* Q4 EPS C$0.29 vs est C$0.27
* Q4 Rev C$54.7 mln vs C$56 mln est (Adds details, background)
Jan 27 (Reuters) - Chipmaker Dalsa Corp DSA.TO, which had agreed to be bought by Teledyne Technologies Inc (TDY.N), posted better-than-expected quarterly earnings, helped by a return in demand for its digital imaging products.
For the October-December quarter, Dalsa, which makes digital imaging systems, earned C$5.3 million from continued operations, or 29 Canadian cents per share, compared with a loss of C$1 million, or 1 Canadian cent per share a year ago.
Analysts on average had expected the company to earn 27 cents a share, according to Thomson Reuters I/B/E/S.
Revenue rose 26 percent to C$54.7 million, but missed analysts' expectation of C$56 million.
Revenue from the company's digital imaging business increased 41 percent to C$37.2 million.
In December, electronic component maker Teledyne said it would buy Dalsa for C$341 million in cash to focus on industrial business. [ID:nSGE6BL09U]
Dalsa shares, which have gained 27 percent since the deal was announced, closed slightly up at C$18.25 on Thursday on the Toronto Stock Exchange. (Reporting by Amruta Sabnis in Bangalore; Editing by Joyjeet Das)