<ARTICLE>                                                 5
<RESTATED>
<CIK>                                            0000022701
<NAME>                                   COMMUNICATIONS SYSTEMS, INC.
<MULTIPLIER>                                              1
<CURRENCY>                                                U.S. DOLLARS
       
                                                                                                      
<PERIOD-TYPE>                                       12-MOS            12-MOS             9-MOS              6-MOS             3-MOS
<FISCAL-YEAR-END>                               DEC-31-1995       DEC-31-1996       DEC-31-1996        DEC-31-1996       DEC-31-199
6
<PERIOD-START>                                  JAN-01-1995       JAN-01-1996       JAN-01-1996        JAN-01-1996       JAN-01-1996
<PERIOD-END>                                    DEC-31-1995       DEC-31-1996       SEP-30-1996        JUN-30-1996       MAR-31-1996
<EXCHANGE-RATE>                                      1                 1                 1                  1                 1
<CASH>                                      11,703,536        17,799,398        14,892,182         11,787,963        10,125,255
<SECURITIES>                                   899,469           889,782           859,890            868,335           864,966
<RECEIVABLES>                                8,789,117        10,682,546        11,408,364          9,972,946         9,446,666
<ALLOWANCES>                                   288,000           306,000           287,000            288,000           288,000
<INVENTORY>                                 14,828,534        13,861,914        13,211,397         14,701,094        16,027,425
<CURRENT-ASSETS>                            36,907,660        44,486,332        41,571,996         38,862,313        37,769,322
<PP&E>                                      22,295,204        24,299,704        23,744,102         23,547,888        23,004,724
<DEPRECIATION>                              13,637,184        15,335,114        15,044,851         14,599,381        14,058,353
<TOTAL-ASSETS>                              61,944,608        67,596,114        67,100,204         65,980,912        65,158,501
<CURRENT-LIABILITIES>                        7,869,032         8,580,636         8,774,278          7,796,813         8,180,153
<BONDS>                                              0                 0                 0                  0                 0
<PREFERRED-MANDATORY>                                0                 0                 0                  0                 0
<PREFERRED>                                          0                 0                 0                  0                 0
<COMMON>                                       459,170           455,365           462,674            467,323           465,561
<OTHER-SE>                                  53,616,406        58,560,113        57,863,252         57,716,776        56,512,787
<TOTAL-LIABILITY-AND-EQUITY>                61,944,608        67,596,114        67,100,204         65,980,912        65,158,501
<SALES>                                     66,004,316        68,704,940        50,618,464         32,227,685        15,793,821
<TOTAL-REVENUES>                            66,004,316        68,704,940        50,618,464         32,227,685        15,793,821
<CGS>                                       47,297,078        47,718,676        35,504,434         22,975,386        11,162,664
<TOTAL-COSTS>                               47,297,078        47,718,676        35,504,434         22,975,386        11,162,664
<OTHER-EXPENSES>                             8,518,644        10,581,557         7,884,875          5,014,938         2,318,496
<LOSS-PROVISION>                                     0                 0                 0                  0                 0
<INTEREST-EXPENSE>                              17,806             9,139            16,499             12,007             6,398
<INCOME-PRETAX>                             11,087,825        11,203,855         7,703,375          4,540,567         2,448,317
<INCOME-TAX>                                 2,164,000         2,250,000         1,600,000            870,000           445,000
<INCOME-CONTINUING>                          8,923,825         8,953,855         6,103,375          3,670,567         2,003,317
<DISCONTINUED>                                 160,328          (721,324)         (748,124)          (327,278)           41,358
<EXTRAORDINARY>                                      0                 0                 0                  0                 0
<CHANGES>                                            0                 0                 0                  0                 0
<NET-INCOME>                                 9,084,153         8,232,531         5,355,251          3,343,289         2,044,675
<EPS-PRIMARY>                                        1.00              0.89              0.58               0.36              0.22
<EPS-DILUTED>                                        0.99              0.88              0.57               0.36              0.22