Berkshire Hathaway Reports Q2 Net Earnings $26.3B Vs. $14.1B Last Year

Berkshire Hathaway reported second quarter net earnings of $26.3 billion, or $16,314 per Class A share equivalent, from $14.1 billion, or $8,608 per Class A share equivalent, in the year-earlier period. The company had reported a $49.7 billion loss in the first quarter.

Berkshire noted in its earnings release:

"One unusual item to note occurred during the second quarter: On April 8, 2020, GEICO initiated a $2.5 billion 'give-back' to policyholders with respect to policies renewed and newly issued policies during the six month period beginning on April 8, 2020. For accounting purposes, the 'give-back' will be spread over the twelve month period beginning on April 8, 2020. The effect was to increase GEICO's underwriting profits during the second quarter that will lead to less favorable results - even perhaps underwriting losses - in the third and fourth quarters."
 

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