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No. Berkshire Hathaway has not declared a regular cash dividend since 1967. Instead, it keeps most earnings inside the company, invests through its operating businesses and securities portfolio, and occasionally repurchases its own shares when management believes they trade below conservatively estimated intrinsic value.
For a shareholder, that means the normal way to turn Berkshire’s value into spendable cash is to sell some shares. A buyback can provide cash to shareholders who sell into it, while potentially increasing each continuing holder’s ownership percentage when Berkshire buys below intrinsic value.
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What Berkshire’s dividend policy is today
Berkshire Hathaway’s 2025 annual report states: “Berkshire has not declared a cash dividend since 1967.” The statement covers both of Berkshire’s publicly traded share classes, Class A (BRK.A) and Class B (BRK.B). There is no quarterly, annual or other routine cash distribution for ordinary shareholders.
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1Scan for outdated or missing drivers - takes under a minute2Repair Windows errors before they cause bigger problems3Fix the driver behind crashes, sound loss and screen glitchesThe absence of a dividend is a deliberate capital-allocation policy, not an indication that Berkshire lacks cash. At December 31, 2025, Berkshire reported $369.0 billion in cash, cash equivalents and U.S. Treasury bills. Management’s position is that retaining capital can create more per-share value when it can be reinvested at attractive returns.
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Why management prefers retaining earnings
Berkshire’s businesses generate cash, but the parent company decides whether to distribute that cash or keep it for investment. Retained funds can be deployed into operating subsidiaries, acquisitions, marketable securities and other opportunities. The objective is to compound per-share value over time rather than send a routine payment to every shareholder.
In 2026 reporting by the Associated Press, CEO Greg Abel said Berkshire would continue not paying a dividend because he and Warren Buffett believe keeping cash and reinvesting it can generate better shareholder returns than distributing it as a dividend. That is a judgment about expected returns, not a promise that every reinvestment will outperform a cash payment.
How Berkshire returns value without a dividend
1. Reinvestment and compounding of per-share value
The primary mechanism is internal compounding. Berkshire owns a collection of operating companies and investments. When those assets produce earnings, Berkshire can retain the money and seek additional investments or acquisitions. If the retained capital increases the value of the businesses faster than a cash distribution would, the intended benefit appears in a higher value per share rather than in a dividend cheque.
This approach gives management flexibility. A dividend commits the company to sending cash on a schedule. Retention allows Berkshire to hold liquidity for large acquisitions, insurance obligations, market dislocations or other opportunities. The trade-off is that shareholders must rely on management’s capital-allocation decisions and do not receive a guaranteed cash yield.
2. Selective share repurchases
Berkshire also has authority to repurchase Class A or Class B shares. The CEO, after consulting the chairman, may buy shares in the open market or through privately negotiated transactions when the price is below Berkshire’s conservatively determined intrinsic value.
A repurchase returns cash directly to shareholders who choose to sell. For shareholders who keep their stock, buying back shares reduces the number of shares outstanding. If Berkshire pays less than intrinsic value, each remaining share represents a larger claim on the company’s assets and future earnings. If management overpays, the transaction can destroy value for continuing holders, which is why Berkshire describes price discipline as a condition for repurchases.
The authorization has no maximum number of shares and no expiration date. It is nevertheless discretionary: Berkshire is not required to buy any shares in a particular quarter or year. The company will not repurchase shares if doing so would reduce its cash, cash equivalents and U.S. Treasury bills below $30 billion.
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Because Berkshire does not provide routine income, an individual shareholder can create a personal cash flow by selling a portion of the position. This is sometimes called a “homemade dividend”: the company retains capital, while the investor chooses the amount and timing of withdrawals.
A sale is different from a dividend. The number of shares owned falls, so future exposure to Berkshire also falls. The investor must decide how much to sell and accept the market price available at that time. In a taxable account, a sale generally creates a capital gain or loss based on the difference between the sale proceeds and the investor’s tax basis; rules vary by country, account type and holding period.
What Berkshire’s buyback record shows
Berkshire’s authorization should not be interpreted as a standing distribution program. The company reported no share repurchases in 2025, and no Class A or Class B shares were repurchased in the fourth quarter of 2025.
The lack of purchases in a year when Berkshire held substantial liquidity illustrates the policy’s hurdle. Cash is available, but management will buy only when it believes the market price is sufficiently below intrinsic value and the transaction preserves the required liquidity floor. The annual report does not promise a fixed buyback amount.
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| Policy or figure | Reported value | What it means |
|---|---|---|
| Last declared cash dividend | 1967 | Berkshire’s 2025 annual report says no cash dividend has been declared since then. |
| Cash, cash equivalents and U.S. Treasury bills | $369.0 billion at December 31, 2025 | Large liquidity does not create an automatic dividend or buyback. |
| Buyback liquidity floor | $30 billion | Repurchases cannot reduce the specified holdings below this level. |
| 2025 share repurchases | None | No Class A or Class B shares were repurchased during 2025. |
| Fourth-quarter 2025 share repurchases | None | No shares were repurchased in that quarter. |
How Berkshire’s approach compares with a dividend stock
| Consideration | Dividend-paying company | Berkshire Hathaway |
|---|---|---|
| Immediate cash income | Cash is distributed on a declared schedule, subject to the company’s policy and financial condition. | No regular cash payment; the shareholder generally sells shares to raise cash. |
| Use of retained earnings | Part of earnings leaves the company, with the remainder available for reinvestment or other uses. | Earnings are retained when management believes reinvestment can compound per-share value more effectively. |
| Tax timing for a taxable investor | A dividend commonly creates a taxable income event when paid, subject to local rules. | No dividend tax event occurs because there is no dividend; selling shares can create a taxable gain or loss, subject to local rules. |
| Share-count effect | A dividend normally leaves the share count unchanged. | A buyback can reduce shares outstanding, but only when Berkshire elects to repurchase. |
| Price discipline | The distribution amount is set by the board and does not depend on buying the company’s shares below intrinsic value. | Repurchases are intended only when the market price is below conservatively estimated intrinsic value and the $30 billion liquidity floor is maintained. |
This comparison is about cash-flow mechanics, not a guarantee of superior investment performance. A dividend provides visible income but removes capital from the business. Berkshire’s policy keeps capital invested, leaving the shareholder to decide when to sell and how much market risk to accept.
