The Shareholders Who Never Get a DividendNarrow moat

Berkshire Hathaway (BRK.B) — moat facet

Shareholders accepted no dividend since 1967 on a promise about reinvestment — a promise that gets harder to keep with $365 billion of cash.

Berkshire's shareholders are its longest-running customer relationship, and the terms are unusual: they receive no dividend. The company has not paid one since 1967,1 and the argument for that is explicit — Berkshire retains earnings because it believes it can reinvest them at better returns than shareholders would achieve themselves.

Share repurchases ($B)$24.7B2020$7.9B2022$9.2B2023$2.9B2024$02025$4.8BH1 26Forms 10-K FY2020, FY2022, FY2024, FY2025 and 10-Q June 2026; no dividend since 1967
The only cash shareholders receive, and it stopped entirely in 2025.

That is a promise rather than a fact, and it becomes harder to keep at scale. With $365.5 billion of cash and Treasury bills at the end of June 202623 and an acquisition market dominated by financial buyers, the reinvestment opportunities that justified retention for sixty years are scarcer than they were. Cash held rather than deployed earns Treasury yields, which shareholders could have earned themselves without paying anyone.

Berkshire's partial answer has been buybacks — $24.7 billion in 2020, $7.9 billion in 2022, $2.9 billion in 2024, none in 2025 and $4.8 billion in the first half of 2026 — returning capital by shrinking the share count rather than by writing cheques, which is tax-efficient and discretionary.45678 But a buyback is only value-creating below intrinsic value, so it is not a substitute for having somewhere better to put the money.

Watch the cash balance against buybacks and acquisitions together. Cash accumulating while neither rises means Berkshire is failing the test it set for itself — and the shareholder who accepted no dividend on the promise of superior reinvestment is entitled to notice.

Moat trajectory: Narrowing

The no-dividend promise rests on Berkshire reinvesting better than shareholders could. $365 billion of cash says opportunities are scarce, though the first half of 2026 brought $4.8 billion of buybacks and $11.6 billion of net stock buying. This is the relationship most strained by size.

The number that tests this moat
Moat Explorer calc
Operating earnings per Class B share, latest quarter
$6.03 in Q2 2026, from $5.17

What retained earnings produce per share. Growth slower than the cash yield on Treasury bills would weaken the case for never paying a dividend.

