UPDATE 1-Kopin reports higher Q2 revenue, raises 2007 rev view

(Adds details, 2007 revenue outlook)

Aug 7 (Reuters) - Kopin Corp. (KOPN.O), a maker of ultra-small liquid-crystal displays, reported higher second-quarter revenue due to strong demand from digital still camera customers.

Kopin raised its 2007 revenue forecast based on strong demand from its digital still camera customers and the expected recovery in demand from its military customers.

Kopin, which plans to restate some results after a panel found instances of using incorrect measurement dates for stock-option grants between 1995 and 2005, said total revenue for the second quarter was $21.8 million, compared with $18.9 million a year ago.

One analyst expected the company to post revenue of $19.2 million for the quarter, according to Reuters Estimates.

While CyberDisplay sales rose, revenue from display sales to the military segment slowed in the quarter as a partner in the Thermal Weapons Sight II program implemented some product modifications, the company said.

Kopin expects revenue of $90 million to $95 million for 2007. Its prior view was $80 million to $90 million.

One analyst expects the company to post revenue of $83.1 million for 2007. (Reporting by Jennifer Robin Raj in Bangalore)