HONG KONG (Reuters) – Chinese hypermarket operator Sun Art Retail Group Ltd on Sunday posted a 7.3 percent fall in 2018 profit, missing market expectations, amid increasing competition from online and offline rivals.

The retailer, backed by China’s biggest e-commerce company, Alibaba Group Holding Ltd, reported its net profit fell to 2.59 billion yuan ($386.3 million) from 2.79 billion.

That was below the 2.70 billion yuan expected on average by 15 analysts whose estimates were compiled by Refinitiv.

Turnover fell 2.9 percent to 99.36 billion yuan.

($1 = 6.7048 Chinese yuan renminbi)