UPDATE 1-Radiant Systems Q4 profit beats expectations

(Recasts; adds details, share movement)

Feb 14 (Reuters) - Radiant Systems Inc (RADS.O: Quote, Profile, Research) posted a quarterly profit that beat market expectations, helped by a 16 percent increase in revenue, and forecast strong 2008 results, sending its shares up 14 percent in after-hours trade. For the fourth quarter, the provider of point-of-sale systems earned $4.6 million, or 14 cents a share, compared with $3.6 million, or 11 cents a share, a year ago.

Excluding items, Radiant earned 27 cents a share. On that basis, analysts on average were expecting earnings of 22 cents a share, according to Reuters Estimates.

Revenue for the quarter was $70.3 million, compared with analysts' average estimate of $68.9 million.

Radiant said it expects the acquisition of point-of-sale products provider Quest Retail Technology to add a minimum of 5 percent to its 2008 revenue and add to adjusted earnings.

For the first quarter, the company expects to earn 15 cents to 16 cents a share, excluding items, on revenue of $69 million to $70 million.

Analysts on average were expecting a profit of 15 cents a share, before items, on revenue of $64.9 million.

For 2008, it expects earnings of 84 cents to 88 cents a share, before items, on revenue of $305 million to $308 million. Analysts on average were looking for a profit of 78 cents a share, before items, on revenue of $288.2 million.

Shares of the company rose to $15.09 in after-hours trade, after closing down 7 percent at $13.28 Thursday on Nasdaq. (Reporting by Ratul Ray Chaudhuri in Bangalore; Editing by Vinu Pilakkott)