BRK-B · 10-Q · 2026Q2 · Full report

Consumer Products Margin Drivers

BERKSHIRE HATHAWAY INC · 2026-08-10 · Importance 50 · Surprise 58

Consumer products pre-tax earnings increased 12.2% in the second quarter and 19.1% in the first six months of 2026 compared with 2025. Brooks Sports and Jazwares benefited from higher sales and gross-margin rates and trade-tariff refunds received in the second quarter. Duracell benefited from increased advanced-manufacturing production tax credits, while Forest River earnings declined because lower sales and unfavorable mix reduced gross margins, partly offset by lower SG&A.

Key facts

• Other building products pre-tax earnings increased $92 million (16.6%) in Q2 2026 and $48 million (4.7%) YTD 2026 versus 2025; before certain items, pre-tax earnings declined 8.8% Q2 and 8.9% YTD source
• Pre-tax earnings of the consumer products group increased 12.2% in the second quarter and 19.1% in the first six months of 2026 versus 2025. source
• The increase at Duracell was largely due to increased advanced manufacturing production tax credits, which are included in pre-tax earnings, partially offset by increased selling, general and administrative expenses. source
• BHA’s pre-tax earnings increased 5.1% in the second quarter and 4.4% in the first six months of 2026 compared to 2025, primarily attributable to increased earnings from service contracts operations, partially offset by lower gross sales margins. source
• Pre-tax earnings as a percentage of revenues for manufacturing, service and retailing Q2 2026: 9.5%; YTD 2026: 8.7% source