FORM 10-K

SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

(Mark One)

[X] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15 (d) OF
THE SECURITIES EXCHANGE ACT OF 1934

For the Fiscal Year Ended January 31, 1997

[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934

For the transition period from _________________ to __________________

Commission file number 0-3136

RAVEN INDUSTRIES, INC.
(Exact name of registrant as specified in its charter)

South Dakota 46-0246171
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)

205 E. 6th Street, Sioux Falls, South Dakota 57117
(Address of principal offices) (Zip Code)

Registrant's telephone number, including area code (605) 336-2750

Securities registered pursuant to Section 12(b) of the Act: None

Securities registered pursuant to Section 12(g) of the Act:

Common stock, $1 par value
(Title of each class)

Indicate by checkmark whether the Registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding twelve months, and (2) has been subject to such filing
requirements for the past ninety days.
Yes __X__ No ____

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405
of Regulation S-K is not contained herein, and will not be contained, to the
best of Registrant's knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this Form 10-K or any amendment to this
Form 10-K. [ ]

The aggregate market value of voting stock held by nonaffiliates of the
Registrant, based on the closing price of $22.625 per share as reported on the
NASDAQ National Market System on April 16, 1997 was $97,636,310.

Shares of common stock outstanding at April 16, 1997: 4,837,250.

DOCUMENTS INCORPORATED BY REFERENCE

The following table shows, except as otherwise noted, the location of
information, required in this Form 10-K, in the registrant's Annual Report to
Shareholders for the year ended January 31, 1997 and Proxy Statement for
registrant's 1997 annual meeting, a definitive copy of which is to be filed on
April 18, 1997. All such information set forth under the heading "Reference"
herein below is incorporated herein by reference. A copy of the registrant's
Annual Report to Shareholders for the year ended January 31, 1997 is included in
this report.

PART I. ITEM IN FORM 10-K REFERENCE
- ------- ----------------- ---------

Item 1. Business Business, pages 4-7, this
document, Business
Segments, page 2, and
Sales by Markets, page
17, Annual Report to
Shareholders

Item 2. Properties Properties, pages 8-9, this
document

Item 3. Pending Legal Pending Legal Proceedings,
Proceedings page 9, this document

Item 4. Submission of Matters Submission of Matters to a
to a Vote of Vote of Security
Security Holders Holders, page 9, this
document

PART II.
- --------

Item 5. Market for the Regis- Quarterly Summary, page 24,
trant's Common Eleven-year Financial
Equity and Related Summary, pages 18-19,
Stockholder Matters and inside back cover,
Annual Report to
Shareholders

Item 6. Selected Financial Data Eleven-Year Financial
Summary, pages 18-19,
Annual Report to
Shareholders

Item 7. Management's Discussion Financial Review and
and Analysis of Analysis, pages 20-23,
Financial Condition Annual Report to
and Results of Shareholders
Operations

Item 8. Financial Statements and Annual Report to Share-
Supplementary Data holders, pages 25-36

Item 9. Changes in and Disagree- Changes in and Disagree-
ments with Accountants ments with Accountants
on Accounting and on Accounting and
Financial Disclosure Financial Disclosure,
page 9, this document

PART III.
- ---------

Item 10. Directors of the Regis- Election of Directors and
trant Executive Compensation,
Proxy Statement

Executive Officers of Executive Officers of
the Registrant Registrant, page 10,
this document and Other
Matters, Proxy
Statement

Item 11. Executive Compensation Executive Compensation,
Proxy Statement

Item 12. Voting Securities and Ownership of Common Stock,
Principal Holders Proxy Statement
Thereof

Item 13. Certain Relationships Election of Directors,
and Related Proxy Statement
Transactions

PART IV.
- --------

Item 14. Exhibits, Financial Exhibits, Financial
Statement Schedule Statement Schedule
and Reports on Form and Reports on Form
8-K. 8-K, pages 10-12,
this document.

RAVEN INDUSTRIES, INC.

FORM 10-K

year ended January 31, 1997

Item 1. Business

General

Raven Industries, Inc. was incorporated in February 1956 under the laws
of the State of South Dakota and began operations later that same year. The
following terms - the company, Raven or the registrant - are intended to apply
to Raven Industries, Inc. and its consolidated subsidiaries listed in Exhibit 21
to this report. Raven is headquartered in Sioux Falls, South Dakota, employing
approximately 1,400 persons in eight states.

The company began operations as a manufacturer of high-altitude
research balloons. It has diversified over the years to supply specialized
products for a number of markets, including industrial, recreation, agriculture,
automotive and defense. Many of these product lines are an extension of
technology and production methods developed in the original balloon business.
The automotive product line was added via acquisition in fiscal 1987. Page 17 in
the company's Annual Report to Shareholders, incorporated herein by reference,
provides financial information regarding sales by markets.

