A new atmosphere at the Woodstock of capitalism.
Berkshire Hathaway’s (BRK-A, BRK-B) annual shareholder meeting on Saturday marked a new era for the Oracle of Omaha, Warren Buffett. This is the investing legend’s first without his right-hand man Charlie Munger, who died on November 28, 2023, just before his 100th birthday.
Although Munger’s absence was significant, his presence loomed throughout the CHI Health Center in Omaha, Nebraska.
Charlie Munger’s name was among the first words Buffett said when he took the stage.
Buffett described Munger as “the architect of Berkshire,” and his request for shareholders to “join me in applauding Charlie” was met with cheers and a standing ovation from a crowd that included Apple (AAPL) CEO Tim Cook, Citigroup (C) CEO Jane Frasier and Microsoft (MSFT) co-founder Bill Gates.
“In terms of having a partner, I just can’t think of a conversation I had with Charlie that he misled me,” Buffett later told a packed house.
Buffett added: “In terms of money management, there was no one in the world to talk to for many, many decades than Charlie. »
The meeting began with a video tribute to the former Berkshire Hathaway vice chairman, which included a number of Munger’s famous phrases from previous meetings, including: “I think every time you see the word EBITDA, you should replace it with the word “bulls**t gains”.
EBITDA is more formally known on the street as shorthand for earnings before interest, taxes, depreciation and amortization. Companies tend to present this metric as a purer measure of business health rather than a measure of net profits.
“It’s a bittersweet moment…a tough day for a lot of people,” new Brooks Running CEO Dan Sheridan told me of Munger’s absence.
Sheridan’s message was echoed by executives of other Berkshire-owned companies.
Dairy Queen Executive Vice President Maria Hokanson described it as “an air of gratitude” and “a time for us to reflect and celebrate his character and wisdom.” Meanwhile, Pat Egan, longtime CEO of See’s Candies, noted that the influence of Munger’s investments is evident in the way Berkshire’s businesses operate.
“It’s still there in many ways…It’s about simplicity, doing the right thing, not overthinking and taking care of the customer,” Egan told me.
Egan added: “You can’t replace Charlie Munger. It’s just an incredible…
