UPDATE 1-Air Methods Q2 profit trails Street

(Recasts; adds details)

Aug 7 (Reuters) - Air-ambulance operator Air Methods Corp (AIRM.O: Quote, Profile, Research, Stock Buzz) posted a 38 percent fall in quarterly profit, trailing market expectations, hurt by higher cancellations due to unfavorable weather and higher-than-anticipated fuel and maintenance costs.

The company posted a second-quarter profit of $4.8 million, or 38 cents a share, compared with $7.8 million or 63 cents a share, a year earlier.

Revenue rose 41 percent to $128.0 million.

Analysts were expecting earnings of 41 cents a share, before items, on revenue of $130.8 million, according to Reuters Estimates.

The latest second quarter included expenses of $1.1 million for the re-training of pilots related to the company's takeover of CJ Systems Aviation Group.

But the company is optimistic about future periods as the weather is expected to moderate and fuel prices have fallen significantly, Chief Executive Aaron Todd said in a statement.

"In addition, we continue to realize improvement in net reimbursement per transport from recent price increases. We would anticipate a return to growth in profits as these expectations become realized," he said.

On July 24 Air Methods hiked charges for community-based transports, which it provides in 21 states, by 6 percent. The move came after a 7 percent increase on May 1.

Shares of the Englewood, Colorado-based company closed at $28.56 Thursday on Nasdaq. (Reporting by Aradhana Aravindan in Bangalore; Editing by Pratish Narayanan)