UPDATE 2-Interwoven Q2 profit beats Street, gives Q3 outlook

(Recasts; adds details, outlook from conference call)

July 24 (Reuters) - Software provider Interwoven Inc (IWOV.O: Quote, Profile, Research, Stock Buzz) posted better-than-expected second-quarter profit, helped by an 18 percent jump in support and service revenue.

The company also forecast a revenue range for the third quarter, the top end of which beat market estimates.

For the second quarter, the company posted a profit of $7.5 million, or 16 cents a share, compared with $4.2 million, or 9 cents a share, a year earlier.

Excluding items it earned 18 cents a share.

Revenue rose 16 percent to $63.2 million. Support and service revenue stood at $39.8 million. License revenue rose 11 percent to $23.4 million.

Analysts on average expected the company to earn 17 cents a share, excluding special items, on revenue of $62.2 million, according to Reuters Estimates.

Separately, Interwoven said it would buy Discovery Mining Inc, a provider of technology to law firms and corporations in the eDiscovery market, for about $36 million in cash.

EDiscovery refers to the process of digging out electronic data that can be used as evidence in a civil or criminal legal case.