Start Finance Buffett’s company is worried about economic downturn

Buffett’s company is worried about economic downturn

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The US star investor Warren Buffett has suffered with its investment company Berkshire Hathaway a strong profit decline. In the second quarter, the operating result fell year-on-year by 11 percent to 6.1 billion dollars (5.5 billion euros), as the company announced yesterday in Omaha, Nebraska. The important insurance business around the US industry giant Geico threw significantly less money, also made the slowing US economy noticeable.

For over 50 years at the top

Although the net surplus Berkshire Hathaway increased from twelve billion to 14.1 billion dollars. Buffett himself, however, always advises against paying much attention to this number. Since the introduction of a new accounting policy that requires the fair value of unrealized investment gains to be reported on an ongoing basis, earnings are subject to significant fluctuations. Therefore, according to Buffett, it is no longer a good indicator of business development.

To Berkshire Hathaway belong to the 90 companies, in addition to various share packages of listed major companies such as Coca-Cola, Wells Fargo, Apple and since this year, Amazon. The 88-year-old stock-market guru Buffett has run the conglomerate for more than 50 years and is also known as the „Oracle of Omaha“ because of his smelling talent. Thanks to his fortunate investment talent, Buffett has been one of the richest people in the world for years – most recently „Forbes“ estimated his fortune at $ 80.5 billion.