Class A and Class B: does the share class change the policy?
No. Berkshire lists the classes as BRK.A and BRK.B, and the underlying dividend and distribution economics are equivalent on a split-adjusted basis. Each Class B share has one-fifteen-hundredth of the dividend and distribution rights of a Class A share. Each Class A share can be converted into 1,500 Class B shares.
Since Berkshire does not currently declare a dividend, neither class produces a routine cash payment. The practical differences between the classes include their market prices, voting structure and trading convenience, but the no-dividend policy applies to both.
What Berkshire’s earnings and cash figures do—and do not—tell you
Berkshire reported net earnings attributable to Berkshire shareholders of $66.968 billion in 2025, compared with $88.995 billion in 2024 and $96.223 billion in 2023. Those figures show the scale of reported earnings, but they do not imply that a matching amount is available for distribution. Berkshire retains cash for insurance commitments, operating needs, investments, acquisitions and its liquidity policy.
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Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.What this means for different kinds of shareholders
Investors seeking current income
BRK.A and BRK.B are not dividend stocks. If you need predictable monthly or quarterly cash, Berkshire’s policy does not provide that feature. You would need another income source or a planned sale strategy, and the amount you can withdraw may vary with the share price.
Long-term compounders
An investor focused on long-term total return may prefer the possibility that retained earnings are reinvested at attractive rates. The benefit is tax deferral in many taxable-account situations until shares are sold, plus the ability to choose the timing and size of withdrawals. The risk is that reinvestment opportunities may be less attractive in some periods, and management may hold cash rather than invest or repurchase.
Shareholders evaluating buybacks
A buyback is beneficial only when the price paid is below a reasonable estimate of intrinsic value and the company remains financially resilient afterward. Berkshire’s stated $30 billion floor and its decision not to repurchase in 2025 show that the authorization is a tool used selectively, not a promise of support for the stock price.
How to evaluate Berkshire’s return-of-capital policy
- Identify your cash-flow need. Decide whether you require a contractual distribution or can sell shares as needed.
- Separate company value from personal income. Berkshire’s retained earnings may increase the value of the shares, but that increase is not spendable until you sell or borrow against the position.
- Check buyback evidence, not authorization language alone. Review whether Berkshire actually repurchased shares and the prices paid; an open-ended authorization does not guarantee activity.
- Consider taxes and account rules. Dividend taxation, capital-gains taxation, retirement-account treatment and cost basis differ by jurisdiction and account type.
- Match the class to your circumstances. BRK.A can be converted into 1,500 BRK.B shares, while BRK.B offers the lower per-share entry price; both are subject to the same no-dividend policy.
- Judge the policy over your holding period. The relevant question is whether retained capital and disciplined repurchases are creating satisfactory per-share value for your objectives, not whether Berkshire paid a dividend this quarter.
Common misconceptions
- “Berkshire has no dividend because it has no cash.” The company reported $369.0 billion in cash, cash equivalents and U.S. Treasury bills at the end of 2025.
- “The buyback authorization guarantees a repurchase.” It does not. Berkshire made no repurchases in 2025, and the authorization has no required schedule.
- “A buyback always benefits every shareholder.” The benefit depends on the price paid relative to intrinsic value and on the company’s financial position after the transaction.
- “BRK.B is the dividend version of BRK.A.” Both classes follow the same no-dividend policy; BRK.B is not an income alternative.
- “A rising share price is the same as receiving cash.” Appreciation is an unrealized gain until shares are sold. Selling creates cash but reduces the number of shares you own.
Does Berkshire’s long-term chart prove the policy is better?
Berkshire’s annual report includes a stock-performance graph comparing Berkshire with the S&P 500 and the S&P 500 Property & Casualty Insurance Index. The S&P comparisons use reinvested dividends. That presentation is useful for understanding total-return comparisons, but it does not establish a single future return or justify quoting a precise compound annual growth rate without specifying the exact dates and data series.
The policy’s success must therefore be assessed through per-share value creation, investment and acquisition decisions, liquidity and repurchase discipline—not simply through the fact that Berkshire has avoided dividends for decades.
Bottom line for a prospective shareholder
Berkshire Hathaway does not pay a regular cash dividend and has not declared one since 1967. Its principal way of returning value is to retain earnings and reinvest them in businesses, acquisitions and investments. Its secondary mechanism is opportunistic repurchases when management believes the shares are undervalued, subject to a $30 billion liquidity floor; no shares were repurchased in 2025.
To receive cash, an ordinary shareholder generally sells some BRK.A or BRK.B shares. That provides control over withdrawal timing but also reduces the position and exposes the investor to the market price at the time of sale. Berkshire is best understood as a retained-earnings and capital-allocation investment, not as a dividend-income security.
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