<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