Warren Buffett's Berkshire Hathaway announced a $3.8 billion write-down on its investment in The Kraft Heinz Company during the second quarter of 2025. This marks the second significant write-down for Kraft Heinz by Berkshire, following a $3 billion hit in 2019.
The write-down reflects a substantial decline in the perceived value of Berkshire's 27.4% stake in Kraft Heinz, acknowledging that the decade-old investment has not performed as expected. Berkshire Hathaway also reported a 4% decline in its second-quarter operating profit, partly due to falling insurance underwriting premiums and trade policy uncertainties impacting consumer businesses.
This financial adjustment by its largest shareholder underscores the ongoing struggles of Kraft Heinz, particularly as consumers increasingly favor healthier and private-label alternatives. The write-down comes as Kraft Heinz itself is considering strategic alternatives, including a potential breakup of the company.
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