It’s also a major driver at Premcar.
Berkshire Hathaway CEO Warren Buffett recently conducted his usual five-and-a-half-hour Q&A session during the company’s Annual General Meeting for shareholders. It was probably his most important.
Known globally as the ‘Oracle of Omaha’, the billionaire investor is famed for his calm temperament and grounded approach to financial investment and business-building.
And underpinning it all is one word: Value.
“Price is what you pay. Value is what you get,” is one of his most enduring sayings.
He’s stuck by this approach since buying his first shares at age 11. It still works for him, continually rewarding Berkshire Hathaway’s more-than three-million shareholder accounts with an almost 20 percent compound annual gain on its stock portfolio since 1965 – almost double that of the S&P 500 index.
But Buffett surprised everyone at last week’s AGM by announcing his plan to retire.
His end as CEO will conclude an era that’s been all about disciplined value investing and a long-term focus.
People might worry his departure could change Berkshire Hathaway’s future performance.
Some might believe Buffett is irreplaceable, but plans for his successor were made long ago.
And Buffett’s proven, carefully refined approach to value investing for more than eight decades means his legacy at Berkshire Hathaway will likely continue for years to come.
Value was also the underpinning theme of the late Sergio Marchionne’s well-known presentation deck, ‘Confessions of a Capital Junkie’. The former head of Fiat Chrysler Group said the car industry needed more value from its vast capital investments. His claims are still coming true 10 years after it was written.
The best business builders know that value is the unsexy but high-octane fuel that powers financial success.
It’s one of the biggest drivers of Premcar’s new-car enhancement programs.
They give automakers better returns on the capital locked inside their cars, and they give their customers more of what they love.
Value: Buffett’s always known it. Marchionne knew it. And customers want more of it, especially today.
Bernie Quinn, CEO of Premcar
About Premcar:
Premcar Pty Ltd is a leading Australian vehicle engineering business that specialises in the automotive, defence and aerospace industries. For more than 25 years, global car-makers have made Premcar their go-to partner for the complete design, engineering and manufacture of niche-model new cars, full-scale new-vehicle development programs, and electric vehicle (EV) conversions and manufacturing. Premcar’s body of work is extensive. It is the name behind more than 200,000 new cars and 55,000 new-vehicle engines. The company has delivered technical advancements and sales success for major car brands from Europe, the USA, Japan, China and Australia. Visit premcar.au.
