in the third quarter and pre-tax losses of $1.7 billion in the first nine months of 2025 as compared to pre-tax losses of $1.5 billion in the third quarter and $136 million in the first nine months of 2024.

Notes payable and other borrowings of our railroad, utilities and energy businesses are summarized below (dollars in millions). The weighted average interest rates and maturity date ranges are based on borrowings as of September 30, 2025.

	Weighted Average Interest Rate			September 30, 2025		December 31, 2024
Railroad, utilities and energy:
Berkshire Hathaway Energy Company (“BHE”) and subsidiaries:
BHE senior unsecured debt due 2028-2053		4.4	%	$	11,460	$	13,107
Subsidiary and other debt due 2025-2064		4.8	%		44,943		42,150
Short-term borrowings		4.7	%		1,719		1,123
Burlington Northern Santa Fe (“BNSF”) and subsidiaries due 2025-2097		4.8	%		23,504		23,497
				$	81,626	$	79,877

19

Notes to Consolidated Financial Statements

Note 16. Notes payable and other borrowings

BHE subsidiary debt represents amounts issued pursuant to separate financing agreements. Substantially all of the assets of certain BHE subsidiaries are, or may be, pledged or encumbered to support or otherwise secure such debt. These borrowing arrangements generally contain various covenants, including those which pertain to leverage ratios, interest coverage ratios and/or debt service coverage ratios. BNSF’s borrowings are primarily senior unsecured debentures. As of September 30, 2025, BHE, BNSF and their subsidiaries were in compliance with all applicable debt covenants. Berkshire does not guarantee any debt, borrowings or lines of credit of BHE, BNSF or their subsidiaries.

In the first nine months of 2025, BHE subsidiaries issued $3.1 billion of term debt, with a weighted average interest rate of 6.4% and maturity dates ranging from 2035 to 2055, and BHE and its subsidiaries repaid term debt of $2.4 billion and increased short-term borrowings by approximately $600 million. In the first nine months of 2025, BNSF repaid approximately $900 million of term debt and in June 2025, issued $900 million of 5.8% debentures due in 2056.

Unused and available lines of credit and commercial paper capacity to support operations and provide additional liquidity for our subsidiaries were approximately $10.9 billion at September 30, 2025, of which approximately $9.9 billion related to BHE and its subsidiaries.

Note 17. Fair value measurements

Our financial assets and liabilities are summarized below, with fair values shown according to the fair value hierarchy (in millions). The carrying values of cash and cash equivalents, U.S. Treasury Bills, other receivables and accounts payable, accruals and other liabilities are considered to be reasonable estimates of or otherwise approximate the fair values.

	Carrying Value		Fair Value		Level 1		Level 2		Level 3
September 30, 2025
Investments in fixed maturity securities:
U.S. Treasury, U.S. government corporations    and agencies	$	4,626	$	4,626	$	4,592	$	34	$	—
Foreign governments		11,842		11,842		11,708		134		—
Corporate and other		1,475		1,475		—		1,008		467
Investments in equity securities		283,241		283,241		273,424		11		9,806
Investments in Kraft Heinz & Occidental common stock		25,073		20,998		20,998		—		—
Loans and finance receivables		29,327		28,912		—		396		28,516
Derivative contract assets (1)		184		184		28		142		14
Derivative contract liabilities (1)		142		142		12		85		45
Notes payable and other borrowings:
Insurance and other		45,617		41,048		—		41,015		33
Railroad, utilities and energy		81,626		76,115		—		76,115		—
December 31, 2024
Investments in fixed maturity securities:
U.S. Treasury, U.S. government corporations    and agencies	$	4,459	$	4,459	$	4,425	$	34	$	—
Foreign governments		9,362		9,362		9,199		163		—
Corporate and other		1,543		1,543		—		1,041		502
Investments in equity securities		271,588		271,588		261,910		10		9,668
Investments in Kraft Heinz & Occidental common stock		30,682		23,047		23,047		—		—
Loans and finance receivables		27,798		27,579		—		810		26,769
Derivative contract assets (1)		201		201		33		158		10
Derivative contract liabilities (1)		234		234		15		143		76
Notes payable and other borrowings:
Insurance and other		44,885		40,181		—		40,158		23
Railroad, utilities and energy		79,877		72,506		—		72,506		—

——————

(1) Assets are included in other assets, and liabilities are included in accounts payable, accruals and other liabilities of railroad, utilities and energy.

20

Notes to Consolidated Financial Statements

Note 17. Fair value measurements

The fair values of substantially all of our financial instruments were measured using market or income approaches. The hierarchy for measuring fair value consists of Levels 1 through 3, which are described below.

Level 1 – Inputs represent unadjusted quoted prices for identical assets or liabilities exchanged in active markets.

Level 2 – Inputs include directly or indirectly observable inputs (other than Level 1 inputs) such as quoted prices for similar assets or liabilities exchanged in active or inactive markets; quoted prices for identical assets or liabilities exchanged in inactive markets; other inputs that may be considered in fair value determinations of the assets or liabilities, such as interest rates and yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates; and inputs that are derived principally from or corroborated by observable market data through correlation or other means. Pricing evaluations generally reflect discounted expected future cash flows, which incorporate yield curves for instruments with similar characteristics, such as credit ratings, estimated durations and yields for other instruments of the issuer or entities in the same industry sector.

Level 3 – Inputs include unobservable inputs used in the measurement of assets and liabilities. Management is required to use its own assumptions regarding unobservable inputs because there is little, if any, market activity in the assets or liabilities and it may be unable to corroborate the related observable inputs. Unobservable inputs require management to make certain projections and assumptions about the information that would be used by market participants in valuing assets or liabilities.

Reconciliations of significant assets and liabilities measured and carried at fair value on a recurring basis with the use of significant unobservable inputs (Level 3) follow (in millions).

	Balance at January 1		Gains (losses) in earnings			Balance at September 30
Investments in equity securities:
2025	$	9,663	$	136		$	9,799
2024		10,468		(699	)		9,769

Quantitative information as of September 30, 2025 for the significant assets and liabilities measured and carried at fair value on a recurring basis with the use of significant unobservable inputs (Level 3) follows (dollars in millions).

	Fair Value		Principal Valuation Techniques	Unobservable Inputs	Weighted Average
Investments in equity securities:
Preferred stock	$	8,780	Discounted cash flow	Expected duration	4 years
				Discounts for liquidity    and subordination	325 bps
Common stock warrants		1,019	Warrant pricing model	Expected duration	5 years
				Volatility	43%

Investments in equity securities in the preceding table include our investments in certain preferred stock and common stock warrants that do not have readily determinable market values as defined by GAAP. These investments are private placements and are not traded in securities markets. We applied discounted cash flow techniques in valuing the preferred stock and we made assumptions regarding the expected duration of the investment and the effects of illiquidity and subordination in liquidation. In valuing the common stock warrants, we used a warrant valuation model. While most of the inputs to the warrant model are observable, we made assumptions regarding the expected duration and volatility.

