China’s Ant Group made net profit of 2.59 billion yuan ($357.34 million) in the three months to June 30, down 64.67% from a year earlier, according to Reuters calculations from Alibaba Group Holding’s earnings report released Thursday.

The e-commerce giant reports profit from Ant one quarter in arrears.

Alibaba announces unexpected 14pc increase in quarterly revenue

Alibaba, which spun off Ant 12 years ago, said earlier this year it would not participate in Ant’s proposed share buyback and would maintain its shareholding in the firm.

Chinese authorities in July announced a fine of 7.12 billion yuan ($984 million) for Ant Group for violating laws concerning consumer protection and corporate governance, ending a years-long regulatory overhaul of the fintech company.