Berkshire Hathaway Sales Rise as Stores Reopen

RAPAPORT… Retail sales at US conglomerate Berkshire Hathaway rose 4% year on year to $4.21 billion in the third quarter as business resumed following coronavirus-related lockdowns.

The company owns Borsheims, Helzberg Diamonds and Ben Bridge Jeweler, but derives around 65% of its retail revenues from its car dealership, Berkshire Hathaway Automotive. It does not provide specific data for its jewelry brands.

“The severity and duration of the effects on our operations from the pandemic have varied widely,” the company, controlled by tycoon Warren Buffett, said earlier this month. “Sales volumes increased and operating results improved beginning in the latter part of the second quarter as our operations slowly reopened.”

Sales from manufacturing of consumer products — including at jewelry maker Richline Group — increased 15% to $3.33 billion. The division also includes Forest River, a manufacturer of recreational vehicles; battery brand Duracell; and several clothing businesses.

The figures represent a recovery after retail sales fell 16% in the second quarter as the Covid-19 crisis forced stores to shut. Revenues from the manufacture of consumer products slid 23% for that period.

Image: Helzberg Diamonds store in Orlando, Florida. (Shutterstock)