1
              UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                                    
                         Washington, D.C. 20549
                                    
                                Form 10-Q

    [X]           Quarterly report pursuant to Section 13 or 15(d) of the 
                  Securities and Exchange Act of 1934

                  For the quarter ended March 31, 1995

    [ ]           Transition report pursuant to Section 13 or 15(d) of the 
                  Securities and Exchange Act of 1934

Commission File
 Number           1-7615

                          Kirby Corporation
_____________________________________________________________________________
              (Exact name of registrant as specified in its charter)
            
           Nevada                                      74-1884980
_______________________________             _________________________________
(State or other jurisdiction of             (IRS Employer Identification No.)
incorporation or organization)

     1775 St. James Place, Suite 300, Houston, TX          77056-3453
_____________________________________________________________________________
     (Address of principal executive offices)              (Zip Code)

                              (713) 629-9370
_____________________________________________________________________________
          (Registrant's telephone number, including area code)
             
                                No Change
_____________________________________________________________________________
          (Former name, former address and former fiscal year, 
                     if changed since last report)
                                    
Indicate  by  check  mark whether the registrant: (1) has filed  all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act  
of 1934 during  the  preceding 12 months (or for such shorter period that  
the registrant  was  required to file such reports), and (2) has been  
subject  to such filing requirements for the past 90 days.

                     Yes  [X]          No  [ ]

The  number of shares outstanding of the registrant's Common Stock, $.10 par 
value per share, on May 9, 1995 was 28,145,686.
 2
                      PART 1 - FINANCIAL INFORMATION
           KIRBY CORPORATION AND CONSOLIDATED SUBSIDIARIES
                      CONDENSED BALANCE SHEETS
                              (Unaudited)
                                ASSETS


                                                       March 31,  December 31,
                                                         1995         1994
                                                       ---------  ------------
                                                           ($ in thousands)
                                                               
Marine Transportation, Diesel Repair and Other
 Current assets:
  Cash and invested cash                                $  3,544       7,355
  Available-for-sale securities - short-term  
     investments                                          12,536       2,875
  Accounts and notes receivable, net of allowance
     for doubtful accounts                                57,730      63,300
  Inventory - finished goods, at lower of average
     cost or market                                        8,582       8,270
  Prepaid expenses                                        12,779      13,661
  Deferred taxes                                           1,425       1,324
                                                        --------     -------
       Total current assets                               96,596      96,785
                                                        --------     -------
 Property and equipment, at cost                         465,176     481,612
  Less allowance for depreciation                        145,659     153,672
                                                        --------     -------
                                                         319,517     327,940
                                                        --------     -------
 Excess cost of consolidated subsidiaries                  8,926       9,280
 Noncompete agreements                                     3,501       3,889
 Equity in unconsolidated subsidiaries                     8,561         181
 Sundry                                                   11,294      12,731
                                                        --------     -------
       Total assets - Marine Transportation,
            Diesel Repair and Other                      448,395     450,806
                                                        --------     -------

                                             Table continued on following
 3
                        PART 1 - FINANCIAL INFORMATION        
               KIRBY CORPORATION AND CONSOLIDATED SUBSIDIARIES 
                     CONDENSED BALANCE SHEETS, Continued
                                 (Unaudited)
                                   ASSETS


                                                       March 31,  December 31,
                                                         1995         1994
                                                       --------   -----------
                                                           ($ in thousands)
                                                               
Insurance
  Investments:
   Available-for-sale securities:
    Fixed maturities                                     164,009     149,173
    Short-term investments                                20,923      21,227
                                                        --------     -------
                                                         184,932     170,400
                                                      
  Cash and invested cash                                   1,693       4,485
  Accrued investment income                                3,421       2,638
  Accounts and notes receivable, net of allowance
     for doubtful accounts                                15,969       9,613
  Reinsurance receivable on paid losses                   13,588       9,871
  Prepaid reinsurance premiums                             3,129       5,147
  Deferred policy acquisition costs                       13,328      11,690
  Property and equipment, at cost, net of
     allowance for depreciation                            4,952       2,822
                                                        --------     -------
        Total assets - Insurance                         241,012     216,666
                                                        --------     -------
                                                        $689,407     667,472
                                                        ========     =======

