UPDATE 1-Blackbaud Q2 profit in line, sees Q3 EPS below view

* Q2 adj EPS $0.22

* Q2 rev $80.7 mln vs est $79.9 mln

* Sees Q3 adj EPS $0.24-$0.25 vs est $0.27/shr

July 27 (Reuters) - Software services provider Blackbaud Inc (BLKB.O) posted a quarterly adjusted profit in line with the Street, but forecast third-quarter adjusted earnings below analysts' expectations.

"While the pace of economic recovery remains uncertain, we saw increased evidence of stabilization and improvement in the non-profit market during the second quarter," Chief Executive Marc Chardon said in a statement.

On a conference call with analysts, the Charleston, South Carolina-based company said it expects third-quarter adjusted profit of 24 cents a share to 25 cents a share, and revenue in a range of $82 million to $84 million.

For the third quarter, analysts were expecting earnings of 27 cents a share, on revenue of $82.5 million, according to Thomson Reuters I/B/E/S.

Second-quarter net income rose a tad to $6.8 million, or 15 cents a share, from $6.6 million, or 15 cents a share, a year ago. Excluding special items, it earned 22 cents a share.

Revenue rose 6 percent to 80.7 million in the quarter ended June 30, 2010.

Analysts were expecting earnings of 22 cents a share, on revenue of $79.9 million.

Shares of the company, whose software assists non-profit organizations in fund-raising and direct marketing, closed at $23.95 Tuesday on Nasdaq. (Reporting by Sudipto Ganguly in Bangalore; Editing by Roshni Menon)