* Q2 revenue jumps 27 pct to $18.5 mln
* Expects FY revenue growth of about 30 pct (Adds details on revenue, background on clients)
July 29 (Reuters) - Canada's Ballard Power Systems Inc reported a smaller second-quarter loss, helped by continuing demand for its fuel cells that are used in forklifts and telecom networks.
Ballard's net loss narrowed to $4.5 million, or 3 cents per share, in the quarter ended June 30, from $5.2 million, or 5 cents per share, a year earlier.
The Burnaby, British Columbia-based company's revenue rose 27 percent to $18.5 million.
Revenue from Ballard's engineering services business, whose customers include Volkswagen AG, rose nearly 47 percent in the second quarter ended June 30.
The business accounted for 45 percent of Ballard's total revenue in the quarter.
Ballard, whose customers include BAE Systems, Toyota Motor Corp and Van Hool, has been expanding client base for its high-margin backup power unit for the auto industry.
The company has delivered orders of fuel cell buses to clients, including bus maker New Flyer Industries, zero-emission transit operator SunLine Transit Agency and clean transportation provider Calstart, in the last two months.
Ballard has also been expanding its client base by signing deals to deliver telecom backup power systems in China and the Philippines, and for material handling systems to be deployed in Europe.
Analysts on average had expected a loss of 2 cents per share on revenue of $17.2 million, according to Thomson Reuters I/B/E/S.
The company expects revenue growth for the year of about 30 percent.
Ballard shares closed at C$4.65 on the Toronto Stock Exchange on Tuesday.
Ballard's U.S.-listed shares, which have risen more than 18 percent in the past three months, closed at $4.32 on the Nasdaq on Tuesday. (Reporting by Shubhankar Chakravorty and Narottam Medhora in Bangalore; Editing by Lisa Shumaker and Eric Walsh)