Note 18. Common stock

Changes in shares of Berkshire’s common stock are shown in the table below. In addition to our common stock, one million shares of preferred stock are authorized and none are issued.

	Class A, $5 Par Value (1.65 million shares authorized)									Class B, $0.0033 Par Value (3.225 billion shares authorized)
	Issued			Treasury			Outstanding			Issued		Treasury			Outstanding
Balance at December 31, 2024		623,902			(76,340	)		547,562			1,551,291,352		(215,299,213	)		1,335,992,139
Conversions of Class A to    Class B common stock		(24,138	)		—			(24,138	)		36,207,000		—			36,207,000
Balance at September 30, 2025		599,764			(76,340	)		523,424			1,587,498,352		(215,299,213	)		1,372,199,139

21

Notes to Consolidated Financial Statements

Note 18. Common stock

Each Class A common share is entitled to one vote per share. Class B common stock possesses dividend and distribution rights equal to one-fifteen-hundredth (1/1,500) of such rights of Class A common stock. Each Class B common share possesses voting rights equal to one-ten-thousandth (1/10,000) of the voting rights of a Class A share. Unless otherwise required under Delaware General Corporation Law, Class A and Class B common shares vote as a single class. Each share of Class A common stock is convertible, at the option of the holder, into 1,500 shares of Class B common stock. Class B common stock is not convertible into Class A common stock. On an equivalent Class A common stock basis, there were 1,438,223 shares outstanding as of September 30, 2025 and December 31, 2024.

Since we have two classes of common stock, we provide earnings per share data on the Consolidated Statements of Earnings for average equivalent Class A shares outstanding and average equivalent Class B shares outstanding. Average equivalent Class A shares outstanding represents average Class A shares outstanding plus one-fifteen-hundredth (1/1,500) of the average Class B shares outstanding. Average equivalent Class B shares outstanding represents average Class B shares outstanding plus 1,500 times the average Class A shares outstanding.

Berkshire’s common stock repurchase program permits Berkshire to repurchase its shares any time that Warren Buffett, Berkshire’s Chairman of the Board and Chief Executive Officer, believes that the repurchase price is below Berkshire’s intrinsic value, conservatively determined. The program allows share repurchases in the open market or through privately negotiated transactions and does not specify a maximum number of shares to be repurchased. However, repurchases will not be made if they would reduce the value of Berkshire’s consolidated cash, cash equivalents and U.S. Treasury Bill holdings below $30 billion. Berkshire is not obligated to repurchase any specific dollar amount or number of Class A or Class B shares under the program and there is no expiration date to the program. There were no share repurchases during the first nine months of 2025.

Note 19. Income taxes

Our consolidated effective income tax rates were 19.0% in the third quarter and 17.3% in the first nine months of 2025 compared to 18.5% in the third quarter and 19.2% in the first nine months of 2024. Our effective income tax rate normally reflects benefits from dividends-received deductions applicable to investments in certain equity securities and production tax credits related to wind-powered electricity generation placed in service in the U.S. Our periodic effective income tax rate will also vary due to the changes in mix of pre-tax earnings, including realized and unrealized investment gains or losses on our investments in equity securities, the amount of non-deductible goodwill impairment charges and other expenses and the underlying income tax rates applicable in the various taxing jurisdictions.

The Organization for Economic Co-operation and Development issued Pillar Two model rules introducing a global minimum tax of 15%. While the U.S. has not adopted the Pillar Two rules, various countries are enacting legislation to adopt the rules. We do not currently have material operations in jurisdictions with income tax rates lower than the Pillar Two minimum tax rate, and we do not currently expect these rules will materially increase our global tax costs. There remains uncertainty as to the final Pillar Two rules.

Note 20. Accumulated other comprehensive income

A summary of the net changes in after-tax accumulated other comprehensive income attributable to Berkshire shareholders follows (in millions).

	Unrealized investment gains (losses)		Foreign currency translation			Long-duration insurance contracts			Defined benefit pension plans			Other			Total
2025
Balance at the beginning of the year	$	117	$	(7,039	)	$	2,015		$	1,148		$	175		$	(3,584	)
Other comprehensive income		99		1,207			(120	)		(102	)		(23	)		1,061
Balance at September 30, 2025	$	216	$	(5,832	)	$	1,895		$	1,046		$	152		$	(2,523	)
2024
Balance at the beginning of the year	$	190	$	(5,393	)	$	1,353		$	(97	)	$	184		$	(3,763	)
Other comprehensive income		81		78			(10	)		(44	)		(34	)		71
Balance at September 30, 2024	$	271	$	(5,315	)	$	1,343		$	(141	)	$	150		$	(3,692	)

22

Notes to Consolidated Financial Statements

Note 21. Supplemental cash flow information

A summary of supplemental cash flow information for the first nine months of 2025 and 2024 follows (in millions).

	2025		2024
Cash paid during the period for:
Income taxes	$	8,652	$	17,466
Interest:
Insurance and other		1,079		1,163
Railroad, utilities and energy		2,883		2,645
Non-cash investing and financing activities
Class B common stock issued in exchange for noncontrolling interests		—		625

Note 22. Contingencies and commitments

We are parties in a variety of legal actions that routinely arise out of the normal course of business, including legal actions seeking to establish liability directly through insurance contracts or indirectly through reinsurance contracts issued by Berkshire subsidiaries. Plaintiffs occasionally seek punitive or exemplary damages. We do not currently believe that such normal and routine litigation will have a material effect on our financial condition or results of operations.

PacifiCorp, a wholly-owned subsidiary of Berkshire Hathaway Energy Company (“BHE”), operates as a regulated electric utility in Utah, Oregon, Wyoming and other Western states. HomeServices of America, Inc. (“HomeServices”) is also a wholly-owned subsidiary of BHE. Certain legal matters related to these entities are described below.

PacifiCorp

In September 2020, a severe weather event with high winds, low humidity and warm temperatures contributed to several major wildfires, which resulted in real and personal property and natural resource damage, personal injuries, loss of life and widespread power outages in Oregon and Northern California. These wildfires spread across certain parts of PacifiCorp’s service territory and surrounding areas across multiple counties in Oregon and California, including Siskiyou County, California; Jackson County, Oregon; Douglas County, Oregon; Marion County, Oregon; Lincoln County, Oregon; and Klamath County, Oregon, burning over 500,000 acres in aggregate and included the Santiam Canyon, Beachie Creek, South Obenchain, Echo Mountain Complex, 242, Archie Creek, Slater and other fires. The Slater fire occurred in both Oregon and California. Third-party reports for these wildfires (the “2020 Wildfires”) indicate over 2,000 structures destroyed, including residences, several other structures damaged, multiple individuals injured, and several fatalities.

