Warren Buffett’s annual letters to the shareholders of Berkshire Hathaway never fail to deliver invaluable insights into the world of business, and the 2024 edition is no different. As Buffett approaches his 95th birthday, he reflects in this year’s letter on some pivotal topics: learning from mistakes, focusing on the long-term horizon, and preparing for future leadership changes. If you’re pressed for time and can’t dive into all 14 pages, here are six essential points to consider:
First, Berkshire Hathaway has reported exceptional financial outcomes, with operating earnings climbing to an impressive $47.4 billion. This success stems from improved performances across various segments of the conglomerate. Of particular note is the contribution from Berkshire’s insurance businesses, including heavyweights like GEICO and Gen Re, which played a significant role in driving these earnings. Moreover, with its substantial reserves in cash and bonds, the company capitalized on rising interest rates, which bolstered its investment income.
In his letter to shareholders, Buffett took the time to discuss some of Berkshire’s major investments, which include Bank of America, Apple, Coca-Cola, and Moody’s Corporation. Through his commentary, he emphasizes…
