UPDATE 1-LeapFrog posts narrower-than-expected Q2 loss

* Q2 loss/shr $0.21 vs est $0.24

* Q2 sales $54.4 mln vs est $53 mln

* Sees Q3 EPS $0.24-$0.28 vs est $0.28

* Backs FY11 EPS, rev view (Follows alerts)

Aug 2 (Reuters) - Educational toy maker LeapFrog Enterprises reported a narrower-than-expected second-quarter loss helped by lower operating expenses, but the company forecast third-quarter earnings that at best would meet Wall Street's expectations.

For the third quarter, the company -- known mostly for its interactive reading systems, educational games, books and learning toys in five languages -- expects to earn 24-28 cents a share on sales of $139-$142 million.

Analysts are expecting it to earn 28 cents a share on sales of $141.8 million, according to Thomson Reuters I/B/E/S.

For the quarter ended June 30, the company posted a loss of $13.8 million, or 21 cents a share, compared with $12.6 million, or 20 cents, last year.

Analysts were expecting the company to post a loss of 24 cents a share.

Sales fell 13 percent to $54.4 million, edging past expectations for sales of $53 million.

Operating expenses in the second quarter fell 8 percent to $32.1 million.

Shares of the company closed at $3.68 on Tuesday on the New York Stock Exchange. (Reporting by Abhishek Takle in Bangalore; Editing by Roshni Menon)