A significant number of complaints and demands alleging similar claims have been filed in Oregon and California, including a class action complaint in Oregon associated with the 2020 Wildfires for which certain jury verdicts were issued as described below. The plaintiffs seek damages for economic losses, noneconomic losses, including mental suffering, emotional distress, personal injury and loss of life, as well as punitive damages, other damages and attorneys’ fees. Several insurance carriers have filed subrogation complaints in Oregon and California with allegations similar to those made in the aforementioned complaints.

Additionally, PacifiCorp received correspondence from the U.S. and Oregon Departments of Justice regarding the potential recovery of certain costs and damages alleged to have occurred on federal and state lands in connection with certain of the 2020 Wildfires. In December 2024, the United States of America filed a complaint against PacifiCorp in conjunction with the correspondence from the U.S. Department of Justice. The civil cover sheet accompanying the complaint demands damages estimated to exceed $900 million. PacifiCorp is actively cooperating with the U.S. and Oregon Departments of Justice on resolving these alleged claims.

Amounts sought in outstanding complaints and demands filed in Oregon and in certain demands in California total approximately $55 billion, excluding any doubling or trebling of damages or punitive damages included in the complaints and excluding damages that may be sought by additional plaintiffs granted substitution counsel in the James class action lawsuit described below. Generally, the complaints filed in California do not specify damages sought and are excluded from this amount. Of the $55 billion, $52 billion represents the economic and noneconomic damages sought in the James mass complaints described below. Oregon law provides for doubling of economic and property damages in the event the defendant is found to have acted with gross negligence, recklessness, willfulness or malice. Oregon law provides for trebling of damages associated with timber, shrubs and produce in the event the defendant is determined to have willfully and intentionally trespassed.

23

Notes to Consolidated Financial Statements

Note 22. Contingencies and commitments

The 2020 Wildfires and 2022 Wildfire discussed below are referred to as the “Wildfires.” Based on available information to date, losses have been and will likely continue to be incurred associated with the Wildfires. Final determinations of liability will only be made following the completion of comprehensive investigations, which may be or have been performed by various entities, including the U.S. Department of Agriculture Forest Service (“USFS”), the California Public Utilities Commission, the Oregon Department of Forestry (“ODF”) and the Oregon Department of Justice, as well as litigation or similar processes, the outcome of which, if adverse, could, in the aggregate, have a material adverse effect on PacifiCorp’s financial condition.

In May 2022, the USFS issued its report of investigation into the Archie Creek fire concluding that the probable cause of the fire was power lines owned and operated by PacifiCorp. The USFS report for the Achie Creek fire also states that evidence indicates failure of power line infrastructure. The USFS report of investigation into the Slater fire for the investigation period from October 5, 2020 to December 8, 2020 concluded that the fire was caused by a downed power line owned and operated by PacifiCorp. The USFS report for the Slater fire also states that evidence indicates a tree fell onto the power line and that wind blew over the 137-foot tree with internal rot that showed no outward signs of distress and would not have been classified or identified as a hazard tree. Settlements have been reached with substantially all individual plaintiffs, timber companies and insurance subrogation plaintiffs in both the Archie Creek and Slater fires, with government timber and suppression cost claims remaining. Additionally, settlements have been reached for all wrongful death claims associated with the 2020 Wildfires.

In April 2023, the USFS issued its report of investigation into a wildland fire that began in the Opal Creek wilderness outside of the Santiam Canyon that was first reported on August 16, 2020 (“Beachie Creek Fire”), approximately three weeks prior to the September 2020 wind event described above. In March 2025, PacifiCorp received the ODF’s final investigation report on the Santiam Canyon fires (“ODF’s Report”), which concluded that embers from the pre-existing Beachie Creek Fire caused 12 fires within the Santiam Canyon. The ODF’s Report also found that PacifiCorp’s power lines did not contribute to the overall spread of fire into the Santiam Canyon, even though its power lines ignited seven spot fires within the Santiam Canyon that were each suppressed.

The Beachie Creek fire that spread into the Santiam Canyon burned approximately 193,000 acres; the South Obenchain fire burned approximately 33,000 acres; the Echo Mountain Complex fire burned approximately 3,000 acres; and the 242 fire burned approximately 14,000 acres. The James cases described below are associated with the Beachie Creek (Santiam Canyon), South Obenchain, Echo Mountain Complex and 242 fires, which were four distinct fires located hundreds of miles apart.

The James Case

On September 30, 2020, a class action complaint against PacifiCorp was filed captioned Jeanyne James et al. v. PacifiCorp et al. (“James”), in Oregon Circuit Court in Multnomah County, Oregon (the “Multnomah Court”) in connection with the 2020 Wildfires. In November 2021, the plaintiffs filed an amended complaint to limit the class to include Oregon citizens allegedly impacted by the Santiam Canyon, Echo Mountain Complex, South Obenchain and 242 fires, as well as to add claims for noneconomic damages. The amended complaint alleged that PacifiCorp’s assets contributed to the Oregon wildfires occurring on or after September 7, 2020, and that PacifiCorp acted with gross negligence, among other things, seeking damages not less than $600 million of economic damages and in excess of $1 billion of noneconomic damages for the plaintiffs and the class. Since filing of the original class action complaint, numerous James class members have been named and damages specified in various complaints as described below. Additionally, numerous cases were consolidated into the original James complaint.

As of October 2025, various separate mass complaints against PacifiCorp naming approximately 1,700 individual class members have been filed referencing the James case as the lead case. These James case mass complaints make damages-only allegations with substantially all plaintiffs individually seeking $5 million of economic damages, $25 million of noneconomic damages and punitive damages equal to 0.25 times the amount of economic and noneconomic damages, as well as doubling of economic damages. An additional 1,500 plaintiffs have been granted the ability to not be represented by James lead counsel. A small portion of these additional plaintiffs have filed complaints seeking damages similar to those in the mass complaints. PacifiCorp expects additional complaints will be filed for these plaintiffs, including for the portion that are scheduled for trial under the July 2025 case management order described below. PacifiCorp believes the magnitude of damages sought by the class members in the James case mass complaints to be of remote likelihood of being awarded based on the amounts awarded in the jury verdicts described below that are being appealed.

24

Notes to Consolidated Financial Statements

Note 22. Contingencies and commitments

James trial activity

In June 2023, a jury verdict was issued in the first James trial finding PacifiCorp’s conduct grossly negligent, reckless and willful as to each of the 17 named plaintiffs and the entire class. The jury awarded economic and noneconomic damages. After the jury verdict, the Multnomah Court doubled the economic damages, in accordance with Oregon law, and added punitive damages by applying a 0.25 multiplier to the awarded economic and noneconomic damages. PacifiCorp filed a motion with the Multnomah Court requesting the court offset the damage awards by deducting insurance proceeds received by any of the plaintiffs. Net damages awarded to the 17 plaintiffs were $92 million. In January 2024, PacifiCorp filed a notice of appeal associated with the June 2023 verdict, including whether the case can proceed as a class action.

