In the third consecutive quarterly decline of Chinese e-commerce giant Ali Baba, which faces many challenges, most notably a government campaign, slowing sales growth and intensifying domestic competition, the group announced that its profits between October and December declined 74 percent.

The Hangzhou-based group referred to the "complex and volatile market environment" in announcing a net income of 20.43 billion yuan ($3.2 billion), a 74 percent decline on an annual basis.

"Ali Baba" shares in the Hong Kong Stock Exchange and its United States-listed shares lost half of their value in the last 12 months due to the group's difficulties, most notably a large-scale campaign by Chinese competent authorities against the supposed anti-competitive practices of Ali Baba and other local technology giants.

Revenue grew by just 10 percent to 242.6 billion yuan, the lowest increase the group has achieved since its 2014 IPO, according to Bloomberg.

The scrutiny process, which began in late 2020, led to the last-minute withdrawal of a planned public offering by the company, and Ali Baba was fined a record $2.75 billion for supposed illegal practices.

Numerous fines and trade restrictions have also been imposed on other major technology companies.

Government pressure comes at a time when sales jumps and massive profit growth appear to be a thing of the past for Ali Baba.

The last quarter was overshadowed by weak sales during China's "Single Day" cuts, which peak on November 11.

The largest shopping festival in the world was created like the "Black Friday" promotional shows in the United States, but sales grew less than usual.

The 10 percent quarterly increase in revenue announced by Ali Baba is well below the 40 percent rise in previous years.

Analysts attribute the difficulties of "Ali Baba" to China's strict policy of containing the Kufid epidemic, which is disrupting consumer spending, as well as intensifying domestic competition from companies such as JD.com and Pinduoduo.