UPDATE 2-Thales warns on profits, sees H2 charges

* Drops plan to restore margin to normal level in H2

* Sees charges from aerospoace contract losses

* Downbeat on civil aerospace (Adds CFO quote, background)

By Tim Hepher and Matthias Blamont

PARIS, Nov 10 (Reuters) - French defence electronics company Thales (TCFP.PA) posted lower-than-expected third-quarter sales and issued a surprise profit warning for the second half as it braced for fresh charges due to struggling aerospace deals.

Thales, whose first half was hit by a 102 million euro charge against delays in the A400M military plane, predicted more charges later in the year and abandoned its quest for a 'normal' second-half margin after a steep drop at mid-year.

Finance Director Patrice Durand said the next batch of charges were not related to the A400M, an Airbus-led military transporter plane for which Thales is building the main flight computer system, but declined to say where the new problems lay.

He said the pain was being felt across several contracts.

Pressed by financial analysts on why Thales had failed to spot the new losses when it carried out a housecleaning exercise in June, Durand defended its record but declined to give any indication how deep the next batch of provisions might be.

"You are always more clever aftewards than before," he said on a conference call. "We have communicated where we stand, but today it would be premature for me to give you precise figures. We want to be sure everything has stabilised."

Thales is among a number of European defence and commercial aerospace companies that have been roiled by volatility in currency markets after negotiating keenly priced contracts.

It has also lost money on automated ticketing, where Durand said there had been "some progress but still some challenges".

Third-quarter revenues fell 2 percent on a like-for-like basis to 2.586 billion revenues, pressured by an 8 percent drop in aerospace and space earnings to 800 million euros, drowning a 4 percent rise in security products. Defence sales were flat.

New orders fell 12 percent to 2.628 billion euros.

Analysts had been looking for sales of around 2.7 billion euros and most had expected Thales to reiterate its outlook.

"The downturn in civil business worsened in the third quarter, particularly in regional aircraft and helicopters, whereas support activities have stabilised for the moment," Thales said in a statement.