Ticketmaster Entertainment Inc. said Tuesday that its first-quarter profit fell 78 percent as ticket sales slowed due to the poor economy and the end of a ticketing contract with concert prompter Live Nation. The company also has received approval from its lenders to merge with Live Nation.

After the markets closed, the West Hollywood ticketing giant reported net income of $7.2 million (12 cents per share), compared with $32.7 million (58 cents) a year ago. Revenue rose by 7 percent to nearly $374 million, helped by the October acquisition of Front Line Management Group Inc.

Adjusted for one-time items, net income was 21 cents per share. That exceeded the average forecast by analysts surveyed by Thompson Reuters, who were expecting adjusted net income of 17 cents on revenue of $347 million.

?icketmaster is executing well on its business strategy during a challenging economic environment,?Chief Executive Irving Azoff said in a statement. Azoff is founder of Front Line Management and became Ticketmaster? CEO in the merger.

Company officials said during a conference call that more than half of its bank lenders had given the go-ahead for the merger with Live Nation in Beverly Hills. The deal is still being reviewed by federal antitrust officials.

Prior to the announcements, Ticketmaster shares closed up 16 cents, or 2.4 percent, to $6.82 on the Nasdaq.