              See accompanying notes to condensed financial statements.
 4
               KIRBY CORPORATION AND CONSOLIDATED SUBSIDIARIES
                          CONDENSED BALANCE SHEETS
                                 (Unaudited)
                    LIABILITIES AND STOCKHOLDERS' EQUITY 


                                                        March 31, December 31,
                                                          1995        1994
                                                        ---------  ----------
                                                            ($ in thousands)
                                                             
Marine Transportation, Diesel Repair and Other
 Current liabilities:
  Current portion of long-term debt                     $  5,333     10,962
  Accounts payable                                        13,282     15,771
  Accrued liabilities                                     41,175     32,559
  Deferred revenues                                        6,076      8,294
                                                        --------    -------
     Total current liabilities                            65,866     67,586
                                                        --------    -------
 Long-term debt, less current portion                    142,999    148,535
 Deferred taxes                                           44,091     42,587
 Other long-term liabilities                               8,101      7,998
                                                        --------    -------
     Total liabilities - Marine Transportation,
          Diesel Repair and Other                        261,057    266,706
                                                        --------    -------
Insurance
 Losses, claims and settlement expenses                   60,879     56,433
 Unearned premiums                                        99,415     89,801
 Reinsurance premiums payable                              1,949      2,657
 Other liabilities                                        15,756     11,473
 Minority interest in consolidated insurance subsidiary   20,064     17,426
                                                        --------    -------
     Total liabilities - Insurance                       198,063    177,790
                                                        --------    -------
Contingencies and commitments
Stockholders' equity:
 Preferred stock, $1.00 par value per share. Authorized
   20,000,000 shares                                          --         --
 Common stock, $.10 par value per share. Authorized
   60,000,000 shares, issued 30,782,000 shares
   (30,782,000 at December 31, 1994)                       3,078      3,078
 Additional paid-in capital                              157,026    157,021
 Unrealized net losses in value of investments              (207)    (2,686)
 Retained earnings                                        83,460     78,651
                                                        --------    -------
                                                         243,357    236,064
 Less cost of 2,464,000 shares in treasury (2,468,000
   at December 31, 1994)                                  13,070     13,088
                                                        --------    -------
                                                         230,287    222,976
                                                        --------    -------
                                                        $689,407    667,472
                                                        ========    =======

          See accompanying notes to condensed financial statements.
 5
               KIRBY CORPORATION AND CONSOLIDATED SUBSIDIARIES
                      CONDENSED STATEMENTS OF EARNINGS
                              (Unaudited)


                                                  Three months ended March 31,
                                                  ----------------------------
                                                      1995            1994
                                                  ------------    ------------
                                                      ($ in thousands, except
                                                         per share amounts)
                                                              
Revenues:
   Transportation                                   $ 79,209         73,387
   Diesel repair                                      14,025         10,171
   Net premiums earned                                21,067         14,110
   Commissions earned on reinsurance                     912          1,307
   Investment income                                   3,159          1,936
   Gain on disposition of assets                          13            161
   Realized gain on investments                          233            758
                                                    --------        -------
                                                     118,618        101,830
                                                    --------        -------
Costs and expenses:
   Costs of sales and operating expenses (except
     as shown below)                                  63,595         56,424
   Losses, claims and settlement expenses             14,569         11,125
   Policy acquisition costs                            4,752          3,635
   Selling, general and administrative                11,829         11,925
   Taxes, other than on income                         2,590          3,590
   Depreciation and amortization                       9,730          7,794
   Minority interest expense                           1,173            646
                                                    --------        -------
                                                     108,238         95,139
                                                    --------        -------
         Operating income                             10,380          6,691

Equity in earnings of marine partnerships                159             --
Interest expense                                      (2,910)        (1,809)
                                                    --------        -------
         Earnings before taxes on income               7,629          4,882
Provision for taxes on income                          2,820          1,985
                                                    --------        -------
         Net earnings                               $  4,809          2,897
                                                    ========        =======
Earnings per share of common stock                  $    .17            .10
                                                    ========        =======

