(Corrects profit to 814 million euros, not 813 million, in 2nd paragraph, and adjusts currency conversion)

PARIS (Reuters) - Europe's Airbus reported sharply lower second-quarter profits on Tuesday as the cost of investing in higher jetliner production, coupled with largely pre-announced charges in its Space Systems business, outweighed higher revenue.

The world's largest planemaker said adjusted operating profit fell by more than half to 814 million euros ($879.7 million) in the quarter as revenue edged up to 15.995 billion euros.

It also took a charge of 989 million euros on forward losses in its space business, slightly higher than the estimate of about 900 million euros given with a profit warning last month.

Analysts were on average expecting second-quarter adjusted operating income of 699 million euros on revenue of 15.822 billion, according to a survey compiled by the company.

($1 = 0.9254 euros)

($1 = 0.9253 euros)

(This story has been corrected to adjust the currency conversion and to say that profits fell to 814 million euros, not 813 million, in paragraph 2)