UPDATE 1-Bally Technologies Q3 profit surges

(Recasts; adds details, share movement)

May 12 (Reuters) - Slot machine maker Bally Technologies Inc (BYI.N: Quote, Profile, Research, Stock Buzz) posted a nearly five-fold rise in quarterly profit topping market estimates, driven by higher sales of its gaming equipment and systems, and narrowed its 2008 earnings view.

The company also initiated fiscal 2009 earnings outlook of $2.10 to $2.50 a share and adjusted profit of $2.27 to $2.67 a share.

Shares of the company were up 5 percent at $38.80 in trading after the bell. They closed at $36.80 Monday on the New York Stock Exchange.

For the third quarter, the company posted net income of $30.2 million, or 52 cents a share, compared with $6.6 million, or 12 cents a share, a year ago.

Excluding stock-based compensation expense, it earned 56 cents a share. Revenue rose 33 percent to $232.6 million.

Analysts on average expected earnings of 48 cents a share, before items, on revenue of $231 million, according to Reuters Estimates.

Gaming equipment and systems revenue jumped 37 percent to $160.6 million while gaming operations revenue rose 32 percent to about $59 million.

The company, whose product line includes reel-spinning slot machines, video slots, lottery and central determination games and platforms, said its gaming equipment division shipped over 7,300 sale units in the quarter.