          See accompanying notes to condensed financial statements.
 6
               KIRBY CORPORATION AND CONSOLIDATED SUBSIDIARIES
                     CONDENSED STATEMENTS OF CASH FLOW
                                 (Unaudited)


                                                 Three months ended March 31,  
                                                 ----------------------------
                                                     1995             1994
                                                 ------------     -----------
                                                         ($ in thousands)
                                                              
Net earnings                                       $  4,809            2,897
 Adjustments to reconcile net earnings to net
      cash provided by operating activities:
  Gain on disposition of assets                         (13)            (161)
  Realized gain on investments                         (233)            (758)
  Depreciation and amortization                       9,730            7,794
  Increase in deferred taxes                          1,403            1,426
  Deferred scheduled maintenance costs                3,148            2,401
  Minority interest and earnings of                         
      unconsolidated subsidiaries                     1,002               12
  Other noncash adjustments to earnings              (1,427)              --
  Increase in cash from other changes in
      operating working capital for:
    Marine transportation, diesel repair and 
      other                                           7,778            7,930
    Insurance                                         3,835            3,389
                                                   --------          -------
        Net cash provided by operating activities    30,032           24,930
                                                   --------          -------
Cash flow from investing activities:
 Proceeds from sale and maturities of investments    15,260               --
 Purchase of investments                            (22,213)         (23,134)
 Net decrease (increase) in short-term 
      investments                                   (11,563)           7,106
 Capital expenditures                               (12,570)          (4,707)
 Proceeds from disposition of assets                  1,047              389
                                                   --------          -------
        Net cash used by investing activities       (30,039)         (20,346)
                                                   --------          -------
Cash flow from financing activities:
 Borrowings on bank revolving credit loan            52,800           10,700
 Payments on bank revolving credit loan             (75,600)         (21,900)
 Increase in long-term debt                          37,548               --
 Payments under long-term debt                      (21,368)          (1,743)
 Proceeds from exercise of stock options                 24              405
                                                   --------         -------
        Net cash used by financing activities        (6,596)         (12,538)
                                                   --------          -------
        Decrease in cash and invested cash           (6,603)          (7,954)
Cash and invested cash, beginning of year            11,840           14,936
                                                   --------          -------
Cash and invested cash, end of period              $  5,237            6,982
                                                   ========          =======
Supplemented disclosures of cash flow information:
 Cash paid during the period for:
    Interest                                       $  2,206              913
    Income taxes                                   $     --            1,850

               See accompanying notes to condensed financial statements.
 7
               KIRBY CORPORATION AND CONSOLIDATED SUBSIDIARIES
                                    
                  NOTES TO CONDENSED FINANCIAL STATEMENTS
                                    
     In the opinion of management, the accompanying unaudited condensed 
financial statements of Kirby Corporation and consolidated subsidiaries (the
"Company") contain all adjustments (consisting of only normal recurring 
accruals) necessary to present fairly the financial position as of 
March 31, 1995 and December 31, 1994, and the results of operations for the 
three months ended March 31, 1995 and 1994.

(1)  BASIS FOR PREPARATION OF THE THREE MONTH FINANCIAL STATEMENTS

     The condensed financial statements included herein have been prepared by
the Company, without audit, pursuant to the rules and regulations of the 
Securities and Exchange Commission.  Although the Company believes that the
disclosures are adequate to make the information presented not misleading, 
certain information and footnote disclosures, including significant 
accounting policies, normally included in annual financial statements have
been condensed or omitted pursuant to such rules and regulations.  It is
suggested that these condensed financial  statements be read in conjunction
with the  Company's latest Annual Report on Form 10-K.

(2)  ACCOUNTING CHANGE

     In March, 1995, the Financial Accounting Standards Board issued 
Statement of  Financial Accounting Standards No. 121, "Accounting for the
Impairment  of Long-Lived  Assets and for Long-Lived Assets to Be Disposed
Of" ("SFAS  121"). SFAS 121 is effective for fiscal years beginning after 
December 15, 1995.  The Company  has not completed the analysis required by
SFAS 121 and, as a result, the  impact that the adoption of SFAS 121 is 
expected to have on the Company's financial  statements is not known.  The 
Company expects  to  adopt  SFAS  121 prior to the first quarter of 1996.

