What was the original business of Berkshire Hathaway before Warren Buffett?

Before Warren Buffett, Berkshire Hathaway's original business was textile manufacturing.

The modern company was formed in 1955 when Berkshire Fine Spinning Associates merged with Hathaway Manufacturing Company. Both businesses made cotton and other textile products, and the combined company operated mills in Massachusetts and New England. At its formation, Berkshire Hathaway had 15 plants, more than 12,000 employees, and revenue exceeding $120 million.

Warren Buffett began buying Berkshire shares in 1962 and gained control in 1965 after a dispute with manager Seabury Stanton. Buffett initially expected the struggling textile company to generate value through mill liquidations, but the textile operation continued to deteriorate. Berkshire eventually closed its last textile operations in 1985.

The company people recognize today grew after Buffett redirected capital into insurance and other businesses. Thus, insurance is central to Berkshire's modern identity, but it was not the company's original business; railroad ownership came much later through BNSF Railway.