Berkshire Gains 10.9% in First Year After Buffett

Edgen Stock

·Feb 28 2026, 13:53

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Key Takeaways

Berkshire Hathaway released its first annual results following Warren Buffett's retirement as CEO, revealing solid but benchmark-lagging growth. The 10.9% increase in per-share market value for 2025 underperformed the S&P 500's 17.9% gain, inviting investor scrutiny of the firm's new leadership.

2025 Performance: Berkshire Hathaway's per-share market value increased by 10.9%, lagging the S&P 500 index which grew 17.9% during the same period.
Post-Buffett Era: This is the first full-year report since Warren Buffett stepped down as CEO on December 31, 2025, shifting focus to the company's future growth strategy.
Historic Outperformance: Despite the one-year lag, Berkshire's cumulative market value growth from 1964 to 2025 reached an astronomical 6,099,294%, maintaining its long-term track record.

Berkshire Value Grows 10.9% But Lags S&P 500

Berkshire Hathaway reported a 10.9% increase in its per-share market value for the 2025 fiscal year, according to its annual results released on February 28, 2026. While a solid absolute return, the performance trailed the S&P 500's 17.9% gain over the same period. The results mark the first full fiscal year since legendary investor Warren Buffett officially retired as Chief Executive Officer on December 31, 2025, placing the new leadership's strategy under the market's microscope.

Long-Term Growth Reaches 60,000-Fold as Scrutiny Intensifies

Despite the single-year underperformance, Berkshire's long-term record remains unparalleled. From 1965 to 2025, the company delivered a compound annual growth rate of 19.7%, decisively beating the S&P 500's 10.5% average. The cumulative gain in market value from 1964 to 2025 reached a staggering 6,099,294%, or a 60,992-fold increase, compared to the S&P 500's 46,061% rise. As investors weigh the firm's future trajectory, they must balance this historic success against the challenges of navigating the market without Buffett's direct operational leadership. Buffett remains Chairman of the Board and retains a significant shareholding.