 8
             KIRBY CORPORATION AND CONSOLIDATED SUBSIDIARIES
                                    
                 NOTES TO CONDENSED FINANCIAL STATEMENTS
                                    
(3)  TAXES ON INCOME

     Earnings before taxes on income and details of the provision for taxes 
on income for United States and Puerto Rico operations for the three months 
ended March 31, 1995 and 1994 are as follows:


                                              Three months ended March 31,
                                              ----------------------------
                                                1995                1994
                                              --------            --------
                                                     ($ in thousands)
                                                             
Earnings before taxes on income:
   United States                              $ 5,870              2,832
   Foreign                                      1,759              2,050
                                              -------              -----
                                              $ 7,629              4,882
                                              =======              =====
Provision for taxes on income:
   United States:
      Current                                 $ 1,699              1,068
      Deferred                                  1,067                536
      State and municipal                          54                 79
                                              -------              -----
                                              $ 2,820              1,683
                                              =======              =====
   Puerto Rico:
      Deferred                                $    --                302
                                              =======              =====


(4)  LONG-TERM DEBT
      
      In December, 1994, the Company established a $250,000,000 medium term 
note program providing for the issuance of fixed rate or floating rate notes 
with the maturities of nine months or longer. The shelf registration program, 
registered with the Securities and Exchange Commission,  was activated  in 
March, 1995 with the issuance of $34,000,000 of the authorized notes.  The 
issued medium term notes bear interest at an average fixed rate of 7.77%  
with a maturity of March 10, 1997.  Proceeds from sale of the notes were  
used  to retire  the  Company's outstanding bank term loan in the amount of 
$10,286,000 due June 1, 1997  and to reduce the Company's outstanding 
revolving credit loans  by $23,714,000.  The Company's outstanding bank term 
loan in the amount of $10,666,000, due March 6, 1997, was retired on 
March 20, 1995 with proceeds borrowed under the Company's revolving credit  
agreements.  The remaining $216,000,000 available under the medium term note  
program will provide financing for future business and equipment 
acquisitions, and working  capital requirements.
 9
               KIRBY CORPORATION AND CONSOLIDATED SUBSIDIARIES
                                    
                    Management's Discussion and Analysis of
                 Financial Condition and Results of Operations
                                    
RESULTS OF OPERATIONS

     The  Company  reported  net  earnings for  the  1995  first quarter of 
$4,809,000, or $.17 per share, compared with 1994 first quarter net earnings 
of $2,897,000, or $.10 per share.  

     The Company conducts operations in three business segments: marine 
transportation, diesel repair and property and casualty insurance.  The sum of 
the three business segments' operating income exceeds the Company's 
consolidated operating income due primarily to general corporate expenses and 
interest expense.  A discussion of each segment follows:

MARINE TRANSPORTATION

     As  a provider of service for both the inland and offshore United States 
markets, the marine transportation segment is divided into three divisions 
organized around the markets they serve: the Inland Chemical Division, 
serving the inland industrial and agricultural chemical markets; the Inland  
Refined Products Division, serving the inland refined products market; and 
the Offshore Division, which serves the offshore petroleum products,  
container, dry-bulk and palletized cargo markets.  A division analysis of the
marine transportation segment follows:

Marine Transportation - Inland Divisions

      The Inland Chemical and Refined Products Divisions' transportation 
revenues for the 1995 first quarter totaled $55,975,000, an increase  of  21% 
compared with $46,179,000 reported in the 1994 first quarter.  The acquisition 
from The Dow Chemical Company ("Dow") in November, 1994 of 65 inland tank 
barges, the assumption of the lease of 31 tank barges from  Dow  and  the 
accompanying ten year contract with Dow to provide inland bulk liquid  marine 
transportation services contributed to the increase in revenues.

      Utilization of equipment capacity in the Inland Chemical Division 
remained relatively strong during the 1995 first quarter, consistent with the 
utilization realized in the 1994 fourth quarter. Equipment utilization within 
the Inland Refined Products Division remained at 1994 levels, however, spot 
market rates declined sharply, affecting profitability of this division. 
Equipment utilization has remained favorable since the second quarter of 1994. 
Fog conditions, normal for the first quarter of the  year,  created  certain
operating inefficiencies.