How it's calculated: Operating earnings 12,983 / 2,154.7M average equivalent Class B shares; 11,160 / 2,157.3M.
Source: Berkshire Form 10-Q, quarter ended 30 June 2026 ↗
References
  1. ReportedThe company has not paid one since 1967, and the argument for that is explicit — Berkshire retains earnings because it believes it can reinvest them at better returns than shareholders would achieve themselves.
    Berkshire Hathaway Form 10-K, FY2025 - float $176 billion; after-tax earnings 2023-2025 (underwriting $7,258M, insurance investment income $12,513M, BNSF $5,476M, BHE $3,979M, manufacturing, service and retailing $13,647M in 2025; net earnings $66,968M incl. $30,737M investment gains and an $8,255M Kraft Heinz/Occidental impairment); revenues $371,444M; segment revenues (insurance $104,212M incl. premiums earned $88,902M and investment income $15,310M, BNSF $23,533M, BHE $26,297M, manufacturing $78,487M, service and retailing $42,647M, McLane $50,998M, Pilot $42,198M); pre-tax underwriting GEICO $6,824M, Primary $785M, Reinsurance $1,851M; GEICO combined ratio 84.7% (81.5%, 90.7%) and loss ratio 72.3%; capex $20,927M and D&A by segment; identifiable assets and goodwill by segment; 65% of equity fair value in five companies; equity securities $297.8B ($271.6B); BNSF volumes by business group; no share repurchases in 2025; no cash dividend since 1967; about 387,800 employees — FY2023-FY2025 · publ. March 2026 · source ↗
  2. ReportedWith $365.5 billion of cash and Treasury bills at the end of June 2026 and an acquisition market dominated by financial buyers, the reinvestment opportunities that justified retention for sixty years are scarcer than they were.
    Berkshire Hathaway Form 10-Q, quarter ended 30 June 2026 - after-tax earnings (underwriting $1,731M vs $1,992M, insurance investment income $3,059M vs $3,367M, BNSF $1,558M vs $1,466M, BHE $891M vs $702M, manufacturing, service and retailing $4,470M vs $3,601M, investment gains $12,684M, net earnings $25,667M); GEICO pre-tax underwriting $994M vs $1,821M, combined ratio 91.2% vs 83.5%; Reinsurance $913M vs $650M; float $177.5B; insurance and other cash and Treasury Bills net $359.2B; consolidated cash $35,096M + $324,905M + $5,513M; equity securities $323.8B; H1 purchases of equities $39.4B and sales $27.8B; acquisitions of businesses net of cash $9.7B; $4.8B of treasury stock acquired in H1, most in Q2; OxyChem about $9.4B on 2 January; Taylor Morrison agreed 31 May at $72.50 a share, about $6.8B, closed 24 July; notes payable of insurance and other $43.3B; shareholders' equity $747.9B; BNSF revenue $6,601M vs $5,769M, fuel $1,173M vs $698M; BHE revenue $6,735M vs $6,418M; investment income down 9.1% on lower interest rates — Q2 2026 · publ. August 2026 · source ↗
  3. Moat Explorer calcWith $365.5 billion of cash and Treasury bills at the end of June 2026 and an acquisition market dominated by financial buyers, the reinvestment opportunities that justified retention for sixty years are scarcer than they were.
    Moat Explorer calculation from Berkshire's Forms 10-K FY2016-FY2025 and 10-Qs for Q1 and Q2 2026: operating earnings = net earnings less after-tax investment gains and the 2025 impairments (FY2023 $37,350M, FY2024 $47,437M, FY2025 $44,486M; Q2 2026 $12,983M vs $11,160M; H1 2026 $24,329M vs $20,801M); consolidated cash and Treasury Bills $397.4B (31 March 2026) and $365.5B (30 June 2026); underwriting as a share of float; OxyChem at 2.6% of the cash pile; five-line after-tax earnings sums — 2016 to Q2 2026 · publ. 2026-09-23 · source ↗
  4. ReportedBerkshire's partial answer has been buybacks — $24.7 billion in 2020, $7.9 billion in 2022, $2.9 billion in 2024, none in 2025 and $4.8 billion in the first half of 2026 — returning capital by shrinking the share count rather than by writing cheques, which is tax-efficient and discretionary.
    Berkshire Hathaway Form 10-K, FY2020 - after-tax earnings by line 2018-2020 (railroad $5,481M/$5,161M, manufacturing, service and retailing $9,372M/$8,300M, insurance investment income $5,530M/$5,039M in 2019/2020); float $138 billion; Reinsurance Group underwriting -$1,109M/-$1,472M/-$2,700M; impairments $3.0 billion (2018) and $11.0 billion (2020); $24.7 billion of share repurchases in 2020; insurance and other cash $135.0 billion; about 360,000 employees; acquisitions of businesses net of cash $3,279M/$1,683M/$2,532M — FY2018-FY2020 · publ. February 2021 · source ↗
