Chevron Rakes in $15.6 Billion in Annual Profits as Oil Prices Climb

Oil giant had a dramatic turnaround in 2021, as fossil fuel demand recovered from pandemic-induced lows

Chevron Corp. CVX -3.46% had its most profitable year since 2014, reporting Friday that it earned $15.6 billion in net income in 2021, as commodity prices surged on the back of a global economic recovery.

The U.S. oil giant’s annual earnings were a dramatic turnaround from 2020, when Chevron lost $5.5 billion after the global pandemic routed demand for oil and gas. It reported a fourth-quarter profit of $5.1 billion Friday, up from a $665 million loss during the same period last year. Chevron also said it generated $21.1 billion in free cash flow in 2021, its most ever.