      Costs and expenses, excluding interest expense, for the Inland Chemical 
and Refined Products Divisions for the first  quarter  of 1995  totaled 
$48,415,000, an increase of 21% over the corresponding 1994 first quarter when 
costs and expenses totaled $40,125,000.  The increase reflects the costs and 
expenses associated with operating the Dow equipment acquired in  
November, 1994, as well as inflationary increases in costs and expenses.  The 
Dow fleet has been fully integrated into the Inland Chemical Division and 
expectations are for additional efficiencies from this fleet.
 10
               KIRBY CORPORATION AND CONSOLIDATED SUBSIDIARIES
                                    
                   Management's Discussion and Analysis of
                Financial Condition and Results of Operations
                                    
RESULTS OF OPERATIONS, Continued

     The Inland Chemical and Refined Products Divisions' operating income for 
the 1995 first quarter totaled $7,535,000, an increase of 21% compared with 
1994 first quarter operating income of $6,243,000.  

Marine Transportation - Offshore Division

     Transportation revenues from the Offshore Division for the 1995 first 
quarter declined 15% to $23,234,000 from $27,208,000 reported  in the  1994 
first quarter.  The Offshore Division, which participates in movements of both 
refined petroleum products and dry products, experienced weaknesses  in  spot 
market  rates within its liquid market and reduced demand and excess equipment 
capacity within its preference aid and military cargo markets.  In  addition, 
offshore revenues for the 1995 first quarter decreased by  $1,762,000  as  a 
result of the de-consolidation  of two offshore  partnerships,  which  are 
currently being accounted for on an equity basis.  Prior year amounts have not 
been  restated, as the impact of the de-consolidation is not material  to the 
Company's balance sheet and cash flows, and  there  is  no  impact on  net 
earnings.

     The Offshore Division's liquid segment benefited from the charters of 
eight of its tank vessels concluded during the 1994 fourth quarter. Offshore 
liquid capacity for the 1995 first quarter totaled 2.6 million barrels, compared
with 2.8 million for the 1994 fourth quarter and 1.9 million for  the 1994 
first quarter.  Such capacity reflects the acquisition of four tankers in 
July, 1994 and the scrapping of one tanker in January, 1995, in accordance 
with the designated vessel retirements under the Oil Pollution Act of 1990 
("OPA 90").

     During the 1995 first quarter, even though utilization improved, rates for
the three tank vessels operating in the spot market declined significantly,  as
movements of heating oil, normally high  during the first quarter of the year, 
did not materialize due to the unusually mild winter in the Northeast.  
Prospects for the second quarter of 1995 remain favorable as spot market rates 
and equipment utilization should improve to some degree as the summer driving 
season approaches.  Full recovery of the  offshore  tank vessels'  market  is 
anticipated to be gradual, over the next  few  years,  as offshore tank vessels
are removed from service under OPA 90.
 11
               KIRBY CORPORATION AND CONSOLIDATED SUBSIDIARIES
                                    
                   Management's Discussion and Analysis of
                Financial Condition and Results of Operations
                                    
RESULTS OF OPERATIONS, Continued

     Movements for the transportation of food commodities and related products 
under the United States Government's preference aid cargo programs and military
household goods movements have also remained weak. Excess  equipment capacities
and a reduction in available movements have led to rates that are significantly
lower than 1994 first quarter rates. Such continued  market softness resulted 
in one of the Company's break-bulk freighters to be idle for substantially all 
of the 1995 first quarter.  The depressed markets have  also continued to 
negatively affect the Company's other offshore dry cargo barge and tug units 
that primarily work under a long-term contract with an electric utility 
company, but periodically operate in the preference aid market as a supplement
to their long-term contract movements.  Such low levels resulted in equipment 
utilization in the Company's dry cargo segment to decline to 79% for the first 
quarter of 1995 compared with 84% for the 1994 first quarter and 95% for  the  
1994 fourth quarter. Deadweight capacity of 97,000  tons  remained constant 
during each comparable period.

