Berkshire Hathaway Reports Decline in Shaw's Earnings
Omaha, NE, Aug. 4, 2014 -- Shaw Industries recorded a pre-tax earnings decline for the second quarter due to lower margins, according to parent company Berkshire Hathaway's quarterly report.
As usual, the report provided no specific information about Shaw's performance or how its individual flooring sectors performed.
Overall, Berkshire reported a profit of $6.4 billion, or $3,889 a Class A share, compared with $4.54 billion, or $2,763 a share, in the year-earlier period. Revenue rose 11% to $49.76 billion, from $44.69 billion.
Per-share book value, a measure of assets minus liabilities that is CEO Warren Buffett's preferred yardstick for measuring net worth, rose 5.6% since year-end 2013, standing at $142,483 a Class A share as of June 30.
Berkshire's building products business, which includes Shaw, recorded sales of $2.7 billion and $4.9 billion, respectively, for the first quarter and six months. That represented increases of 6% and 5% over 2013.
Pre-tax earnings of the building products businesses in 2014 increased 14% in the second quarter and 10% in the first six months compared to 2013. Each business generated increased earnings in 2014 over 2013, with the exception of Shaw.