Lower income triggers fall in Alibaba shares

Alibaba Group Holding Ltd saw its shares tumble 3.16 percent in New York on Thursday to close at $172.23, as the Chinese internet giant reported its first profit slide in several quarters despite top-line revenue growth.

The company's net income dropped 41 percent to 8.7 billion yuan ($1.26 billion) in the quarter ended June 30, Alibaba said. A one-off payment related to a share-based compensation plan for its financial arm Ant Financial Services Group dented margins, according to the company.

Without the one-off cost, net income would have risen 33 percent, according to the company. But that would still have been the slowest growth in at least three quarters, as profit had grown by 35 percent, 36 percent and 146 percent in each previous quarter respectively.