     Prospects for the 1995 second quarter mirror the first quarter as 
announced preference aid movements remain low, which will probably result in 
additional lay ups of the Company's three break-bulk freighters during the 
1995 second quarter.  Prospects for the second half of 1995 offer some 
encouragement as announced movements are increasing and a competitor is 
scrapping at least eight vessels during 1995.  Such vessels have participated 
in preference aid and military cargo movements in the past.

     Costs and expenses, excluding interest expense, for the Offshore Division 
for the first quarter of 1995 totaled $22,461,000, a decrease of 16% over the 
corresponding 1994 first quarter when costs and expenses totaled $26,787,000. 
Costs and expenses of the two offshore partnerships accounted for effective 
January 1, 1995 on the equity in earnings method from the pro rata method
totaled $1,533,000 for the 1995 first quarter.  The costs and expenses of the 
four offshore tank vessels acquired in July, 1994, and reflected in the 1995 
first quarter also accounted for the variance from period to period. Costs 
and expenses for the 1994 first quarter included  an estimated $1,750,000 of 
costs associated with the collection of containers from several voyages 
carrying preference aid cargo to Haiti which, during that time, was politically
unstable.

     The Offshore Division's operating income for the 1995 first quarter 
totaled $942,000 compared with $446,000 of operating income for the 1994 first
quarter.
 12
               KIRBY CORPORATION AND CONSOLIDATED SUBSIDIARIES
                                    
                   Management's Discussion and Analysis of
                Financial Condition and Results of Operations
                                    
RESULTS OF OPERATIONS, Continued

DIESEL REPAIR

     The Company's diesel repair segment reported diesel repair revenues for 
the 1995 first quarter of $14,025,000, an increase of 38% compared with 
revenues of $10,171,000 for the 1994 first quarter.

     The diesel repair segment is divided into two divisions organized around 
the markets they serve. The Marine Diesel Repair Division operates on all three
coasts and in the Midwest through five facilities that repair and overhaul 
marine diesel engines and reduction gears, and sell related parts and 
accessories.  The Rail Diesel Repair Division provides replacement  parts, 
service and support nationwide to shortline railroads and industrial companies 
that operate locomotives.  

      The  Marine Diesel Repair Division's revenues for the 1995 first quarter 
increased to $11,617,000, an increase of 36% compared with $8,521,000 reported 
for the 1994 first quarter.  Operating in a very competitive market, the Gulf 
Coast and Midwest markets benefited from the economic recovery in the inland 
dry cargo carrier industry. The East Coast market continued to reflect 
improvements from military customers while the West Coast market continued to
slowly rebound from a depressed tuna fishing market.

     The Rail Diesel Repair Division, which commenced operations in January, 
1994, reported revenues for the 1995 first quarter of $2,408,000, an increase 
of 46% compared with first quarter 1994 revenues of $1,650,000. The division 
serves as the exclusive shortline and industrial rail distributor of 
aftermarket parts and service for the Electro-Motive Division of General 
Motors.

     Costs and expenses, excluding interest expense, for the diesel repair 
segment totaled $12,988,000, an increase of 35% compared with $9,637,000 
reported for 1994 first quarter.  The increase reflected the overall growth in 
revenues from both divisions.

      The diesel repair segment's operating income for the first quarter of 
1995 totaled $1,076,000, an increase of 98% compared with 1994 first quarter 
operating income of $544,000.
 13
               KIRBY CORPORATION AND CONSOLIDATED SUBSIDIARIES
                                    
                   Management's Discussion and Analysis of
                Financial Condition and Results of Operations
                                    
RESULTS OF OPERATIONS, Continued

PROPERTY AND CASUALTY INSURANCE

     The  Company's property and casualty insurance segment reported premiums 
written of $35,901,000 for the first quarter of 1995,  an increase  of  37% 
compared with premiums written of $26,117,000 for the 1994 first quarter.  The 
continued improvement in the Puerto Rico economy, an expanding customer base 
and the increase in the number of new automobiles sold in Puerto Rico 
contributed significantly to the increase. 

