<ARTICLE> 5 <LEGEND> This schedule contains summary financial information extracted from Lancer Orthodontics, Inc.'s first quarter 10-Q and is qualified in its entirety by reference to such 10-Q. </LEGEND> <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> MAY-31-2001 <PERIOD-END> AUG-31-2000 <CASH> 136,358 <SECURITIES> 0 <RECEIVABLES> 1,460,496 <ALLOWANCES> (157,581) <INVENTORY> 1,982,706 <CURRENT-ASSETS> 3,449,580 <PP&E> 2,406,129 <DEPRECIATION> (2,298,352) <TOTAL-ASSETS> 3,781,266 <CURRENT-LIABILITIES> 810,013 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 4,815,074 <OTHER-SE> (1,843,821) <TOTAL-LIABILITY-AND-EQUITY> 3,781,266 <SALES> 1,331,099 <TOTAL-REVENUES> 1,331,099 <CGS> 925,582 <TOTAL-COSTS> 925,582 <OTHER-EXPENSES> 0 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 5,207 <INCOME-PRETAX> (102,781) <INCOME-TAX> 0 <INCOME-CONTINUING> (102,781) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (102,781) <EPS-BASIC> (.05) <EPS-DILUTED> (.05)