Warren Buffett designated successor at Berkshire Hathaway is Greg Abel
The much-awaited succession plan of the renowned billionaire Warren Buffett is approaching its final stages. At the annual shareholder meeting of Berkshire Hathaway on Saturday, Buffett, 94, declared his intention to step down at the conclusion of 2025. Greg Abel, a composed Canadian executive with extensive experience in the energy sector, will assume the role, he stated. Abel, 62, has dedicated almost twenty years to learning under Buffett’s guidance. Since 2018, he has held the position of vice chairman of Berkshire’s non-insurance operations, where he has been responsible for managing a varied portfolio of companies that includes railroads, retail, manufacturing, and utilities. His leadership has included significant Berkshire assets such as BNSF Railway, Dairy Queen, and See’s Candies. However, it is within the energy sector — the domain where Abel established his reputation — that his impact has been most significant.
Abel, originally from Edmonton, Alberta, completed his commerce degree at the University of Alberta in 1984. A dedicated hockey player in his formative years, he acquired early lessons in perseverance, engaging in tasks such as filling fire extinguishers and redeeming bottles during his adolescence. He commenced his professional journey at PwC prior to his transition to CalEnergy, which, in 1999, undertook the acquisition of MidAmerican Energy. In that same year, Berkshire Hathaway acquired a controlling stake in the firm. Abel ascended the corporate hierarchy, ultimately assuming the role of CEO in 2008. Berkshire Hathaway Energy (BHE) was subsequently established, with Abel leading the organization until 2018. Buffett has frequently lauded BHE as one of Berkshire’s “jewels,” attributing the company’s ongoing success to Abel’s operational expertise and consistent leadership. In 2021, Buffett officially designated Abel as his successor, shortly following the late Charlie Munger’s inadvertent revelation of the board’s preference during the company’s annual meeting. Buffett reiterated this decision at the 2024 meeting, stating to shareholders, “The time has arrived where Greg should become the chief executive.”
While Abel may not possess Buffett’s level of public recognition, colleagues characterize him as a deliberate, engaged leader endowed with a keen strategic intellect. “Is he another Warren Buffett?” No. “There is no other Warren Buffett,” remarked longtime board member Ron Olson, as reported by the Associated Press. “However, Greg possesses the essential qualities — integrity, a strong work ethic, and strategic thinking.” “When I consider Greg, he possesses not only exceptional business acumen but also remarkable business instincts,” stated Dairy Queen CEO Troy Bader. “The intuition is indeed crucial. Warren possesses a keen intuition, yet it is important to acknowledge that Greg exhibits a significant amount of it as well.
Abel is anticipated to maintain the fundamental principles of Berkshire’s approach: decentralized operations, prudent financial management, and a focus on long-term investment strategies. A report in Barron indicates that he has indicated a preference for continuity over revolution, informing shareholders that his primary focus will be to maintain the company’s “fortress of a balance sheet.” Since joining the board in 2018, Abel has been instrumental in Berkshire’s international investment strategy, especially in Japan, where the company has established substantial stakes in five prominent trading houses. He recently informed shareholders that these holdings are anticipated to be maintained “for decades”.
Despite managing a substantial workforce of nearly 400,000 employees, Abel maintains a grounded demeanor. Residing in Des Moines, Iowa, he has frequently been observed at local hockey rinks, discreetly observing his son during practice sessions. Friends and colleagues assert that this modest demeanor conceals a profound comprehension of intricate business challenges — alongside a leadership approach characterized by steady reliability rather than flamboyance. With Buffett stepping aside, Abel now confronts the formidable challenge of steering one of the globe’s most esteemed conglomerates into a new chapter beyond Buffett’s influence. However, as articulated by Buffett in his most recent annual letter: “Greg shares the Berkshire creed… and understands that fooling shareholders is just the first step to fooling yourself.”