     Net premiums earned for the 1995 first quarter totaled $21,067,000 
compared with $14,110,000 for the 1994 first quarter, reflecting the continued
emphasis in the automobile lines of insurance, particularly the vehicle 
single-interest and double-interest lines.   Net premiums earned represent the
amortization of net premiums written over the life of the policy.   Net 
premiums written have increased annually since 1992, thereby increasing the 
amount amortized to net premiums earned. 

      Losses, claims and settlement expenses for the 1995 first quarter totaled
$14,569,000 compared with $11,625,000 for the 1994 first quarter.  The 1994 
first quarter losses, claims and settlement expenses included a $2,000,000 
additional reserve for potential, but as yet unreported, losses associated with
the Company's Bermuda reinsurance subsidiary.  Since ceasing participation in
the reinsurance market in 1990, the Company continues to seek a withdrawal from
this business and closure of the Bermuda subsidiary's activities, including 
commutation of the subsidiary's book of business.  A commutation would entail
the transfer of liability from known and incurred but not reported losses to a 
second party in exchange for a portion of, or all of, the subsidiary's assets.

     The  Company's portion of the property and casualty insurance segment's 
pretax earnings for the 1995 first quarter totaled $1,759,000 compared with 
$50,000 for the like 1994 period.  Minority interest expense for  the  1995 
first quarter totaled $1,173,000, based on 58% voting ownership of the Puerto 
Rico subsidiary.  Minority interest expense for the 1994 first quarter totaled 
$646,000, based on 67% voting ownership.

CORPORATE EXPENSES

     Interest expense for the 1995 first quarter totaled $2,910,000, reflecting
a 61% increase over $1,809,000 reported for the 1994 first quarter. 
Such increase represents interest on the increased revolving bank debt to 
finance the Dow asset acquisition in November, 1994, the four tankers acquired 
in July, 1994, and the hike in the short-term interest rate from the first 
quarter of 1994 through the first quarter of 1995.
 14
               KIRBY CORPORATION AND CONSOLIDATED SUBSIDIARIES
                                    
                    Management's Discussion and Analysis of
                 Financial Condition and Results of Operations
                                    
FINANCIAL CONDITION, CAPITAL RESOURCES AND LIQUIDITY

Stock Repurchase

     From April 24, 1995 through May 5, 1995, the Company repurchased 172,400 
shares of common stock at a total price of $2,413,854, for an average price of 
$14.00.  The Company has 1,827,600 shares remaining under the 2,000,000 common 
share repurchase authorization approved by the Board of Directors in 
August, 1994.  The Company is authorized to purchase the common stock on the 
American Stock Exchange and in privately negotiated transactions.  When 
purchasing common stock, the Company is subject to price, trading volume and 
other market considerations.  Shares repurchased may be used for reissuance
upon the exercise of stock options, in future acquisitions for stock or for 
other appropriate corporate purposes.

Long-Term Financing

      In  December, 1994, the Company established a $250,000,000 medium term 
note program providing for the issuance of fixed rate or floating rate notes 
with the maturities of nine months or longer. The shelf registration program, 
registered with the Securities and Exchange Commission, was activated in 
March, 1995 with the issuance of $34,000,000 of the authorized notes.  The 
issued medium term notes bear interest at an average fixed rate of 7.77%  
with a maturity of March 10, 1997.  Proceeds from sale of the notes were  used
to retire the Company's outstanding bank term loan in the amount of 
$10,286,000 due June 1, 1997 and to reduce the Company's outstanding revolving
credit loans by $23,714,000.  The Company's outstanding bank term loan in the
amount of $10,666,000, due March 6, 1997, was retired on March 20, 1995 with
proceeds borrowed under the Company's revolving credit agreements.  The 
remaining $216,000,000 available under the medium term note program will 
provide financing for future business and equipment acquisitions and working
capital requirements. 

