<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE DIEDRICH
COFFEE, INC. FORM 10-K FOR THE FISCAL YEAR ENDED JANUARY 28, 1998 AND IS
QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
       
                             
<PERIOD-TYPE>                   YEAR
<FISCAL-YEAR-END>                          JAN-28-1998
<PERIOD-START>                             JAN-30-1997
<PERIOD-END>                               JAN-28-1998
<CASH>                                       1,408,161
<SECURITIES>                                         0
<RECEIVABLES>                                  181,628
<ALLOWANCES>                                         0
<INVENTORY>                                  1,375,119
<CURRENT-ASSETS>                             3,164,829
<PP&E>                                      13,835,715
<DEPRECIATION>                               3,730,872
<TOTAL-ASSETS>                              13,948,426
<CURRENT-LIABILITIES>                        4,123,436
<BONDS>                                              0
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                        57,417
<OTHER-SE>                                           0
<TOTAL-LIABILITY-AND-EQUITY>                13,948,426
<SALES>                                     22,981,697
<TOTAL-REVENUES>                            22,981,697
<CGS>                                       11,457,612
<TOTAL-COSTS>                               11,457,612
<OTHER-EXPENSES>                            20,430,672
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                             182,135
<INCOME-PRETAX>                            (9,111,961)
<INCOME-TAX>                                       800
<INCOME-CONTINUING>                        (9,112,761)
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                               (9,112,761)
<EPS-PRIMARY>                                   (1.69)
<EPS-DILUTED>                                   (1.69)