<ARTICLE> 5 <PERIOD-TYPE> 3-MOS 3-MOS <FISCAL-YEAR-END> DEC-31-1997 DEC-31-1998 <PERIOD-END> MAR-31-1997 MAR-31-1998 <CASH> 15,766,000 11,981,000 <SECURITIES> 0 0 <RECEIVABLES> 3,606,000 4,122,000 <ALLOWANCES> 54,000 76,000 <INVENTORY> 2,098,000 2,463,000 <CURRENT-ASSETS> 22,042,000 18,864,000 <PP&E> 5,930,000 6,366,000 <DEPRECIATION> 1,913,000 2,333,000 <TOTAL-ASSETS> 30,413,000 27,155,000 <CURRENT-LIABILITIES> 6,370,000 5,994,000 <BONDS> 1,244,000 1,106,000 <COMMON> 1,606,000 1,655,000 <PREFERRED-MANDATORY> 0 0 <PREFERRED> 0 0 <OTHER-SE> 10,248,000 8,834,000 <TOTAL-LIABILITY-AND-EQUITY> 30,413,000 27,155,000 <SALES> 5,828,000 6,623,000 <TOTAL-REVENUES> 5,828,000 6,623,000 <CGS> 4,134,000 4,500,000 <TOTAL-COSTS> 2,242,000 2,126,000 <OTHER-EXPENSES> 302,000 (15,000) <LOSS-PROVISION> 0 0 <INTEREST-EXPENSE> 108,000 90,000 <INCOME-PRETAX> (958,000) (78,000) <INCOME-TAX> 0 0 <INCOME-CONTINUING> (958,000) (78,000) <DISCONTINUED> 0 0 <EXTRAORDINARY> 0 0 <CHANGES> 0 0 <NET-INCOME> (958,000) (78,000) <EPS-PRIMARY> (.06) (.01) <EPS-DILUTED> (.06) (.01)