Company: BRK-A
Filing Date: 2025-02-24
Form Type: 10-K
Source: 0000950170-25-025210
Chunk: 240

Company: BERKSHIRE HATHAWAY INC
Filing Date: 2025-02-24
Form: 10-K
Item: Item 7
Chunk 240
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 purchasing by any of these customers could have an adverse impact on McLane’s revenues and earnings. 

2024 versus 2023

Revenues declined 1.3% in 2024 compared to 2023, reflecting lower restaurant business sales (5.7%) and increased retail business sales (1.0%) in 2024 compared to 2023. The decline in restaurant sales reflected lower unit sales attributable to changing consumer preferences for dining at restaurants and quick-service restaurants versus meals-at-home, partially offset by impacts of price inflation. Pre-tax earnings increased $179 million (39.3%) in 2024 compared to 2023 reflecting an increase in gross sales margin rates, which more than offset the impacts of lower sales and higher selling, general and administrative expenses. 

2023 versus 2022

Revenues were $52.6 billion in 2023, a decline of $602 million (1.1%) compared to 2022. Revenues from the retail and restaurant businesses declined 0.8% and 2.2%, respectively, while revenues from the beverage business increased 1.9% compared to 2022. Retail and the restaurant business revenues were negatively affected in 2023 by lower unit volumes. Pre-tax earnings increased $184 million (67.9%) in 2023 compared to 2022. The increase reflected a slight increase in overall gross sales margin rates, increased other income and lower fuel expenses, partly offset by higher personnel expenses. 

Non-Controlled Businesses

After-tax earnings of our non-controlled businesses include our proportionate share of earnings from our investments in Kraft Heinz, Occidental Petroleum (“Occidental”), Berkadia and Pilot through January 31, 2023. Earnings also included our 38.6% share of Pilot’s earnings for 2022 and for the month of January 2023. 

After-tax earnings attributable to these businesses declined $231 million in 2024 compared to 2023, primarily due to lower earnings from Kraft Heinz ($137 million) and the inclusion of Pilot in January 2023 ($83 million). Earnings of non-controlled businesses increased $222 million in 2023 compared to 2022. The comparative increase was primarily due to increased earnings from Occidental, on which we adopted the equity method on August 4, 2022, and Kraft Heinz ($240 million), partially offset by decreased earnings from Pilot ($559 million). As of January 31, 2023, we discontinued using