(Source: Associated Press/AP Online)
WEST HOLLYWOOD, Calif. - Ticketmaster Entertainment Inc. said Thursday its second-quarter net income plunged 70 percent as ticket sales volumes fell and the company booked expenses over its pending merger with concert promoter Live Nation Inc.
Net income in the three months through June 30 dropped to $7 million, or 12 cents per share, from $23 million, or 41 cents per share
Revenue fell 7 percent to $355 million from $382 million.
Excluding $5 million in merger costs, adjusted earnings hit 20 cents per share.
Ticket sales, which accounted for just over half of the company's revenue, fell 18 percent to $312 million.
The remainder of the revenue, or $43 million, came from artist management company Front Line Management, of which it acquired a controlling interest in October last year.
Chief Executive Irving Azoff said consumers and artists were beginning to embrace the company's paperless ticketing offering and "all-in" pricing, which blends ticket fees into one price, but the tough economy took its toll.
"Our results show we are balancing these investments in our capabilities and services with good cost management," he said.
Shares fell 27 cents, or 2.8 percent, to $9.50 in after-hours trading following the earnings announcement, after closing earlier Thursday down 10 cents at $9.77.
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