<ARTICLE> 5 <LEGEND> This schedule contains summary financial information extracted from first quarter 10-QSB for the fiscal year ending August 31, 1996 and is qualified in its entirety by reference to such financial statements. </LEGEND> <CIK> 0000835412 <NAME> TMS, INC. <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> AUG-31-1996 <PERIOD-END> NOV-30-1995 <CASH> 140,915 <SECURITIES> 0 <RECEIVABLES> 1,027,431 <ALLOWANCES> 65,370 <INVENTORY> 0 <CURRENT-ASSETS> 1,475,245 <PP&E> 2,034,552 <DEPRECIATION> 621,603 <TOTAL-ASSETS> 3,301,280 <CURRENT-LIABILITIES> 508,862 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 423,926 <OTHER-SE> 1,996,965 <TOTAL-LIABILITY-AND-EQUITY> 3,301,280 <SALES> 1,300,309 <TOTAL-REVENUES> 1,300,309 <CGS> 555,652 <TOTAL-COSTS> 555,652 <OTHER-EXPENSES> 608,976 <LOSS-PROVISION> 24,880 <INTEREST-EXPENSE> 9,888 <INCOME-PRETAX> 153,990 <INCOME-TAX> 0 <INCOME-CONTINUING> 153,990 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 153,990 <EPS-PRIMARY> .02 <EPS-DILUTED> .02