UPDATE 1-Scholastic net loss narrows; Harry Potter helps

(Adds Reuters Estimates comparison, company outlook)

NEW YORK, Sept 20 (Reuters) - Scholastic Corp (SCHL.O: Quote, Profile, Research, Stock Buzz) reported a much smaller quarterly loss on Thursday as sales of the final Harry Potter book supported results, and the company affirmed its outlook for the current fiscal year.

The loss narrowed to $2.8 million, or 7 cents per share, in the first quarter ended on Aug. 31 from $46.9 million, or $1.12 per share, a year earlier.

Analysts on average were expecting a loss of 47 cents per share, according to Reuters Estimates. It was not immediately clear whether that forecast was directly comparable with the figure Scholastic reported.

The publisher of school books typically posts a loss in its first fiscal quarter, when schools are not in session.

Sales jumped 75 percent to $586.9 million. Analysts were expecting $561 million.

Scholastic said Harry Potter revenue soared to $240 million from $5 million a year earlier, when there was no new Potter book.

The company affirmed its fiscal 2008 earnings forecast of of $2.35 to $2.85 per share on sales of $2.3 billion to $2.5 billion.

This compares with the analysts' average expectations of $2.58 per share on revenue of $2.44 billion, according to Reuters Estimates. (Reporting by Nick Zieminski)