Berkshire Hathaway reported second-quarter operating earnings of $11.16 billion, a 4% decline from a year earlier, as softer insurance underwriting offset gains at its railroad, energy and industrial units. Net profit dropped to roughly $12.4 billion, down nearly 60% year on year, reflecting swings in investment valuations and one-time charges. The quarter was overshadowed by a $3.8 billion impairment on Berkshire’s long-held stake in Kraft Heinz. The write-down trims the carrying value of the 27.4% holding to $8.4 billion and underscores the food maker’s prolonged under-performance since its 2015 merger. Berkshire’s cash and short-term Treasury position slipped to $344.1 billion from a record $347.7 billion three months earlier, as stock sales again exceeded purchases by about $3 billion. The conglomerate refrained from repurchasing its own shares during the quarter and through the first three weeks of July, despite a double-digit slide in the stock price since May. Management warned that recently enacted U.S. tariffs could produce adverse consequences across most operating businesses and equity investments. Tariff-related delays and higher input costs contributed to a 5.1% revenue decline in the consumer products division, which includes Fruit of the Loom and Jazwares. Berkshire reiterated the caution in regulatory filings even as it prepares for Warren Buffett to hand the chief executive role to Vice-Chairman Greg Abel at the end of the year.