<ARTICLE> 5 <LEGEND> This schedule contains summary financial information extracted from Lancer Orthodontics, Inc. second quarter fiscal 1996 10-QSB and is qualified in its entirety by reference to such 10-QSB. </LEGEND> <PERIOD-TYPE> 6-MOS <FISCAL-YEAR-END> MAY-31-1996 <PERIOD-END> NOV-30-1995 <CASH> 161,184 <SECURITIES> 0 <RECEIVABLES> 1,413,096 <ALLOWANCES> 130,568 <INVENTORY> 1,682,782 <CURRENT-ASSETS> 3,186,157 <PP&E> 2,461,417 <DEPRECIATION> 2,128,070 <TOTAL-ASSETS> 4,090,834 <CURRENT-LIABILITIES> 904,290 <BONDS> 423,538 <PREFERRED-MANDATORY> 0 <PREFERRED> 185,242 <COMMON> 4,677,556 <OTHER-SE> (2,099,792) <TOTAL-LIABILITY-AND-EQUITY> 4,090,834 <SALES> 3,472,902 <TOTAL-REVENUES> 3,472,902 <CGS> 1,937,619 <TOTAL-COSTS> 1,937,619 <OTHER-EXPENSES> 0 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 36,299 <INCOME-PRETAX> 188,877 <INCOME-TAX> 800 <INCOME-CONTINUING> 188,077 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 188,077 <EPS-PRIMARY> .012 <EPS-DILUTED> .012