The company has three business segments: Electronics, Plastics and Sewn
Products. Product lines have been grouped in these segments based on common
technologies, production methods and raw materials. However, more than one
business segment may serve the product markets identified above. Page 2 in the
company's Annual Report to Shareholders, incorporated herein by reference,
provides financial information concerning the three business segments.

Business Segments

Electronics - Historically, this segment has provided a variety of
assemblies and controls to the U.S. Department of Defense and other defense
contractors. The company is expanding this segment's capabilities in contract
electronics assembly for commercial customers to offset a decline in defense
contracts. Assemblies manufactured by the Electronics segment include
communication, computer and other products where high quality is critical. Flow
control devices, used primarily for precision farming applications, are designed
and produced within this business segment. These devices are also used for
roadside and turf spraying. Management believes that acquisition of new
technologies for height and depth control will expand the company's capabilities
to support precision farming in future years. The segment also builds and
installs automated control systems for use in feedmills.

Defense and other contract electronics assembly sales are made in
response to competitive bid requests by defense agencies or other contractors.
The level and nature of competition vary with the type of product, but the
company frequently competes with a number of assembly manufacturers on any given
bid request. Home office personnel sell flow control devices directly to
original equipment manufacturers (OEMs) and distributors. Company sales
representatives sell automated systems directly to feedmills and bakeries.
Considerable competition exists for feedmill business.

Plastics - Products in this segment include heavy-duty sheeting for
industrial and agricultural applications; fiberglass, polyethylene and
dual-laminate tanks for industrial and agricultural use; high altitude balloons
for public and commercial research; and pick-up truck toppers sold in the small
truck after-market. The company's capability to produce dual-laminate tankage
resulted from the aquisition of Norcore Plastics in January 1997.

The company sells plastic sheeting to distributors in each of the
various markets it serves. The company extrudes a significant portion of the
film converted for its commercial products and believes it is one of the largest
sheeting converters in the United States. A number of suppliers of sheeting
compete with Raven on both price and product availability.

Home office personnel and manufacturer's representatives sell storage
tanks to OEMs and through distributors. Competition comes not only from many
other plastic tank manufacturers, but also from manufacturers using other
materials (aluminum and steel). The company makes a number of custom fiberglass
and dual-laminate products, but polyethylene tanks tend to be commodity products
and subject to intense price competition.

The company sells research balloons directly to public agencies
(usually funded by NASA) or commercial users. Demand is small but stable. Raven
is the largest balloon supplier for high-altitude research in the United States.

Pickup-truck toppers are sold throughout the U.S., using a dealer
network. The overall market for toppers, which declined in the late 1980's and
early 1990's as alternatives to pickups with toppers, primarily minivans and
sport-utility vehicles, increased in popularity, has recovered due to strong
sales of pickup trucks. The number of topper manufacturers has fallen but is
still substantial.

Sewn Products - This segment produces and sells outerwear for a variety
of recreational activities, including skiing, hunting and fishing. The segment
also manufactures sport balloons principally for recreational use. Another major
product is large inflatable devices, which enjoy a number of uses, such as
parade floats and advertising media.

Recreational outerwear is sold both to retailers through an independent
sales representative network, and by home office personnel to catalog retailers.
There are many outerwear manufacturers in the U.S. and abroad and considerable
competition exists. The company competes successfully in the medium-to-higher
priced range of the market where specialty fabrics such as Gore-Tex(R) are
involved, emphasizing quality, service and manufacturing expertise.

The segment sells balloons through a dealer network. Raven is the
originator of modern hot-air ballooning and continues to be a leader in design
and technical expertise. The company believes it has approximately 40 percent of
the U.S. hot-air balloon market, although others are able to compete with
lower-cost products. Inflatables are sold directly to corporate customers and
are subject to varying levels of competition. Generally, the more customized the
product, the greater the company's market share.

Major Customer Information

No customer accounted for more than 10 percent of consolidated sales in
fiscal 1997. However, the company sells sewn products to several large
customers. In fiscal 1997, the top five customers in the Sewn Products segment
accounted for more than two-thirds of the sales in that segment. Although the
loss of these accounts would adversely affect profitability, the company
believes that, over the long term, addition of new customers and sales growth
from existing customers would replace any lost sales.

Seasonality/Working Capital Requirements

Some seasonality in demand exists for the company's outerwear products,
many of which are built in spring/summer for summer/fall delivery. Most of these
sales carry net thirty day terms, although some winter-dated terms are
available. Sales to the agricultural market (flow controls, plastic tanks) also
experience some seasonality, building in the fall for winter/spring delivery.

