Berkshire Hathaway booked a $3.76 billion impairment on its decade-old investment in Kraft Heinz during the second quarter of 2025, effectively conceding that the high-profile bet has fallen short of expectations. The write-down, together with weaker insurance underwriting, pushed net earnings down to $12.37 billion from $30.35 billion a year earlier. Operating profit slipped 4% as insurance premiums softened, while reinsurance losses offset gains at auto insurer GEICO. Despite the earnings setback, Berkshire’s cash and U.S. Treasury holdings swelled to an unprecedented roughly $340 billion. The conglomerate refrained from repurchasing its own shares during the quarter, signalling a cautious stance on valuations even as its BNSF Railway arm delivered a 19.5% profit rebound to $1.47 billion and energy operations posted steady growth.