BUFFETT TO STEP DOWN AS CEO, LOSES $8.1BN IN NET WORTH DROP
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Warren Buffett, the world’s fifth-richest person with an estimated net worth of about $169 billion, has announced his retirement as CEO of Berkshire Hathaway at age 94.
At the company’s annual meeting in Omaha, he revealed Greg Abel would take over by year-end, according to The Economic Times.
Buffett’s wealth has grown by $16.4 billion in 2025 despite market downturns.
Known for his cautious, long-term investing style, Buffett is stepping down after 54 years, leaving behind a $267 billion portfolio and a legacy built on discipline.
In a twist, however, Buffett saw his net worth decline by $8.1 billion on Monday following a sharp drop in Berkshire’s share price and the official announcement that he will retire by the end of the year.
Berkshire Hathaway’s stock currently stands at an estimated $160 billion, according to the Bloomberg Billionaires Index.
The 5.7% single-day loss, the equivalent of more than $8 billion, follows a 5.12% drop in the company’s Class B shares, which closed Monday at $512.15.
Class A shares, which Buffett holds most heavily, dropped 5% from $809,000 to $769,000. The sharp decline erased more than $30 billion in market capitalisation and marked one of the largest single-day slides for the company in recent memory.
Berkshire’s first-quarter earnings also underwhelmed. The company reported $6,694.59 in operating earnings per Class A share, about 5% below consensus estimates, according to FactSet.
Buffett, who began his legendary investing career early, the son of a U.S. congressman, he bought his first stock at age 11 and filed his first tax return at 13, has spent more than six decades at the helm of Berkshire. Since taking control in 1965, he has delivered a compounded annual gain of 19.8% in per-share market value, vastly outperforming the broader market.
Under his leadership, Berkshire has grown into a $700 billion conglomerate, owning businesses like Geico, Clayton Homes, and Dairy Queen, and maintaining substantial stakes in companies including Coca-Cola and American Express.
Buffett owns about 37.4% of Berkshire’s Class A shares, which make up roughly 99.5% of his net worth. Despite the recent loss, he remains $18.5 billion ahead in 2025 due to strong early-year gains.
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