(Yicai Global) Aug. 24 -- Alibaba Group Holding, the Chinese e-commerce giant led by Jack Ma, has reported its fastest quarterly revenue growth since going public in New York four years ago, but profit slumped as it pumped money into equity incentives.

Income soared 61 percent to CNY80.8 billion (USD12 billion) in the three months through June 30, from a year earlier, the Hangzhou-based company said in an earnings report covering its fiscal 2019 first quarter released yesterday. That beat analysts' expectations.

Net profit missed forecasts after diving 41 percent to CNY8.7 billion as a result of stock-based compensation schemes. Stock options cost the firm CNY16.4 billion, with those awarded to workers at fintech arm Ant Financial making up around two-thirds. Without the payouts at Ant Financial, profit would have jumped 33 percent, Alibaba added.

Ant closed a record-breaking USD14 billion fundraising round earlier this year at a valuation of more than USD150 billion, one and a half times its worth when it last raised cash.

The company's shares [NYSE: BABA] fell almost 3.2 percent yesterday to close at USD172.23. They have come off a record closing high of USD210.86 on June 14 as investors pulled funds from Chinese equities.

Alibaba generated CNY69 billion from e-commerce during the first quarter, 61 percent more than a year earlier. Revenue from New Retail, the amalgamation of online and offline sales, more than quadrupled on success from cashless supermarket chain Hema Fresh and Intime department store.

The firm also broadened its revenue streams after investing in cloud computing, entertainment and other sectors. Alibaba Cloud brought in revenue of CNY4.7 billion over the quarter, almost doubling on the year and beating 2017's first-half income.

Editor: James Boynton