Subsequent to the June 2023 James verdict, numerous damages phase trials were held with separate jury verdicts issued and damages awarded for each on a basis consistent with the initial trial and relying on liability determination in the June 2023 James verdict. Aggregate net damages awarded in the subsequent trials, including estimates for additional damages expected to be awarded by the Multnomah Court for certain of these trials consistent with other awards are $497 million. PacifiCorp amended its January 2024 appeal of the June 2023 James verdict to include the jury verdicts for the first two damages phase trials. PacifiCorp has filed notices of appeal for the subsequent jury verdicts in the damages phase trials once the limited judgments are entered and any post-trial motions are filed. The appeals process and further actions could take several years.

For each limited judgment entered in the court, PacifiCorp has posted or expects to post a supersedeas bond, which stays any effort to seek payment of the judgments pending final resolution of any appeals. Under Oregon Revised Statutes 82.010, interest at a rate of 9% per annum will accrue on the judgments commencing at the date the judgments were entered until the entire money award is paid, amended or reversed by an appellate court.

James court activity

In April 2025, PacifiCorp filed its opening brief with the Oregon Court of Appeals in connection with its appeal of the June 2023 James verdict and the January and March 2024 verdicts for the first two James damages phase trials. In the opening brief, PacifiCorp addressed numerous procedural and legal issues, including that the class certification is improper due to the plaintiffs being impacted by distinct fires with independent ignition points that were hundreds of miles apart; awarding of noneconomic damages is not allowed under Oregon law; plaintiffs failed to prove that PacifiCorp caused harm to every class member; and jury instructions applied incorrect legal standards in assessing class-wide evidence and individual claims. Additionally, PacifiCorp incorporated the ODF’s Report into its opening appellate brief. Various parties who are not party to the James case have filed supportive amicus briefs with the court. The plaintiffs filed their combined answering and cross-appeal with the Oregon Court of Appeals on August 21, 2025. PacifiCorp filed its combined reply brief and cross-appeal answering brief on October 17, 2025. Plaintiffs’ reply brief is due on November 7, 2025, unless the plaintiffs request and are granted additional extensions of time to file their reply brief. On October 23, 2025, PacifiCorp filed a request with the Oregon Court of Appeals for an expedited oral argument, which, if granted, will facilitate a more prompt decision from the court.

Subsequent to the first two damages phase trials, nine additional damages trials were scheduled to be held in 2025 under the Multnomah Court’s October 2024 case management order. In March 2025, in consideration of the ODF’s Report, PacifiCorp filed a motion to stay the remaining James damages phase trials under the 2024 October case management order. The motion was heard by the court and was denied in April 2025. The remaining damages phase trial ordered under the 2024 October case management order is scheduled to begin December 1, 2025.

On July 28, 2025, the Multnomah Court issued Case Management Order No. 11 (“CMO No. 11”), which proposes to schedule dozens of trials in 2026 and over 100 more in 2027 and 2028, involving approximately 2,000 plaintiffs. Each trial is subject to and dependent on judicial resources and availability, which is expected to be determined six weeks before each trial. The CMO No. 11 proposed schedule is likely to put significant strain on the Multnomah Court system and PacifiCorp believes this may challenge the Multnomah Court’s ability to fulfill the trial schedule put forth in CMO No. 11. Additionally, CMO No. 11 requires mediation every other month starting in October 2025.

In August 2025, PacifiCorp filed a motion with the Court of Appeals of the State of Oregon (“Oregon Court of Appeals”) to stay the James damages trials addressed in CMO No. 11. In September 2025, the Appellate Commissioner of the Oregon Court of Appeals denied the motion to stay. On September 26, 2025, PacifiCorp filed a request for reconsideration of the stay denial with the Chief Judge of the Oregon Court of Appeals, which was denied on October 13, 2025. PacifiCorp has 35 days from October 13, 2025 to petition the Oregon Supreme Court to review the Oregon Court of Appeals decision.

25

Notes to Consolidated Financial Statements

Note 22. Contingencies and commitments

2022 Wildfire

According to the California Department of Forestry and Fire Protection, a wildfire began on July 29, 2022, in the Oak Knoll Ranger District of the Klamath National Forest in Siskiyou County, California located in PacifiCorp’s service territory (the “2022 Wildfire”) burning over 60,000 acres. Third-party reports indicate that the 2022 Wildfire resulted in 11 structures damaged, 185 structures destroyed, 12 injuries and four fatalities. The USFS issued a Wildland Fire Origin and Cause Supplemental Incident Report. The report concluded that a tree coming in contact with a power line is the probable cause of the 2022 Wildfire. Settlements have been reached with substantially all individual plaintiffs, timber companies and insurance subrogation plaintiffs in the 2022 Wildfire with government timber and suppression cost claims remaining. Additionally, all wrongful death claims have been settled or settled in principle associated with the 2022 Wildfire.

Wildfire loss information

A provision for a loss contingency is recorded when it is probable a liability has been incurred and the amount of loss can be reasonably estimated. PacifiCorp evaluates the related range of reasonably estimated losses and records a loss based on its best estimate within that range or the lower end of the range if there is no better estimate.

Estimated probable losses associated with the Wildfires were based on the information available to the date of this filing, including (i) ongoing cause and origin investigations; (ii) ongoing settlement and mediation activities; (iii) other litigation matters and upcoming legal proceedings; and (iv) the status of the James case. Estimated losses on the Wildfires include estimates for fire suppression costs, real and personal property damages, natural resource damages and noneconomic damages such as personal injury damages and loss of life damages that are considered probable of being incurred and reasonably estimable at this time, and which is subject to change as additional relevant information becomes available.

Through September 30, 2025, PacifiCorp recorded cumulative estimated probable Wildfire losses, before taxes and expected related insurance recoveries, of approximately $2.85 billion, of which approximately $1.4 billion has been paid in connection with settlements. Wildfire loss accruals recorded in the third quarter and first nine months of 2025 were $100 million compared to $251 million in the first nine months of 2024. Estimated unpaid liabilities were approximately $1.45 billion at September 30, 2025. Insurance recoveries received to date were $530 million, which were recorded prior to 2024. No further insurance recoveries are expected to become available.

It is reasonably possible PacifiCorp will incur significant additional losses beyond the amounts currently accrued; however, we are currently unable to reasonably estimate the range of possible additional losses that could be incurred due to the number of properties and parties involved, including claimants in the class to the James case and the 2022 Wildfire, the variation in the types of properties and damages and the ultimate outcome of legal actions, including mediation, settlement negotiations, jury verdicts and the appeals process.

HomeServices of America, Inc.

HomeServices is currently defending against several antitrust cases, all in federal district courts. In each case, plaintiffs claim HomeServices and certain of its subsidiaries (and in one case, BHE) conspired with co-defendants to artificially inflate real estate commissions by following and enforcing multiple listing service (“MLS”) rules that require listing agents to offer a commission split to cooperating agents in order for the property to appear on the MLS (“Cooperative Compensation Rule”). None of the complaints specify damages sought. However, two cases also allege Texas state law deceptive trade practices claims, for which plaintiffs have asserted damages totaling approximately $9 billion by separate written notice as required by Texas law.

