UPDATE 1-Paragon Q2 profit beats Street

* Q2 adj EPS $0.51 vs est $0.41

* Q2 time charter rev up 4 pct

* Shares up 6 pct

Aug 11 (Reuters) - Greek dry bulk carrier Paragon Shipping Inc (PRGN.O) reported second-quarter profit that beat market estimates, helped by higher average time charter income and lower costs.

For the quarter, the company earned $15.8 million or 48 cents a share, compared with $24.6 million, or 91 cents a share a year ago. Excluding items, net income was 51 cents a share.

Time charter revenue rose 4 percent to $42.3 million.

Analysts on average were expecting a profit of 41 cents a share, excluding special items, on revenue of $35.5 million, according to Reuters Estimates.

Total adjusted operating expenses for the quarter were $6.6 million compared with $7.8 million last year.

The company said new charter arrangements of two of its ships will increase its contractually-fixed revenue days in 2010 and 2011 to 84 percent and 66 percent, respectively.

Shares of Paragon rose 6 percent to $4.88 in trading after the bell. They closed at $4.61 Tuesday on Nasdaq.

For the alerts, please double click [ID:nWNBB3930] (Reporting by Arup Roychoudhury in Bangalore; Editing by Pradeep Kurup) (arup.roychoudhury@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: arup.roychoudhury.reuters.com@reuters.net))