Berkshire Hathaway has released its financial results for the second quarter of 2025, highlighting the significant impact of the cryptocurrency Bitcoin on its performance.
Berkshire Hathaway Financial Results
Berkshire Hathaway reported a profit of $12.3 billion for the second quarter of 2025. However, the company's filings reveal significant losses due to its stake in Kraft Heinz, which incurred a $5 billion impairment. This contributed to a $4.6 billion equity loss for the first half of the year.
Impact of Bitcoin on Portfolio
At the end of June, Berkshire held $100.49 billion in cash and cash equivalents, most of which was parked in short-term Treasury bills and low-yield instruments. Had just 5% of this capital been allocated to Bitcoin in early 2025, it could have delivered over $850 million in unrealized gains by August. This hypothetical scenario would have meaningfully offset the losses from Kraft Heinz.
The Future of Berkshire and Bitcoin
In 2025, Bitcoin has shown considerable appreciation, outperforming Berkshire’s key holdings including Apple, American Express, and Coca-Cola. Greg Abel, the new CEO of Berkshire, has yet to comment on the potential for investing in cryptocurrencies, leaving the company's future uncertain amidst rising institutional interest in Bitcoin.
The results from Berkshire Hathaway highlight significant missed profit opportunities. In light of current financial difficulties and changing investment landscapes, Berkshire Hathaway may need to reconsider its strategies.