Certain sales to agricultural customers offer spring dating terms for
late fall and early winter shipments. The resulting fluctuations in inventory
and accounts receivable balances may require and have required seasonal
short-term financing.

Raw Materials

The company obtains a wide variety of materials from numerous vendors.
Principal materials include numerous electronic components for the Electronics
segment; various plastic resins for the Plastics segment; and fabric for the
Sewn Products segment. The company has not experienced any significant shortages
or other problems in purchasing raw materials to date, and alternative sources
of supply are generally available. However, predicting future material shortages
and their impact on Raven is not possible.

Patents

The company owns a number of patents. However, Raven does not believe
that its business as a whole is materially dependent on any one patent or
related group of patents. It believes the successful manufacture and sale of its
products generally depend more upon its technical expertise and manufacturing
skills.

Research and Development

The industry segments noted above conduct ongoing research and
development efforts. Most of the company's research and development expenditures
are directed toward new products in the Electronics and Plastics segments. Total
company research and development costs are disclosed in Note 1 to the
consolidated financial statements located on page 29 of the Annual Report to
Shareholders, incorporated herein by reference.

Environmental Matters

Raven believes that it is in compliance in all material respects with
applicable federal, state and local environmental laws and regulations.
Expenditures relating to compliance for operating facilities incurred in the
past and anticipated in the future have not materially affected capital
expenditures, earnings or competitive position.

Backlog

As of February 1, 1997, the company's backlog of firm orders totaled
$38.1 million. Comparable backlog amounts as of February 1, 1996 and 1995 were
$32.5 million and $29.7 million, respectively.

Item 2. Properties

Square Business
Location Feet Use Segments
- -------- ------ --- --------

Sioux Falls, SD 150,000 Corporate office and Corporate and
electronics manufacturing Other
Electronics

73,300 Storage tank manufacturing Plastics

68,400 Sewn products warehouse Sewn Products

62,300 Plastic sheeting manufacturing Plastics

59,000 Plastic sheeting and hot-air balloon Plastics
manufacturing Sewn Products

31,400 Storage tank manufacturing Plastics

27,000 Offices and material handling facility Sewn Products

25,300 Inflatable manufacturing Sewn Products

10,200 Machine Shop Corporate and Other

6,200 Training/meeting center Corporate and Other

Dunnell, MN 81,500 Pickup-truck topper manufacturing Plastics

Eloy, AZ 51,600 Pickup-truck topper manufacturing Plastics

Albertville, AL 49,600 Storage tank manufacturing Plastics

Sulphur Springs, TX *45,400 Research balloon manufacturing Plastics

Springfield, OH 30,000 Plastic sheeting manufacturing Plastics

Tacoma, WA *26,500 Storage tank manufacturing Plastics

Huron, SD 24,100 Sewing plant Sewn Products

Washington Court House, OH 21,500 Storage tank manufacturing Plastics

St. Louis, MO 21,000 Electronics manufacturing Electronics

Gordo, AL *20,000 Feedmill automation equipment manufacturing Electronics

Beresford, SD 20,000 Sewing plant Sewn Products

Madison, SD 20,000 Sewing plant Sewn Products

DeSmet, SD 15,000 Sewing plant Sewn Products

Salem, SD 15,000 Sewing plant Sewn Products

Parkston, SD 14,000 Sewing plant Sewn Products

* Leased short-term

Most of the company's manufacturing plants also serve as distribution centers
and contain offices for sales, engineering and manufacturing support staff. The
company believes that its properties are, in all material respects, in good
condition and are adequate to meet existing production needs. The company owns
6.95 acres of undeveloped land adjacent to the other company property in Sioux
Falls which is available for expansion.

Item 3. Pending Legal Proceedings

There are no pending legal proceedings wherein the claim for damages exceeds 10%
of the registrant's current assets.

Item 4. Submission of Matters to a Vote of Security Holders

There was no matter submitted during the fourth quarter to a vote of security
holders.

Item 9. Changes In and Disagreements With Accountants on Accounting
and Financial Disclosure

None.

Item 10. Executive Officers of the Registrant

Name Age Position Period Served
---- --- -------- -------------

David A. Christensen 62 President and Chief April 1971 to present
Executive Officer

Gary L. Conradi 57 Vice President, January 1980 to present
Corporate Services

Ronald M. Moquist 51 Executive Vice January 1979 to present
President

Arnold J. Thue 58 Vice President, January 1980 to present
Finance,Secretary
and Treasurer

Each of the above named individuals serves at the pleasure of the Board of
Directors. Each serves on a year-to-year basis.

