Profits rise 17% for Berkshire in second quarter earnings

Warren Buffett has said Berkshire's operating earnings offer a better view of quarterly performance because they exclude investments and derivatives, which can vary widely.

NEW YORK — Berkshire Hathaway, the conglomerate controlled by billionaire Warren Buffett, said Saturday that its second-quarter profit rose 17% as its gains from its investments rose.

Berkshire owns several companies, including Duracell and Fruit of the Loom. It also has major investments in well-known corporations including Coca-Cola Co. and Apple Inc.

Omaha-based Berkshire said it had net income of $14 billion, or $8,608 per Class A share, in the April to June quarter. That’s up from $12 billion, or $7,301 per Class A share, in the same quarter a year ago.

Buffett has said Berkshire’s operating earnings offer a better view of quarterly performance because they exclude investments and derivatives, which can vary widely. By that measure, its earnings fell 11% to $6.1 billion.

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Total revenue rose 2% to $63.6 billion.

Berkshire said its second-quarter results exclude earnings from its 26.7% stake in Kraft Heinz, because the statements were not yet made available to Berkshire. It plans to record those earnings at a later time.

The company also said it was sitting on more than $122 billion in cash, up from more than $114 billion at the end of March.

The Omaha World-Herald is owned by Berkshire Hathaway Inc.

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