In one of these cases, Burnett (formerly Sitzer) et al. v. HomeServices of America, Inc. et al. (the “Burnett case”), a jury trial in the U.S. District Court for the Western District of Missouri (“U.S. District Court”) returned a verdict for the plaintiffs on October 31, 2023, finding that the named defendants participated in a conspiracy to follow and enforce the Cooperative Compensation Rule, which conspiracy had the purpose or effect of raising, inflating, or stabilizing broker commission rates paid by home sellers. The jury further found that the class plaintiffs had proved damages of $1.8 billion. Joint and several liability applies for the co-defendants. Federal law authorizes trebling of damages and the award of pre-judgment interest and attorney fees. To date, all defendants have reached settlements with the plaintiffs. The U.S. District Court approved these settlements in May and November 2024. The U.S. District Court entered a final judgment on the HomeServices settlement on January 15, 2025. All settlements have been appealed to the U.S. Court of Appeals for the Eighth Circuit. The initial briefing on all appeals was filed on April 21, 2025 and response briefs were filed on July 21, 2025. Reply briefs are due November 19, 2025.

26

Notes to Consolidated Financial Statements

Note 22. Contingencies and commitments

The final HomeServices settlement agreement reached with the plaintiffs in April 2024 settles all claims asserted against HomeServices and certain of its subsidiaries in the Burnett case and effectuates a nationwide class settlement. The final settlement agreement includes scheduled payments over four years aggregating $250 million. HomeServices has made payments in escrow of $67 million through September 30, 2025. If the settlement is not affirmed by the U.S. Court of Appeals for the Eighth Circuit, HomeServices intends to vigorously appeal on multiple grounds the jury’s findings and damage award in the Burnett case, including whether the case can proceed as a class action. The appeals process and further actions could take several years.

Other legal matters

In September 2024, National Indemnity Company (“NICO”) entered into a settlement agreement concerning certain non-insurance affiliates that filed voluntary petitions under Chapter 11 of the bankruptcy code in the United States Bankruptcy Court for the District of New Jersey (the “Court”) in 2023. Under the terms of the settlement agreement, NICO agreed to pay $535 million to the bankruptcy estate in consideration of a release of all estate causes of action against NICO and its affiliates. In connection with the settlement agreement, NICO recorded a pre-tax charge of $490 million in September 2024, which is net of $45 million from a third party that was covered under the release. The Court’s approval of the settlement agreement over the objections of certain creditors is pending, as are appeals by certain creditors of prior rulings in favor of the bankruptcy estate.

Berkshire and certain of its subsidiaries are also involved in other kinds of legal actions, some of which assert or may assert claims or seek to impose fines and penalties. We currently believe that liabilities that may arise as a result of such other pending legal actions will not have a material effect on our consolidated financial condition or results of operations.

Commitments

On October 2, 2025, Berkshire announced it entered into a definitive agreement to acquire the chemicals business (“OxyChem”) from Occidental Petroleum Corporation (“Occidental”) for cash consideration of $9.7 billion, subject to customary purchase price adjustments. Occidental will retain OxyChem’s legacy environmental liabilities. OxyChem is a global manufacturer of commodity chemicals, with applications in water treatment, pharmaceuticals, healthcare and commercial and residential development. The transaction is expected to close in the fourth quarter of 2025, subject to regulatory approvals and other customary closing conditions.

In January 2024, we acquired the remaining noncontrolling interests in Pilot for $2.6 billion. On September 30, 2024, BHE repurchased 5.85% of its outstanding common stock held by certain noncontrolling BHE shareholders for $2.9 billion. In September and October 2024, Berkshire acquired the remaining 2.12% of BHE’s outstanding common stock held by noncontrolling shareholders in exchange for 2,291,631 shares of Berkshire Class B common stock valued at $1.045 billion. The acquisitions of these noncontrolling interests represented equity transactions. We recorded the differences between the consideration paid and the carrying values of the noncontrolling interests, net of deferred income tax liabilities, if applicable, to capital in excess of par value.

27

Notes to Consolidated Financial Statements

Note 23. Revenues from contracts with customers

The following tables summarize customer contract revenues disaggregated by reportable segment and the source of the revenue (in millions). Other revenues, which are not considered to be revenues from contracts with customers under GAAP, are primarily insurance premiums earned, interest, dividend and other investment income and leasing revenues.

	BNSF		BHE		Manufacturing		Service and Retailing		Pilot		McLane		Insurance, Corporate and other		Total
Three months ended September 30, 2025
Manufactured products:
Industrial and commercial	$	—	$	—	$	7,630	$	34	$	—	$	—	$	—	$	7,664
Building		—		—		5,106		—		—		—		—		5,106
Consumer		—		—		4,598		—		—		—		—		4,598
Grocery and convenience store distribution		—		—		—		—		—		7,884		—		7,884
Food and beverage distribution		—		—		—		—		—		4,836		—		4,836
Auto sales		—		—		—		2,836		—		—		—		2,836
Other retail and wholesale distribution		—		—		896		3,719		10,769		—		—		15,384
Service		5,966		1,104		387		1,766		67		233		—		9,523
Electricity and natural gas		—		5,916		—		—		—		—		—		5,916
Total		5,966		7,020		18,617		8,355		10,836		12,953		—		63,747
Other revenues		47		273		1,398		2,213		43		7		27,244		31,225
	$	6,013	$	7,293	$	20,015	$	10,568	$	10,879	$	12,960	$	27,244	$	94,972
Nine months ended September 30, 2025
Manufactured products:
Industrial and commercial	$	—	$	—	$	22,685	$	152	$	—	$	—	$	—	$	22,837
Building		—		—		14,817		—		—		—		—		14,817
Consumer		—		—		13,219		—		—		—		—		13,219
Grocery and convenience store distribution		—		—		—		—		—		22,842		—		22,842
Food and beverage distribution		—		—		—		—		—		13,872		—		13,872
Auto sales		—		—		—		8,448		—		—		—		8,448
Other retail and wholesale distribution		—		—		2,725		11,073		30,918		—		—		44,716
Service		17,319		3,070		1,099		5,152		198		634		—		27,472
Electricity and natural gas		—		16,287		—		—		—		—		—		16,287
Total		17,319		19,357		54,545		24,825		31,116		37,348		—		184,510
Other revenues		139		685		4,162		6,526		280		27		80,883		92,702
	$	17,458	$	20,042	$	58,707	$	31,351	$	31,396	$	37,375	$	80,883	$	277,212

