Berkshire Hathaway's first-quarter cash reserves hit a new high of $189 billion

Berkshire Hathaway's cash reserves hit another record high in the first quarter of 2024, according to the earnings report, due to Buffett's lack of big-ticket deals and an increase in operating profit. The company's reserves increased to $189 billion at the end of Quarter 1, surpassing the record it set at the end of last year. The company also reported an operating profit of $11.20 billion in Quarter 1, compared with $8.07 billion in the same period last year. Despite Buffett's warning in May that most of Berkshire's business profits would decline in 2023 as the "incredible period" of the U.S. economy draws to a close, Berkshire's earnings are still growing. Berkshire, whose businesses include railroads, retail, construction, and energy, is closely watched as a litmus test for the health of the U.S. economy, especially as inflation and interest rates rise.