UPDATE 1-CEC Entertainment Q2 earnings beat Wall Street

(Recasts; adds details, share movement)

July 22 (Reuters) - Chuck E. Cheese kids' restaurant chain parent CEC Entertainment (CEC.N) posted better-than-expected quarterly results as an enhanced marketing plan and efforts to increase the number of birthday party reservations and fundraising events paid off, boosting its shares 9 percent.

The company posted net income of $11.3 million, or 48 cents a share, for the second quarter ended June 29. It earned $8.5 million, or 26 cents a share, a year earlier.

Total revenue rose to $192.5 million from $179.9 million. Sales at stores open at least a year jumped 5.7 percent.

Analysts on average expected earnings of 31 cents a share, excluding special items, on revenue of $184.9 million, according to Reuters Estimates.

The company, which competes with Yum! Brands Inc (YUM.N), Wendy's International Inc (WEN.N) and Burger King Holdings Inc (BKC.N), expects third-quarter earnings of 56 cents to 60 cents a share. Wall Street expects earnings of 55 cents a share.

CEC Entertainment also forecast 2008 earnings of $2.57 to $2.65 a share, excluding asset impairment charges, while analysts on average were expecting earnings of $2.40 a share.

CEC Entertainment expects same-store sales growth of 2 percent to 3 percent for the remainder of the year.

Shares of the Irving, Texas-based company rose to $32.25 in trading after the bell. They had closed up $2.01 at $29.58 Tuesday on the New York Stock Exchange. (Reporting by Lalitha Murali in Bangalore; Editing by Pratish Narayanan)