Warren Buffett’s Pilot Co is ending its international oil trading business and will focus on its U.S. operations, particularly its Pilot Flying J service stations and truck stops. The company, which is a unit of Buffett’s Berkshire Hathaway, has dismissed nearly all employees involved in international oil trading. The decision reflects a shift toward expanding its North American businesses rather than pursuing global trading ventures. Pilot Co, based in Knoxville, Tennessee, entered the international oil trading market after Berkshire Hathaway acquired a 39% stake in 2017. The company, now fully owned by Berkshire Hathaway, previously hired experienced energy traders to build its trading operations. However, recent changes indicate a strategic refocus, as the company has reduced its energy trading operations since 2023. A few traders remain at the firm to close out existing contracts, including agreements with Ecuador’s national oil company, PetroEcuador. Pilot has not officially commented on its exit from international oil trading or the staff departures. The company stated that its core focus remains on providing reliable fuel supply to its North American travel centers and customers. Pilot began scaling back its trading operations after Berkshire Hathaway increased its stake in the company to 80%. In January of the previous year, Buffett took full ownership of Pilot following a legal dispute with businessman Jimmy Haslam regarding the company’s valuation. As a result, Pilot’s pre-tax profit significantly declined in 2023, dropping from over $2.3 billion in 2022 to $1.06 billion, according to regulatory filings. Pilot Co, founded in 1958, operates more than 650 travel centers and 75 fuel-only locations, in addition to running a U.S.-focused wholesale fuel marketing and distribution business. For the first nine months of 2024, the company reported a revenue of over $36 billion and pre-tax earnings of approximately $486 million, a year-on-year decline.
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