Buffett's Berkshire Hathaway Holding Company Suffered Losses Of Almost $50 Billion In The First Quarter
The Berkshire Hathaway holding company, headed by entrepreneur and investor Warren Buffett, suffered losses of almost $50 billion in the first quarter due to the effects of the spread of the coronavirus. This is evidenced by the corporate reports published on Saturday.
At the end of the three months that ended March 31, Berkshire Hathaway's net losses were $49.7 billion. For the same period last year, the company's profit was estimated at $21.7 billion. As noted by CNBC and CNN, Berkshire Hathaway has never previously reported such large losses.
Representatives of the holding stated that during the first quarter there was a "rapid spread of the virus around the world." "The measures taken by the authorities and private businesses to combat its spread had a significant impact on our work in March. They are likely to have a negative impact on all our operations in the second quarter, although the extent of this may vary," the document States.
Berkshire Hathaway owns large stakes in dozens of companies. These include leading American airlines, banks, and equipment manufacturers. The spread of the virus caused serious damage to the US economy and led to a significant decline in the share price of many companies.
Buffett, according to the latest estimates by Bloomberg, is the fifth richest person in the world. His fortune is estimated at $ 72 billion. Since the beginning of this year, it has fallen by about $17 billion.