28

Notes to Consolidated Financial Statements

Note 23. Revenues from contracts with customers

	BNSF		BHE		Manufacturing		Service and Retailing		Pilot		McLane		Insurance, Corporate and other		Total
Three months ended September 30, 2024
Manufactured products:
Industrial and commercial	$	—	$	—	$	7,185	$	49	$	—	$	—	$	—	$	7,234
Building	—		—			5,176	—		—		—			—		5,176
Consumer	—		—			4,749	—		—		—			—		4,749
Grocery and convenience store distribution	—		—		—		—		—			7,882		—		7,882
Food and beverage distribution	—		—		—		—		—			4,372		—		4,372
Auto sales	—		—		—			2,722	—		—			—		2,722
Other retail and wholesale distribution	—		—			823		3,598		10,508	—			—		14,929
Service		5,866		1,098		414		1,464		76		232		—		9,150
Electricity and natural gas	—			5,834	—		—		—		—			—		5,834
Total		5,866		6,932		18,347		7,833		10,584		12,486		—		62,048
Other revenues		54		391		1,323		1,995		39		41		27,104		30,947
	$	5,920	$	7,323	$	19,670	$	9,828	$	10,623	$	12,527	$	27,104	$	92,995
Nine months ended September 30, 2024
Manufactured products:
Industrial and commercial	$	—	$	—	$	21,854	$	156	$	—	$	—	$	—	$	22,010
Building	—		—			15,083	—		—		—			—		15,083
Consumer	—		—			13,530	—		—		—			—		13,530
Grocery and convenience store distribution	—		—		—		—		—			22,984		—		22,984
Food and beverage distribution	—		—		—		—		—			13,286		—		13,286
Auto sales	—		—		—			7,988	—		—			—		7,988
Other retail and wholesale distribution	—		—			2,485		11,107		35,778	—			—		49,370
Service		17,182		3,108		1,193		4,278		208		698		—		26,667
Electricity and natural gas	—			15,940	—		—		—		—			—		15,940
Total		17,182		19,048		54,145		23,529		35,986		36,968		—		186,858
Other revenues		162		1,020		3,843		5,893		115		130		78,496		89,659
	$	17,344	$	20,068	$	57,988	$	29,422	$	36,101	$	37,098	$	78,496	$	276,517

A summary of transaction prices allocated to the significant unsatisfied remaining performance obligations related to contracts with expected durations exceeding one year as of September 30, 2025 and the timing of when the performance obligations are expected to be satisfied follows (in millions).

	Less than 12 months		Greater than 12 months		Total
Electricity and natural gas	$	3,392	$	18,272	$	21,664
Other sales and service contracts		3,484		7,005		10,489

Note 24. Business segment data

Berkshire’s numerous and diverse businesses are managed on an unusually decentralized basis. These businesses are aggregated into operating segments in a manner that reflects how Berkshire views the business activities. The tabular information that follows shows data of Berkshire’s reportable business segments reconciled to amounts reflected in our Consolidated Financial Statements. Intersegment transactions are not eliminated from segment results when those transactions are considered in assessing the results of the respective segments. Furthermore, investment gains and losses, goodwill and indefinite-lived intangible asset impairments and amortization of certain acquisition accounting adjustments or certain other corporate income and expense items are not considered in assessing the financial performance of operating businesses. Collectively, these items are included in corporate, eliminations and other to reconcile segment totals to consolidated amounts. The information in the following tables includes additional disclosures pursuant to ASU 2023-07, which we adopted as of December 31, 2024.

29

Notes to Consolidated Financial Statements

Note 24. Business segment data

We view our insurance segment as possessing two distinct activities – underwriting and investing. Our underwriting activities are summarized for GEICO, Berkshire Hathaway Primary Group (“BH Primary”) and Berkshire Hathaway Reinsurance Group (“BHRG”). Earnings data of our business segments are shown in the following tables (in millions).

	Third Quarter 2025
	GEICO		BH Primary		BHRG		Total Underwriting		Investment Income		Total
Revenues	$	11,264	$	4,711	$	6,470	$	22,445	$	3,736	$	26,181
Costs and expenses:
Losses and loss adjustment expenses (“LAE”)		8,047		2,842		2,846		13,735		—		13,735
Life, annuity and health benefits		—		—		1,116		1,116		—		1,116
Other segment items		1,444		1,363		1,624		4,431		20		4,451
Total costs and expenses		9,491		4,205		5,586		19,282		20		19,302
Earnings before income taxes	$	1,773	$	506	$	884	$	3,163	$	3,716	$	6,879

	First Nine Months 2025
	GEICO		BH Primary		BHRG		Total Underwriting		Investment Income		Total
Revenues	$	33,080	$	13,965	$	19,399	$	66,444	$	11,360	$	77,804
Costs and expenses:
Losses and LAE		23,416		9,487		9,551		42,454		—		42,454
Life, annuity and health benefits		—		—		3,316		3,316		—		3,316
Other segment items		3,897		4,053		5,305		13,255		80		13,335
Total costs and expenses		27,313		13,540		18,172		59,025		80		59,105
Earnings before income taxes	$	5,767	$	425	$	1,227	$	7,419	$	11,280	$	18,699

	Third Quarter 2024
	GEICO		BH Primary			BHRG			Total Underwriting		Investment Income		Total
Revenues	$	10,699	$	4,685		$	6,671		$	22,055	$	4,609	$	26,664
Costs and expenses:
Losses and LAE		7,634		4,066			3,463			15,163		—		15,163
Life, annuity and health benefits		—		—			925			925		—		925
Other segment items		1,032		1,308			2,593			4,933		15		4,948
Total costs and expenses		8,666		5,374			6,981			21,021		15		21,036
Earnings before income taxes	$	2,033	$	(689	)	$	(310	)	$	1,034	$	4,594	$	5,628

	First Nine Months 2024
	GEICO		BH Primary		BHRG		Total Underwriting		Investment Income		Total
Revenues	$	31,402	$	13,882	$	20,198	$	65,482	$	11,850	$	77,332
Costs and expenses:
Losses and LAE		22,803		9,971		9,944		42,718		—		42,718
Life, annuity and health benefits		—		—		2,824		2,824		—		2,824
Other segment items		2,852		3,835		6,046		12,733		36		12,769
Total costs and expenses		25,655		13,806		18,814		58,275		36		58,311
Earnings before income taxes	$	5,747	$	76	$	1,384	$	7,207	$	11,814	$	19,021

Other segment items related to insurance underwriting include commissions and brokerage expenses and other insurance underwriting expenses.

30

Notes to Consolidated Financial Statements

Note 24. Business segment data

	BNSF
	Third Quarter				First Nine Months
	2025		2024		2025		2024
Revenues	$	6,039	$	5,940	$	17,528	$	17,405
Costs and expenses:
Compensation and benefits		1,400		1,407		4,159		4,140
Fuel		772		799		2,240		2,475
Depreciation and amortization		684		644		2,034		1,964
Interest expense		279		275		821		807
Other segment items		992		969		2,950		3,032
Total costs and expenses		4,127		4,094		12,204		12,418
Earnings before income taxes	$	1,912	$	1,846	$	5,324	$	4,987

Other segment items of BNSF include purchased services, equipment rents and materials expenses.

