Buffett Steps Down as Berkshire Chairman to Become Chairman Emeritus, Eldest Son Howard Takes Over

TradingKey - Berkshire Hathaway (BRK.A, BRK.B) announced on September 18 that 96-year-old Warren Buffett officially stepped down as Chairman effective today, assuming the role of Chairman Emeritus while continuing to serve as a company director. His son, Howard G. Buffett, was elected as the new Chairman, while Susan Decker continues to serve as Lead Independent Director.

Greg Abel, who took over as CEO in early 2026, will continue to be responsible for company operations; Howard will lead the Board of Directors, while Buffett will stay on as Chairman Emeritus and a director.

In a letter to shareholders, Buffett stated that Abel has fully assumed the duties of CEO, with performance exceeding his expectations. He summarized their division of labor: Abel is responsible for company operations, while Howard safeguards Berkshire's culture and values.

Howard, 71, has served as a Berkshire director since 1993 and as Chairman and CEO of the Howard G. Buffett Foundation since 1999. Berkshire stated that the appointment aligns with the company's long-established succession plan.

Buffett took control of then-struggling Berkshire in 1965 and became Chairman in 1970. Since then, the company has grown from a textile enterprise into a conglomerate with a market capitalization exceeding $1 trillion, with operations spanning insurance, railroads, energy, manufacturing, and retail.

From 1965 to 2025, Berkshire's market value per share compounded at an annual rate of 19.7%, compared with an annualized return of 10.5% for the S&P 500 Index including dividends over the same period.

After Abel took over as CEO, Berkshire expanded its net stock purchases and share repurchases, and completed new corporate acquisitions. As of the end of June 2026, the company held a total of approximately $365.5 billion in cash, cash equivalents, and U.S. Treasury bills. In the second quarter, Berkshire repurchased about $4.5 billion of its stock, with operating profit growing 16.3% year-over-year to $12.983 billion.

As of the close on September 17, Berkshire's Class B shares had gained approximately 1.64% cumulative in 2026, compared to a nearly 12% gain for the S&P 500 Index over the same period. As of press time, Berkshire's Class B share price fell about 0.31% in pre-market trading on September 18.

Following this transition, Berkshire has formed a management arrangement where Abel is responsible for operations, Howard leads the Board of Directors, and Buffett continues to serve as a director.

[Source: TradingView]