Berkshire Hathaway (BRK.B) reported its Q4 2024 and full-year 2024 financial results, reflecting strong operating performance, continued insurance sector strength, and consistent capital management, even as net earnings moderated due to market-driven investment volatility.

In the fourth quarter, net earnings attributable to Berkshire shareholders totaled $19.7 billion, down from $37.6 billion in Q4 2023, primarily due to lower investment gains. For the full year, net earnings came in at $89.0 billion, a decline from $96.2 billion in 2023. However, underlying business performance remained robust. Operating earnings for Q4 2024 surged to $14.5 billion, up from $8.5 billion a year earlier, while full-year operating earnings reached $47.4 billion, a substantial increase from $37.4 billion in 2023.

On a per-share basis, net earnings per average equivalent Class A share were $13,695 for the quarter and $61,900 for the year. For Class B shares, quarterly earnings were $9.13, with full-year earnings at $41.27.

Segment performance was led by insurance operations, a cornerstone of Berkshire’s value proposition. Insurance underwriting income jumped to $3.4 billion in Q4 2024, up from $848 million in the prior year. Insurance investment income also rose sharply, reaching $4.1 billion, compared to $2.8 billion in Q4 2023, benefiting from higher interest rates and disciplined portfolio management.

Elsewhere in the portfolio, BNSF (railroad) posted $1.3 billion in earnings, slightly down from $1.4 billion the year before. Berkshire Hathaway Energy contributed $729 million, up from $632 million in Q4 2023. Other controlled businesses generated $3.3 billion, remaining relatively flat year-over-year, while non-controlled businesses earned $695 million, up from $421 million. Additionally, the “Other” segment, which includes foreign exchange gains, swung to a $1.1 billion gain from a $804 million loss in the prior year’s quarter.

Berkshire’s insurance operations remain a fortress of financial strength. As of December 31, 2024, the company reported a combined statutory surplus of approximately $310 billion, and its major insurance subsidiaries maintained top-tier ratings: AA+ by S&P and A++ by A.M. Best. The company’s insurance float—the net liabilities assumed under insurance contracts—rose to approximately $171 billion, up $2 billion from year-end 2023.

Investment gains, while positive, reflected normal market fluctuations. Q4 2024 investment gains totaled $5.2 billion after tax, a steep drop from $29.1 billion in Q4 2023. For the full year, investment gains were $41.6 billion, down from $58.9 billion. These figures include both realized and unrealized gains and losses, which, while significant in size, are not considered reflective of core business performance due to their volatility under accounting rules.

Berkshire also continued its tradition of returning capital to shareholders, repurchasing approximately $2.9 billion in stock during 2024. As of year-end, the company had 1,438,223 Class A equivalent shares outstanding.

In summary, Berkshire Hathaway delivered exceptional operating results in Q4 2024, led by strong contributions from its insurance underwriting and investment income segments. While net earnings were lower year-over-year due to reduced market-driven investment gains, the fundamentals of the business remain incredibly strong, underpinned by solid capital strength, strategic diversification, and continued shareholder value creation through disciplined buybacks.