Warren Buffett’s Berkshire Hathaway has increased its cash reserves to nearly $277 billion while reducing its stock investments, including selling about half its stake in Apple, Reuters reports.
Berkshire reported a record operating profit of $11.6 billion in the second quarter, primarily driven by its insurance businesses, but revenue increased only by 1% to $93.65 billion. Despite a strong operating profit, the company’s net income fell 15% to $30.34 billion.
Berkshire’s cash reserves rose significantly as the company sold $75.5 billion worth of stocks, including 390 million Apple shares in the second quarter, following the sale of 115 million shares earlier in the year. Berkshire still holds about 400 million Apple shares valued at $84.2 billion.
Buffett remains cautious about market conditions and emphasized that the company will only deploy its cash if it finds low-risk, high-reward opportunities. Berkshire’s Class A shares have risen 18% this year, outperforming the S&P 500’s 12% increase.
