Berkshire takes Kraft Heinz writedown, operating profit falls

Warren Buffett's Berkshire Hathaway (BRKa.N) on Saturday wrote down part of its investment in Kraft Heinz (KHC.O) and reported a 4.0 per cent decline in second-quarter operating profit as premiums from insurance underwriting fell.

Berkshire also reported a 59 per cent decline in net income, reflecting lower overall investment gains from its common stock holdings, as well as the Kraft Heinz writedown.

Operating income totaled $11.16 billion, or about $7,760 per Class A share, compared with $11.6 billion a year earlier. Net income fell to $12.37 billion from $30.35 billion.