	BHE
	Third Quarter				First Nine Months
	2025		2024		2025		2024
Revenues	$	7,304	$	7,335	$	20,078	$	20,104
Costs and expenses:
Energy cost of sales		1,876		1,902		4,841		5,099
Energy operations and maintenance		1,473		1,342		4,114		4,139
Energy depreciation and amortization		1,025		986		3,088		2,944
Real estate operating costs and expenses		1,146		1,151		3,227		3,477
Interest expense		658		630		1,968		1,900
Other segment items		213		223		819		686
Total costs and expenses		6,391		6,234		18,057		18,245
Earnings before income taxes	$	913	$	1,101	$	2,021	$	1,859

Other segment items of BHE primarily consist of property taxes and other expenses.

	Manufacturing								Service and retailing
	Third Quarter				First Nine Months				Third Quarter				First Nine Months
	2025		2024		2025		2024		2025		2024		2025		2024
Revenues	$	20,047	$	19,675	$	58,782	$	58,044	$	10,593	$	9,842	$	31,418	$	29,492
Costs and expenses:
Cost of sales and services		12,848		12,801		38,157		38,091		6,388		5,907		18,846		17,652
Cost of leasing		288		297		887		827		1,587		1,473		4,763		4,378
Interest expense		303		264		886		657		28		30		84		88
Other segment items		3,024		3,178		9,305		9,291		1,610		1,555		4,699		4,620
Total costs and expenses		16,463		16,540		49,235		48,866		9,613		8,965		28,392		26,738
Earnings before income taxes	$	3,584	$	3,135	$	9,547	$	9,178	$	980	$	877	$	3,026	$	2,754

Other segment items of the manufacturing, service and retailing segments primarily consist of selling, general and administrative expenses.

31

Notes to Consolidated Financial Statements

Note 24. Business segment data

	Pilot									McLane
	Third Quarter					First Nine Months				Third Quarter				First Nine Months
	2025			2024		2025		2024		2025		2024		2025		2024
Revenues	$	10,882		$	10,630	$	31,421	$	36,132	$	13,191	$	12,723	$	37,967	$	37,656
Costs and expenses:
Cost of sales and services		9,881			9,453		28,175		32,903		12,054		11,683		34,660		34,556
Depreciation and amortization		266			254		783		750		50		50		146		149
Other segment items		752			706		2,193		1,993		914		845		2,631		2,499
Total costs and expenses		10,899			10,413		31,151		35,646		13,018		12,578		37,437		37,204
Earnings before income taxes	$	(17	)	$	217	$	270	$	486	$	173	$	145	$	530	$	452

Other segment items of Pilot primarily consist of store operating, interest and general and administrative expenses. Other segment items of McLane include general and administrative expenses.

Reconciliations of revenues and earnings before income taxes of our business segments to the consolidated amounts follow (in millions).

	Revenues								Earnings before income taxes
	Third Quarter				First Nine Months				Third Quarter					First Nine Months
	2025		2024		2025		2024		2025		2024			2025			2024
Total operating businesses	$	94,237	$	92,809	$	274,998	$	276,165	$	14,424	$	12,949		$	39,417		$	38,737
Investment gains (losses)		—		—		—		—		21,939		20,514			21,868			46,247
Equity method investments		—		—		—		—		330		222			(4,289	)		967
Corporate, eliminations and other		735		186		2,214		352		1,412		(1,177	)		1,007			400
	$	94,972	$	92,995	$	277,212	$	276,517	$	38,105	$	32,508		$	58,003		$	86,351

Additional segment data follows (in millions).

	Interest expense											Income tax expense (benefit)
	Third Quarter						First Nine Months					Third Quarter						First Nine Months
	2025			2024			2025			2024		2025			2024			2025			2024
Business segments
Insurance	$	—		$	—		$	—		$	—	$	1,329		$	1,212		$	3,560		$	3,826
BNSF		279			275			821			807		463			463			1,195			1,234
BHE		658			630			1,968			1,900		(606	)		(708	)		(1,385	)		(1,535	)
Manufacturing		303			264			886			657		768			726			2,080			2,137
Service and retailing		28			30			84			88		265			218			733			676
Pilot		53			69			174			246		(3	)		18			60			45
McLane		6			4			19			14		42			38			130			114
		1,327			1,272			3,952			3,712		2,258			1,967			6,373			6,497
Reconciliation to consolidated amount
Investment gains (losses)		—			—			—			—		4,622			4,325			4,611			9,801
Equity method investments		—			—			—			—		54			23			(1,105	)		143
Corporate, eliminations and other		(66	)		(58	)		(181	)		48		307			(287	)		131			100
	$	1,261		$	1,214		$	3,771		$	3,760	$	7,241		$	6,028		$	10,010		$	16,541

32

Notes to Consolidated Financial Statements

Note 24. Business segment data

	Capital expenditures								Depreciation and amortization
	Third Quarter				First Nine Months				Third Quarter				First Nine Months
	2025		2024		2025		2024		2025		2024		2025		2024
Business segments
Insurance	$	30	$	10	$	65	$	59	$	112	$	94	$	329	$	292
BNSF		998		1,024		2,597		2,779		684		644		2,034		1,964
BHE		2,954		2,108		7,527		6,236		1,035		997		3,118		2,979
Manufacturing		646		669		1,956		2,028		606		614		1,828		1,828
Service and retailing		677		656		1,774		1,818		413		398		1,216		1,141
Pilot		233		174		691		570		266		254		783		750
McLane		48		60		115		139		50		50		146		149
	$	5,586	$	4,701	$	14,725	$	13,629		3,166		3,051		9,454		9,103
Reconciliation to consolidated amount
Corporate, eliminations and other										167		155		473		469
									$	3,333	$	3,206	$	9,927	$	9,572

	Goodwill				Identifiable assets
	September 30, 2025		December 31, 2024		September 30, 2025		December 31, 2024
Business segments
Insurance	$	16,557	$	16,557	$	593,230	$	539,884
BNSF		15,351		15,351		81,537		80,813
BHE		11,756		11,669		134,614		128,276
Manufacturing		28,273		27,716		122,969		119,860
Service and retailing		5,879		5,878		39,320		37,198
Pilot		6,477		6,477		19,192		19,652
McLane		232		232		7,344		7,165
	$	84,525	$	83,880		998,206		932,848
Reconciliation to consolidated amount
Corporate and other						143,232		137,153
Goodwill						84,525		83,880
					$	1,225,963	$	1,153,881

33

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Results of Operations

Net earnings attributable to Berkshire shareholders are disaggregated in the table that follows. Amounts are after deducting income taxes and exclude earnings attributable to noncontrolling interests (in millions).

