<ARTICLE>                                           UT
<LEGEND>
This  schedule  contains  summary  financial   information  extracted  from  the
September 30, 1998 Financial  Statements  included in IES Utilities  Inc.'s Form
10-Q and is qualified in its entirety by reference to such Financial Statements.
</LEGEND>
<CIK>                         0000052485
<NAME>                        IES UTILITIES INC.
<MULTIPLIER>                                   1,000
       
                             
<PERIOD-TYPE>                   9-MOS               
<FISCAL-YEAR-END>                              DEC-31-1998
<PERIOD-START>                                 JAN-01-1998
<PERIOD-END>                                   SEP-30-1998
<BOOK-VALUE>                                   PER-BOOK
<TOTAL-NET-UTILITY-PLANT>                      1,355,555
<OTHER-PROPERTY-AND-INVEST>                    94,313
<TOTAL-CURRENT-ASSETS>                         163,298
<TOTAL-DEFERRED-CHARGES>                       13,754
<OTHER-ASSETS>                                 138,058
<TOTAL-ASSETS>                                 1,764,978
<COMMON>                                       33,427
<CAPITAL-SURPLUS-PAID-IN>                      279,042
<RETAINED-EARNINGS>                            258,947
<TOTAL-COMMON-STOCKHOLDERS-EQ>                 571,416
<PREFERRED-MANDATORY>                          0
<PREFERRED>                                    18,320
<LONG-TERM-DEBT-NET>                           601,909
<SHORT-TERM-NOTES>                             0
<LONG-TERM-NOTES-PAYABLE>                      0
<COMMERCIAL-PAPER-OBLIGATIONS>                 0
<LONG-TERM-DEBT-CURRENT-PORT>                  50,140
<PREFERRED-STOCK-CURRENT>                      0
<CAPITAL-LEASE-OBLIGATIONS>                    15,668
<LEASES-CURRENT>                               13,197
<OTHER-ITEMS-CAPITAL-AND-LIAB>                 494,328
<TOT-CAPITALIZATION-AND-LIAB>                  1,764,978
<GROSS-OPERATING-REVENUE>                      605,201
<INCOME-TAX-EXPENSE>                           38,861    <F1>
<OTHER-OPERATING-EXPENSES>                     479,216
<TOTAL-OPERATING-EXPENSES>                     479,216   <F1>
<OPERATING-INCOME-LOSS>                        125,985
<OTHER-INCOME-NET>                             (2,713)
<INCOME-BEFORE-INTEREST-EXPEN>                 123,272
<TOTAL-INTEREST-EXPENSE>                       39,154
<NET-INCOME>                                   45,257
<PREFERRED-STOCK-DIVIDENDS>                    686
<EARNINGS-AVAILABLE-FOR-COMM>                  44,571
<COMMON-STOCK-DIVIDENDS>                       14,000
<TOTAL-INTEREST-ON-BONDS>                      46,658
<CASH-FLOW-OPERATIONS>                         168,875
<EPS-PRIMARY>                                  0          <F2>
<EPS-DILUTED>                                  0          <F2>
<FN>
<F1> Income  tax  expense  is  not  included  in  Operating  Expense  in the
     Statement of Income.

<F2> Earnings per share of common stock is not reflected  because all common
    shares are held by Interstate Energy Corporation.
</FN>