<ARTICLE> 5 <LEGEND> This schedule contains summary financial information extracted from the third quarter 10-QSB for the fiscal year ending August 31, 1997 and is qualified in its entirety by reference to such financial statements. </LEGEND> <CIK> 0000835412 <NAME> TMS, INC. <PERIOD-TYPE> 9-MOS <FISCAL-YEAR-END> AUG-31-1997 <PERIOD-END> MAY-31-1997 <CASH> 421,343 <SECURITIES> 0 <RECEIVABLES> 1,415,995 <ALLOWANCES> 166,632 <INVENTORY> 0 <CURRENT-ASSETS> 2,517,766 <PP&E> 2,608,093 <DEPRECIATION> 1,096,406 <TOTAL-ASSETS> 4,768,137 <CURRENT-LIABILITIES> 621,422 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 672,058 <OTHER-SE> 3,135,405 <TOTAL-LIABILITY-AND-EQUITY> 4,768,137 <SALES> 4,122,820 <TOTAL-REVENUES> 4,122,820 <CGS> 1,702,035 <TOTAL-COSTS> 1,702,035 <OTHER-EXPENSES> 2,407,820 <LOSS-PROVISION> 61,900 <INTEREST-EXPENSE> 17,527 <INCOME-PRETAX> 44,972 <INCOME-TAX> 17,300 <INCOME-CONTINUING> 27,672 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 27,672 <EPS-PRIMARY> 0.00 <EPS-DILUTED> 0.00