Berkshire Hathaway Inc. (NYSE:BRK.A) (NYSE:BRK.B) released its earnings report for the first three months of 2013 this afternoon, Friday May 3, after the market closed. The company recorded net earnings of $5 billion for the first quarter, on revenue totaling $43.87 billion. On today’s market, the company’s shares traded up, finishing at $108.64 on today’s close.
In the run up to this earnings announcement, analysts were looking for earnings of $1.25 per share from the company on revenues totaling $42.2 billion. In the first quarter of 2012, Berkshire Hathaway Inc. (NYSE:BRK.A) (NYSE:BRK.B) earned $1.08 per share on revenue of $38.1 billion.
The big story in terms of Berkshire Hathaway Inc. (NYSE:BRK.A) (NYSE:BRK.B) is not usually the company’s earnings report, however. Warren Buffett has a voice that can move entire markets. Investors are desperate to know where he thinks the future of the US and the global economy is, and how he thinks it is best to invest given those predictions.
Buffett will get his chance to unleash that voice tomorrow morning as he holds a five hour question session, with his right hand man Charlie Munger, during the Berkshire Hathaway Inc. (NYSE:BRK.A) (NYSE:BRK.B) AGM. Buffett will be questioned by analysts and his investors about where he thinks the economy is going and what he thinks will perform strongly in the year ahead.
The big moves at Berkshire Hathaway Inc. (NYSE:BRK.A) (NYSE:BRK.B) will also be on the table for discussion. The company recently agreed to purchase Heinz, in a move that surprised many in the market place, and there is always the issue of Warren Buffett’s retirement.
Buffett, who is 82, has made numerous comments on his retirement, and the general theme is the following. Though he has no plans to retire any time soon, when he does there is a stable succession plan that he believes in to guide the company in his style. His second, Charlie Munger, is 87, and so is unlikely to feature in a succession plan.
Since the start of 2013, shares in Berkshire Hathaway Inc. (NYSE:BRK.A) (NYSE:BRK.B) common stock have risen by around 20 percent so the maven must be doing something right. The company’s stock beat prices seen in the early days of the crisis for the first time early in 2013. When the financial crisis began, investors piled into Berkshire Hathaway Inc. (NYSE:BRK.A), (NYSE:BRK.B) stock, seeing it as safer than other investment firms.
Tonight’s earnings are good, but the main event takes place tomorrow. Keep up on Valuewalk.com