The company which owns British Gas has blamed warm weather for a 23% slump in profits at its residential supply business.
Centrica reported earnings of £439m during 2014 at the division which supplies gas and electricity to homes, down from £571m in the previous year.
Total British Gas profits, which includes boiler services to households, fell 20%.
The company said the profit declines primarily reflected lower consumption in a "record warm year".
It said average dual fuel profit per household fell to £42., with average actual household energy bills "around £100 lower than in 2013".
The number of households taking its energy fell 2% in 2014 to 14.8 million.
Its results were announced just 24 hours after the Competition and Markets Authority (CMA) confirmed it was examining the use of standard tariffs as a default for customers of the big six firms, suggesting households that had failed to switch supplier were paying up to £234 more annually for their energy.
The big six, made up of British Gas, SSE, Scottish Power, E.ON, EDF and npower, insist they welcome the CMA's investigation to help restore trust in profit levels.
Centrica reported a statutory loss before tax of £1.4bn against profits of £1.6bn in the previous year.
The performance was mainly driven by significant writedowns on a number of it Exploration & Production assets.
Adjusted operating profits fell 35%.
Its share price, which has fallen 10% in the past 12 months, was expected to face further pressure when the FTSE 100 opened for trading on Thursday after the company confirmed a 30% reduction in its dividend.
Centrica said it was reacting to falling oil and gas prices by cutting investment.
Chief executive, Iain Conn, said: "2014 was a very difficult year for Centrica and the recent fall in oil and gas prices creates further challenge.
"We are cutting investment and costs in response. However, it is with regret that, along with reducing capital expenditure and driving efficiency beyond planned levels, we have taken the difficult decision to rebase the dividend by 30%, commencing with the final distribution for 2014.
"In addition, given the changed external environment we are reviewing the longer term strategy, and will conclude this by the Interim Results in July.
"Despite the obvious current challenges, I am confident in the quality of Centrica's team and the platform which has been established, and I believe the group is well-placed to take advantage of the longer term trends in the global energy markets.
"Our priorities remain to serve our customers competitively and with integrity, to develop new offers and services, to provide secure and reliable energy supplies and to deliver long term value for shareholders".
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