<ARTICLE> 5 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM DIEDRICH COFFEE INC. UNAUDITED FINANCIAL STATEMENTS FOR THE THIRTY-NINE WEEKS ENDED AND AS OF OCTOBER 29, 1997 CONTAINED IN COMPANY'S AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. <PERIOD-TYPE> 10-MOS <FISCAL-YEAR-END> JAN-28-1998 <PERIOD-START> JAN-30-1997 <PERIOD-END> OCT-29-1997 <CASH> 1,550,276 <SECURITIES> 0 <RECEIVABLES> 265,885 <ALLOWANCES> 0 <INVENTORY> 1,480,457 <CURRENT-ASSETS> 3,860,904 <PP&E> 0 <DEPRECIATION> 0 <TOTAL-ASSETS> 14,841,174 <CURRENT-LIABILITIES> 3,498,811 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 53,917 <OTHER-SE> 0 <TOTAL-LIABILITY-AND-EQUITY> 14,841,174 <SALES> 17,241,114 <TOTAL-REVENUES> 17,241,114 <CGS> 8,619,031 <TOTAL-COSTS> 8,619,031 <OTHER-EXPENSES> 15,328,355 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 101,605 <INCOME-PRETAX> (6,817,135) <INCOME-TAX> 2,890 <INCOME-CONTINUING> (6,820,025) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (6,820,025) <EPS-PRIMARY> (1.27) <EPS-DILUTED> 0