Hong Kong’s shares in Alibaba fell 10% on Friday, a day after the Chinese e-commerce giant forecast annual revenue to grow at its slowest pace since its stock market debut in 2014.

The group’s shares listed in New York fell more than 11% on Thursday.

Alibaba’s second quarter results fell short of expectations amid slowing consumption, increased competition and regulatory crackdown.

The group on Thursday reported an 81% drop in third-quarter net income to $ 833.5 million, missing a Bloomberg consensus estimate of $ 3.76 billion.

Revenue rose 29% to $ 31.4 billion in the three months to September, from the same period last year, minus analysts’ forecast of $ 32.3 billion.

Chinese buyers have become more cautious about spending, in part because of the new outbreaks of Covid-19. In addition, Beijing has cracked down on tech companies, citing antitrust and national security concerns.

Daniel Zhang, chief executive of Alibaba, said increased competition and slowing consumption in China were the main causes of the slowdown in growth.

Maggie Wu, chief financial officer of Alibaba, told analysts that competitors “have increased their investments to acquire users and show a high level of spending.”

Another Chinese tech giant, Tencent, posted its slowest revenue growth since its IPO in 2004 last week.

Alibaba’s competitors have drawn merchants away from its Taobao online mall business with lower costs, but Barclays analyst Thomas Chong said Taobao remains an attractive platform.

“Domestic consumption, globalization and the cloud continue to advance, with Taobao being the destination for consumers with different preferences,” he said.

Chong said Alibaba had also made “solid progress” in a number of initiatives, including attracting a growing percentage of new consumers from lower-tier cities.