By Dhirendra Tripathi

Investing.com – Didi Global ADRs (NYSE:) traded 4.3% lower in Thursday’s premarket as the ride-hailing firm slipped deep into red in the third quarter, hurt by falling revenue and higher regulatory costs.

Today’s loss was 30.4 billion Yuan ($4.7 trillion) compared with a net profit of 665 million ($103 million) in the same quarter a year earlier.

The revenue decreased to 42.7 billion Yuan ($6.7 billion), from 43.4 miliarde yuan one year ago.

The recent entry in the highly competitive field of hyper-local delivery of groceries led to a loss in investment of 21 billion yuan.

Didi’s public life has been turbulent from its inception. After Didi refused to abide by their recommendations regarding delaying the public issue until a review of data handling practices was conducted, Chinese authorities placed restrictions on Didi’s onboarding and ordered that online apps stores remove its apps from their platforms.

The Chinese regulators pressured the company to delist from NYSE. Later the company chose to list in Hong Kong. Hong Kong is still in development.

Customers have been affected by the regulatory changes, as well as increased compliance costs.

After Didi had to meet new regulations to compensate drivers better and ensure data governance, spending rose by 16% in the fourth quarter. Inflation income declined by more than one third.