Capital Expenditures

     In May, 1994, the Company entered into a contract for the construction of 
12 double skin 29,000 barrel capacity inland tank barges for use in the 
movement of industrial chemicals and refined products.  In February, 1995, the
Company exercised the option under the contract to construct 12 additional 
barges.  Since January, 1995, the Company has received one barge each month and
the remaining barges are scheduled to be delivered one each month thereafter.
The new construction program is consistent with the Company's long-term 
strategy of upgrading its equipment to service the needs of its customers and 
to enhance its market position.
 15
               KIRBY CORPORATION AND CONSOLIDATED SUBSIDIARIES
                                    
                   Management's Discussion and Analysis of
                Financial Condition and Results of Operations
                                    
FINANCIAL CONDITION, CAPITAL RESOURCES AND LIQUIDITY, Continued

Accounting Change

     In March, 1995, the Financial Accounting Standards Board issued Statement 
of Financial Accounting Standards No. 121, "Accounting for the Impairment of 
Long-Lived Assets and for Long-Lived Assets to Be Disposed Of" ("SFAS  121"). 
SFAS 121 is effective for fiscal years beginning after December 15, 1995.  The 
Company has not completed the analysis required by SFAS 121 and, as a result, 
the impact that the adoption of SFAS 121 is expected to have on the Company's 
financial statements is not known.  The Company expects to adopt SFAS 121 prior
to the first quarter of 1996.

Liquidity

     The Company has generated substantial cash flow from its operating 
segments to fund its capital expenditures, asset acquisitions, debt  service 
and other operation requirements.  The Company generated net cash provided by 
operating activities of $30,032,000 for the 1995 first quarter compared with 
$24,930,000 for the 1994 first quarter.

     During each year, inflation has had a relatively minor effect on the 
financial results of the Company.  The marine transportation segment has 
long-term contracts which generally contain cost escalation clauses whereby 
certain costs, including fuel can be passed through to its customers, while the
segment's short-term, or spot business, is based principally on current prices.
In addition, the marine transportation assets acquired and accounted for using 
the purchase method of accounting were adjusted to a fair market value and,
therefore, the cumulative long-term effect on inflation was reduced.  The 
repair portion of the diesel repair segment is based on prevailing current 
market rates.  For the property and casualty insurance segment, 100% of its 
investments were classified as available-for-sale securities, which consist 
primarily of United States Governmental instruments.

     Universal is subject to dividend restrictions under the stockholders 
agreement between the Company, Universal and Eastern America Financial Group,
Inc.  In addition, Universal is subject to industry guidelines and regulations 
with respect to the payment of dividends.

     The Company has no present plan to pay dividends on common stock in the 
near future.
 16
               KIRBY CORPORATION AND CONSOLIDATED SUBSIDIARIES
                                    
                         PART II - OTHER INFORMATION
                                    
Item 1.   Legal Proceedings

          For a detailed explanation of the material pending legal proceedings
against the Company, please refer to the Form 10-K for the year ended 
December 31, 1994. 

Item 4.   Results of Votes of Security Holders

(a)       The Registrant held its Annual Meeting of Stockholders on 
          April 18, 1995.

(b)       Proxies  for the meeting were solicited pursuant to Regulation 14;  
          there was no solicitation in opposition to management's nominees for 
          directors as listed in the Proxy Statement, and all such nominees 
          were re-elected.  

          Directors elected were George F. Clements, Jr., J. Peter Kleifgen, 
          William M. Lamont, Jr., C. W. Murchison, III, 
          George A. Peterkin, Jr., J. H. Pyne, Robert G. Stone, Jr. and 
          J. Virgil Waggoner. No other directors previously in office continued
          as a director or continued in office after the meeting.

Item 6.   Exhibits and Reports on Form 8-K

(a)       Exhibits:

          11.0  Computation of Earnings per Common Share.

(b)       Reports on Form 8-K:

          There were no reports on Form 8-K filed for the three months ended 
          March 31, 1995.


                               SIGNATURES
                                    
     Pursuant to the requirements of the Securities and Exchange Act of 1934, 
the Registrant has duly caused this report to be signed on its behalf by the 
undersigned thereunto duly authorized.


                                   Kirby Corporation
                                   (Registrant)
                                    
                                    
                                   By:  /s/ G. Stephen Holcomb
                                        ______________________
                                        G. Stephen Holcomb
                                        Vice President and Controller

Dated:  May 10, 1995