	Third Quarter					First Nine Months
	2025		2024			2025			2024
Insurance – underwriting	$	2,369	$	750		$	5,697		$	5,611
Insurance – investment income		3,181		3,664			9,441			9,582
BNSF		1,449		1,383			4,129			3,753
Berkshire Hathaway Energy (“BHE”)		1,489		1,629			3,288			3,001
Manufacturing, service and retailing		3,616		3,342			10,277			9,810
Investment gains (losses)		17,311		16,161			17,243			36,391
Other-than-temporary impairment of investment in Kraft Heinz		—		—			(3,760	)		—
Other		1,381		(678	)		1,454			1,153
Net earnings attributable to Berkshire shareholders	$	30,796	$	26,251		$	47,769		$	69,301

Through our subsidiaries, we engage in numerous diverse business activities. The business segment data (Note 24 to the accompanying Consolidated Financial Statements and Note 26 to the Consolidated Financial Statements included in Form 10-K for the year ended December 31, 2024) should be read in conjunction with this discussion.

Our periodic operating results may be affected in future periods by the impacts of ongoing macroeconomic and geopolitical conflicts and events, as well as changes in industry or company-specific factors or events. These events, including tensions from developing international trade policies and tariffs, accelerated through the first nine months of 2025. Considerable uncertainty remains as to the ultimate outcome of these events. We are currently unable to reliably predict the ultimate impact on our businesses, whether through changes in the availability of products, supply chain costs and efficiency, and customer demand for our products and services. It is reasonably possible there could be adverse consequences on our operating businesses, as well as on our investments in equity securities, which could significantly affect our future results.

After-tax insurance underwriting earnings increased $1.6 billion in the third quarter and $86 million in the first nine months of 2025 compared to the same periods in 2024. The comparative earnings increase in the third quarter was primarily attributable to lower incurred losses from current year significant catastrophe events and from prior accident years’ claims, as well as the impact of accruals in the third quarter of 2024 in connection with a bankruptcy settlement. Underwriting results in the first nine months of 2025 included after-tax losses of approximately $850 million from the Southern California wildfires, which occurred in the first quarter. After-tax earnings from insurance investment income declined $483 million (13.2%) in the third quarter and $141 million (1.5%) in the first nine months of 2025 compared to 2024, primarily attributable to lower interest rates, as well as the impact of capital distributions to Berkshire in the fourth quarter of 2024. The subsequent investment income earned on such distributions is included in “other” earnings in the above table.

After-tax earnings of BNSF increased $66 million (4.8%) in the third quarter and $376 million (10.0%) in the first nine months of 2025 compared to 2024, primarily from core pricing gains, improved operating efficiencies and lower effective income tax rates. After-tax earnings of BHE declined $140 million (8.6%) in the third quarter and increased $287 million (9.6%) in the first nine months of 2025 compared to 2024. The earnings in the third quarter of 2025 were lower in the U.S. utilities, natural gas pipelines and other energy businesses, partially offset by lower earnings attributable to noncontrolling interests. Earnings in the first nine months of 2025 included lower wildfire-related and real estate brokerage litigation accruals compared to 2024.

After-tax earnings from our manufacturing, service and retailing businesses increased $274 million (8.2%) in the third quarter and $467 million (4.8%) in the first nine months of 2025 compared to 2024. Results among our numerous operations were mixed.

Investment gains (losses) can include significant unrealized gains and losses from changes in market prices of our investments in equity securities and in foreign currency exchange rates applicable to certain of our investments. We believe that investment gains and losses, whether realized from dispositions or unrealized from changes in market prices and exchange rates, are generally meaningless in understanding our reported periodic results or evaluating our periodic economic performance. These gains and losses have caused and will continue to cause significant volatility in our periodic earnings.

34

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Results of Operations

After-tax other earnings include corporate investment income not allocated to operating businesses, earnings from equity method investments (excluding the other-than-temporary impairment loss recognized in the second quarter of 2025 on Berkshire’s investment in Kraft Heinz) and foreign currency exchange rate gains and losses related to Berkshire and BHFC non-U.S. Dollar denominated debt. After-tax corporate investment income increased $533 million in the third quarter and $1.6 billion in the first nine months of 2025 compared to 2024, primarily attributable to the impact of increased investments derived from subsidiary capital distributions to Berkshire. Foreign currency exchange rate changes on the non-U.S. Dollar denominated debt produced after-tax gains of $331 million in the third quarter and after-tax losses of $1.3 billion in the first nine months of 2025 compared to after-tax losses of $1.1 billion in the third quarter and $98 million in the first nine months of 2024.

Insurance—Underwriting

Our periodic underwriting earnings may be subject to considerable volatility from the timing and magnitude of significant property catastrophe loss events. We currently consider consolidated pre-tax losses exceeding $150 million from an event occurring in the current year to be significant. We incurred significant losses from the Southern California wildfires in the first quarter of 2025 and from Hurricane Helene in the third quarter of 2024. Changes in estimates for unpaid losses and loss adjustment expenses, including amounts established for occurrences in prior years, and foreign currency transaction gains and losses arising from the remeasurement of non-U.S. Dollar denominated assets and liabilities can also significantly affect our periodic underwriting results.

We write primary insurance and reinsurance policies covering property and casualty risks, as well as life and health risks. Our insurance and reinsurance businesses are GEICO, Berkshire Hathaway Primary Group (“BH Primary”) and Berkshire Hathaway Reinsurance Group (“BHRG”). We strive to generate pre-tax underwriting earnings (defined as premiums earned less insurance losses/benefits incurred and underwriting expenses) over the long term in all business categories, except in our retroactive reinsurance and periodic payment annuity businesses. Time-value-of-money concepts are important considerations in establishing premiums for these policies, which are recognized as charges to earnings over the claim settlement periods.

Underwriting results of our insurance businesses are summarized below (dollars in millions).

	Third Quarter						First Nine Months
	2025			2024			2025			2024
Pre-tax underwriting earnings:
GEICO	$	1,773		$	2,033		$	5,767		$	5,747
Berkshire Hathaway Primary Group		506			(689	)		425			76
Berkshire Hathaway Reinsurance Group		884			(310	)		1,227			1,384
Pre-tax underwriting earnings		3,163			1,034			7,419			7,207
Income taxes		794			284			1,722			1,596
Net underwriting earnings	$	2,369		$	750		$	5,697		$	5,611
Effective income tax rate		25.1	%		27.5	%		23.2	%		22.1	%

GEICO

GEICO writes property and casualty insurance policies, primarily private passenger automobile insurance, in all 50 states and the District of Columbia. GEICO offers its policies mainly by direct response methods where most customers apply for insurance coverage directly to the company. GEICO also operates an insurance agency that offers primarily homeowners and renters insurance to its auto policyholders. A summary of GEICO’s underwriting results follows (dollars in millions).

	Third Quarter								First Nine Months
	2025				2024				2025				2024
	Amount		%		Amount		%		Amount		%		Amount		%
Premiums written	$	11,744			$	11,181			$	34,253			$	32,435
Premiums earned	$	11,264		100.0	$	10,699		100.0	$	33,080		100.0	$	31,402		100.0
Losses and loss adjustment expenses		8,047		71.5		7,634		71.4		23,416		70.8