A PetroChina logo is seen at its gas station in Beijing August 29, 2013 file photo. [Photo/Agencies]

BEIJING -- Net profits of PetroChina Co Ltd, China's top oil and gas producer, fell 17.3 percent year on year to 107.2 billion yuan ($17.5 billion) in 2014 as weak domestic demand and lower oil prices affected profit gains.

Business revenues hit more than 2.28 trillion yuan, up 1.1 percent year on year, the company said in its annual business report filed with the Shanghai Stock Exchange.

The company attributed the profit decrease to softening domestic demand for oil and gas along with an economic slowdown in the country, and consecutive cuts of retail gasoline and diesel prices last year along with falling international crude prices.

Due to a supply glut, international crude prices saw a nosedive in the second half of last year, with year-end prices plunging almost 50 percent compared to the peak price within the year.

The National Development and Reform Commission, China's top economic planning agency, also announced on Thursday cuts in the retail price of gasoline by 240 yuan and that of diesel by 230 yuan per tonne, marking the 13th cut since July last year.

The company said its output of refined oil hit 284.9 million tonnes in 2014, up 4.4 percent year on year; meanwhile, natural gas output hit 127.9 billion cubic meters, up 5.7 percent.

The company's share price in the Shanghai stock market gained 5.83 percent to 11.99 yuan prior to the release of the annual report on Thursday.