  5. ReportedBerkshire's partial answer has been buybacks — $24.7 billion in 2020, $7.9 billion in 2022, $2.9 billion in 2024, none in 2025 and $4.8 billion in the first half of 2026 — returning capital by shrinking the share count rather than by writing cheques, which is tax-efficient and discretionary.
    Berkshire Hathaway Form 10-K, FY2022 - float $164 billion (2022) and $147 billion (2021); after-tax earnings by line 2020-2022 (insurance investment income $6,484M in 2022); pre-tax underwriting -$98M in 2022; Reinsurance Group -$930M (2021) and +$1,389M (2022); $7.9 billion of share repurchases in 2022; insurance and other cash $125.0 billion; about 383,000 employees; Alleghany acquired for about $11.5 billion; acquisitions of businesses net of cash $456M (2021) and $10,594M (2022) — FY2020-FY2022 · publ. February 2023 · source ↗
  6. ReportedBerkshire's partial answer has been buybacks — $24.7 billion in 2020, $7.9 billion in 2022, $2.9 billion in 2024, none in 2025 and $4.8 billion in the first half of 2026 — returning capital by shrinking the share count rather than by writing cheques, which is tax-efficient and discretionary.
    Berkshire Hathaway Form 10-K, FY2024 - float $171 billion (2024), $169 billion (2023) and $164 billion (2022); after-tax earnings by line 2022-2024 (insurance investment income $13,670M in 2024, net earnings $88,995M, investment gains $41,558M); $2.9 billion of share repurchases in 2024 and $9.2 billion in 2023; about 392,400 employees — FY2022-FY2024 · publ. February 2025 · source ↗
  7. ReportedBerkshire's partial answer has been buybacks — $24.7 billion in 2020, $7.9 billion in 2022, $2.9 billion in 2024, none in 2025 and $4.8 billion in the first half of 2026 — returning capital by shrinking the share count rather than by writing cheques, which is tax-efficient and discretionary.
    Berkshire Hathaway Form 10-K, FY2025 - float $176 billion; after-tax earnings 2023-2025 (underwriting $7,258M, insurance investment income $12,513M, BNSF $5,476M, BHE $3,979M, manufacturing, service and retailing $13,647M in 2025; net earnings $66,968M incl. $30,737M investment gains and an $8,255M Kraft Heinz/Occidental impairment); revenues $371,444M; segment revenues (insurance $104,212M incl. premiums earned $88,902M and investment income $15,310M, BNSF $23,533M, BHE $26,297M, manufacturing $78,487M, service and retailing $42,647M, McLane $50,998M, Pilot $42,198M); pre-tax underwriting GEICO $6,824M, Primary $785M, Reinsurance $1,851M; GEICO combined ratio 84.7% (81.5%, 90.7%) and loss ratio 72.3%; capex $20,927M and D&A by segment; identifiable assets and goodwill by segment; 65% of equity fair value in five companies; equity securities $297.8B ($271.6B); BNSF volumes by business group; no share repurchases in 2025; no cash dividend since 1967; about 387,800 employees — FY2023-FY2025 · publ. March 2026 · source ↗
  8. ReportedBerkshire's partial answer has been buybacks — $24.7 billion in 2020, $7.9 billion in 2022, $2.9 billion in 2024, none in 2025 and $4.8 billion in the first half of 2026 — returning capital by shrinking the share count rather than by writing cheques, which is tax-efficient and discretionary.
    Berkshire Hathaway Form 10-Q, quarter ended 30 June 2026 - after-tax earnings (underwriting $1,731M vs $1,992M, insurance investment income $3,059M vs $3,367M, BNSF $1,558M vs $1,466M, BHE $891M vs $702M, manufacturing, service and retailing $4,470M vs $3,601M, investment gains $12,684M, net earnings $25,667M); GEICO pre-tax underwriting $994M vs $1,821M, combined ratio 91.2% vs 83.5%; Reinsurance $913M vs $650M; float $177.5B; insurance and other cash and Treasury Bills net $359.2B; consolidated cash $35,096M + $324,905M + $5,513M; equity securities $323.8B; H1 purchases of equities $39.4B and sales $27.8B; acquisitions of businesses net of cash $9.7B; $4.8B of treasury stock acquired in H1, most in Q2; OxyChem about $9.4B on 2 January; Taylor Morrison agreed 31 May at $72.50 a share, about $6.8B, closed 24 July; notes payable of insurance and other $43.3B; shareholders' equity $747.9B; BNSF revenue $6,601M vs $5,769M, fuel $1,173M vs $698M; BHE revenue $6,735M vs $6,418M; investment income down 9.1% on lower interest rates — Q2 2026 · publ. August 2026 · source ↗
Sources
Generated September 23, 2026