(Boursier.com) — Berkshire Hathaway, Warren Buffett’s investment firm, posted a record cash level of more than $157 billion at the end of the third quarter. The conglomerate reduced its equity investments in the quarter, with $5 billion in net sales. The Omaha, Nebraska group also reported on Saturday an operating profit of $10.76 billion (+41%) for the quarter ended, with the positive effect of high interest rates and the strength of insurance activities. The group spent $1.1 billion on share repurchases in the quarter, bringing the nine-month repurchase total to $7 billion. Taking into account losses on investments and derivatives, Berkshire posted a quarterly net loss more than quadrupled to $12.8 billion, mainly due to losses on the equity portfolio in a difficult market environment, the group’s largest holding. being Apple – whose share price declined over the period.
Berkshire also indicated its caution regarding current valuations on the equity markets and the general environment. Among the positive points in the quarter ended, insurance activities generated $4.9 billion in profit, compared to $336 million a year earlier. Unfortunately, Berkshire also deplored an investment loss of $23.5 billion for the quarter, with Apple’s price having declined by 12% over the period. American Express, Coca-Cola and Bank of America, other key holdings, also corrected. Berkshire remained a net seller of stocks for the fourth consecutive quarter, including selling more than 12 million Chevron shares just before the Hess acquisition. The total value of Berkshire’s portfolio fell to $319 billion at the end of the quarter compared to $353 billion a quarter before, while cash therefore increased from $147 to $157 billion.
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