How does Berkshire Hathaway (BRK-B) make money?

Berkshire Hathaway (BRK-B) generates revenue primarily from Berkshire Hathaway Insurance Group, which accounted for 26.1% of total revenue in TTM through Q1 2026. The company reported $375B in revenue and converted 19.3% of it into net profit, equivalent to roughly $72.5B in net income — what's left after the cost of revenue, operating expenses, interest, and income taxes.

What is the gross profit margin of Berkshire Hathaway (BRK-B)?

Berkshire Hathaway (BRK-B) reported a gross profit margin of 25.1% in TTM through Q1 2026, equivalent to $94.4B in gross profit on $375B in revenue. Gross margin measures how much of each dollar of revenue remains after the direct cost of producing or delivering the product — a higher figure typically signals pricing power, scale, or a less capital-intensive business model.

What is the operating profit margin of Berkshire Hathaway (BRK-B)?

Berkshire Hathaway (BRK-B) reported an operating profit margin of 16.1% in TTM through Q1 2026, equivalent to $60.3B in operating income. Operating margin captures profitability after research & development, sales & marketing, and general & administrative expenses — but before interest, taxes, and one-off items — and is the cleanest single read on the underlying business's efficiency.

What is the net profit margin of Berkshire Hathaway (BRK-B)?

Berkshire Hathaway (BRK-B) reported a net profit margin of 19.3% in TTM through Q1 2026, equivalent to $72.5B in net income. Net margin is the bottom-line share of revenue that survives every expense — operating costs, interest, and income taxes — and is the figure that flows directly into earnings per share.

Is Berkshire Hathaway (BRK-B) profitable?

Yes. Berkshire Hathaway (BRK-B) reported $72.5B in net income for TTM through Q1 2026, with a net profit margin of 19.3%. The company earned more from its operations than it paid out in costs, interest, and income taxes, leaving positive earnings on the bottom line.

How much does Berkshire Hathaway (BRK-B) spend on capital expenditures?

Berkshire Hathaway (BRK-B) spent $21.6B on capital expenditures (CapEx) during TTM through Q1 2026, roughly 5.8% of total revenue. CapEx represents long-lived investment in property, equipment, data centres, and other physical infrastructure, and is subtracted from operating cash flow to arrive at free cash flow.

How much free cash flow does Berkshire Hathaway (BRK-B) generate?

Berkshire Hathaway (BRK-B) generated $23.9B in free cash flow during TTM through Q1 2026, a free-cash-flow margin of 6.4%. Free cash flow is the cash left after capital expenditures and represents the discretionary pool the company can use to pay dividends, repurchase shares, repay debt, or fund acquisitions without raising external capital.

What is the effective tax rate of Berkshire Hathaway (BRK-B)?

Berkshire Hathaway (BRK-B) had an effective tax rate of 18.8% in TTM through Q1 2026. The effective rate is the actual share of pre-tax income paid as income taxes and can differ materially from the statutory rate due to foreign earnings mix, tax credits (such as R&D), share-based compensation deductions, and one-off discrete items.

What are the main business segments of Berkshire Hathaway (BRK-B)?

Berkshire Hathaway (BRK-B) reports revenue across 7 reportable product segments, led by BH Insurance at 26.1% of total revenue in TTM through Q1 2026. See the revenue-by-segment table on this page for the full breakdown and how each segment feeds into the income-statement waterfall above.

How Berkshire Hathaway Makes Money: 2026 Visual Revenue Map

Berkshire Hathaway (BRK-B) Income Statement Flow — TTM through Q1 2026

Calculated from the four most recent reported quarters, ending March 31, 2026 (reported May 4, 2026).

Berkshire Hathaway discloses geographic revenue only in annual filings. to view the full breakdown.

Berkshire Hathaway (BRK-B) Revenue by Product Segment — TTM through Q1 2026

Aggregated from the four quarterly disclosures behind this TTM. Minor differences vs the company's annual filing can occur if reported segments changed mid-year.

Revenue contribution by product segment for Berkshire Hathaway (BRK-B), TTM through Q1 2026.
Segment	Revenue (USD)	% of total
BH Insurance	$98B	26.1%
Manufacturing Businesses	$75.6B	20.1%
Service & Retailing	$50.4B	13.4%
Pilot	$50.3B	13.4%
McLane	$47.7B	12.7%
Berkshire Hathaway Energy	$31B	8.3%
Burlington Northern Santa Fe	$22.4B	6%
Total	$375B	100%

BH Insurance$98B
Manufacturing Businesses$75.6B
Service & Retailing$50.4B
Pilot$50.3B
McLane$47.7B
Berkshire Hathaway Energy$31B
Burlington Northern Santa Fe$22.4B
Total$375B

Revenue Breakdown — TTM through Q1 2026

In TTM through Q1 2026, Berkshire Hathaway (BRK-B) reports revenue across 7 reportable product segments; the largest segment was BH Insurance at 26.1%, followed by Manufacturing Businesses (20.1%) and Service & Retailing (13.4%).

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