UPDATE 1-Kensey Nash profit lags Street; sees Q2 below mkt view

* Q1 EPS $0.41 vs est $0.42

* Q1 rev $17 mln vs est $17.3 mln

* Sees Q2 EPS $0.37-$0.40 vs est $46

* Cuts FY11 outlook

* Shares down as much as 12 pct

Oct 21 (Reuters) - Medical device maker Kensey Nash Corp KNSY.O posted a first-quarter profit that missed analysts' estimates by a cent and forecast second-quarter results below market view, as it expects economic softness to continue to hurt sales of its spine and sports medicine products.

The Pennsylvania-based company sees second-quarter earnings of 37-40 cents a share, compared with analysts' estimates of 46 cents a share.

It expects revenue of $17-$17.8 million, compared with estimates of $20 million.

The company also cut its fiscal 2011 outlook. Kensey Nash now expects to earn $1.75-$1.80 per share on revenue of $75-$78.0 million.

It had previously forecast earnings of $1.86-$1.90 a share, on revenue of $81-$83 million. [ID:nASA00OHC]

July-September earnings were $3.8 million, or 41 cents a share, compared with $4.9 million, or 43 cents a share, a year ago.

Revenue fell 14 percent to $17 million.

Analysts on an average estimated first-quarter earnings of 42 cents a share on revenue of $17.3 million, according to Thomson Reuters I/B/E/S.

The company's shares, which have gained almost 17 percent since its previous quarterly results, were trading down 8 percent at $26.65 Thursday morning on Nasdaq. They touched a low of $25.29 earlier in the session. (Reporting by Rajarshi Basu in Bangalore; Editing by Maju Samuel)