New CEO Faces Big Test at Berkshire’s Annual Shareholder Meeting

Greg Abel, 63, stepped onto the stage at Berkshire Hathaway’s first annual meeting in Omaha, Nebraska, after taking over as chief executive last January. He began by welcoming the company’s top leaders and introduced a banner that honored Warren Buffett, who had led the firm for 60 years. Buffett sat in the front row while Abel and other executives talked about Berkshire’s businesses and answered questions from investors. Unlike recent years, the arena was largely empty when the meeting opened, reflecting a drop in attendance. Abel had been named Buffett’s successor back in 2021, but the announcement came as a surprise to many shareholders. The 95‑year‑old Buffett’s presence in the front row was a reminder of the legacy he left behind. The biggest challenge for Abel is deciding how to invest Berkshire’s huge cash pile, which totals about $373 billion. The company had paused stock buybacks for nearly two years and has not made a major acquisition in ten years. Berkshire’s operating profit fell 6 % in 2025, and revenue growth stalled, raising concerns about future performance. During the meeting, Abel will speak for an hour and answer shareholder questions for two and a half hours.Insurance chief Ajit Jain, railroad CEO Katie Farmer, and consumer‑services president Adam Johnson will also help field questions. This format marks a shift from the past, where Buffett and former Vice Chairman Charlie Munger would often discuss broader market trends. Investors are watching closely to see how Abel will manage the company’s portfolio, especially since he has no background as a stock picker. By February, he was already overseeing 94 % of Berkshire’s equity holdings, while investment manager Ted Weschler handled the remaining 6 %. Buffett has said that a leader who understands entire businesses can also grasp the nuances of investing. Shareholders will vote on several non‑binding proposals after the Q&A session, including executive pay approval and whether to repeat such votes every three years. They will also decide if Berkshire should publish a report on overseeing its 387, 000 employees. The meeting is part of a weekend full of events in Omaha, featuring investment conferences, private gatherings, and a shopping area showcasing Berkshire‑owned stores. Attendees ranged from finance students in Singapore to seasoned professionals, all eager to witness the company’s next chapter.