Item 14. Exhibits, Financial Statement Schedule and Reports on

Form 8-K

(a) Consolidated Financial Statements and Schedule

1. Incorporated by reference from the attached 1997
Annual Report to Shareholders:

Consolidated Balance Sheets
Consolidated Statements of Income
Consolidated Statements of Stockholders' Equity
Consolidated Statements of Cash Flows
Notes to Consolidated Financial Statements
Report of Independent Accountants

2. Included in Part II:
Report of Independent Accountants on Financial
Statement Schedule
Schedule II - Valuation and Qualifying Accounts

The following schedules are omitted for the reason that they are not
applicable or are not required: I, III and IV.

(b) Reports on Form 8-K

There were no reports filed on Form 8-K during the fourth quarter ended
January 31, 1997.

Exhibit
Number Description
------ -----------

3(a) Articles of Incorporation of Raven Industries, Inc. and all
amendments thereto.*

3(b) By-Laws of Raven Industries, Inc.*

3(c) Extract of Shareholders Resolution adopted on April 7, 1962
with respect to the by-laws of Raven Industries, Inc.*

4(a) Rights Agreement dated as of March 16, 1989 between Raven
Industries, Inc. and Norwest Bank Minnesota, National
Association (incorporated by reference to Exhibit 1 to the
Company's Report on Form 8-K dated March 16, 1989).

10(a) Change in Control Agreement between Raven Industries, Inc. and
David A. Christensen dated as of March 17, 1989.*

10(b) Change in Control Agreement between Raven Industries, Inc. and
Gary L. Conradi dated as of March 17, 1989.*

10(c) Change in Control Agreement between Raven Industries, Inc. and
Ronald M. Moquist dated as of March 17, 1989.*

10(d) Change in Control Agreement between Raven Industries, Inc. and
Arnold J. Thue dated as of March 17, 1989.*

10(f) The Raven Industries, Inc. Health and Survivor Benefit Plan.*

10(g) The Raven Industries, Inc. Post-Retirement Health and Survivor
Benefit Plan.*

10(h) Deferred Compensation Plan between Raven Industries, Inc. and
David A. Christensen dated as of June 1, 1986.*

10(i) Trust Agreement between Raven Industries, Inc. and Norwest
Bank South Dakota, N.A. dated April 26, 1989.*

10(n) Form of Incentive Stock Option Agreements.*

10(o) Form of Nonqualified Stock Option Agreements.*

10(p) Form of Amendment Agreement relating to outstanding Incentive
Stock Options.*

10(q) Raven Industries, Inc. 1990 Stock Option Plan adopted January
30, 1990 (incorporated by reference to Exhibit A to the
Company's definitive Proxy Statement filed April 25, 1990).

11 Detailed Computation of Earnings per Share.

13 1997 Annual Report to Shareholders (only those portions
specifically incorporated herein by reference shall be deemed
filed with the Commission).

21 Subsidiaries of the Registrant.

23 Consent of Independent Accountants.

27 Financial Data Schedule (for S.E.C. only).

* Incorporated by reference to corresponding Exhibit
Number of the Company's Form 10-K for the year ended
January 31, 1989.

SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities
Exchange Act of 1934, the registrant has duly caused this report to be signed on
its behalf by the undersigned, thereunto duly authorized.

RAVEN INDUSTRIES, INC.
(Registrant)

April 25, 1997 By: /S/ David A. Christensen
- ------------------------------ -------------------------------------
Date David A. Christensen
President (Principal Executive
Officer and Director)

April 25, 1997 /S/ Arnold J. Thue
- ------------------------------ -------------------------------------
Date Arnold J. Thue
Vice President, Finance,
Secretary and Treasurer
(Principal Financial and
Accounting Officer)

Directors:

April 25, 1997 /S/ Conrad J. Hoigaard
- ------------------------------ -------------------------------------
Date Conrad J. Hoigaard

April 25, 1997 /S/ John C. Skoglund
- ------------------------------ -------------------------------------
Date John C. Skoglund

April 25, 1997 /S/ Mark E. Griffin
- ------------------------------ -------------------------------------
Date Mark E. Griffin

April 25, 1997 /S/ Kevin T. Kirby
- ------------------------------ -------------------------------------
Date Kevin T. Kirby

April 25, 1997 /S/ Anthony W. Bour
- ------------------------------ -------------------------------------
Date Anthony W. Bour

April 25, 1997 /S/ Thomas S. Everist
- ------------------------------ -------------------------------------
Date Thomas S. Everist

REPORT OF INDEPENDENT ACCOUNTANTS
ON FINANCIAL STATEMENT SCHEDULE

To the Board of Directors and Stockholders of
Raven Industries, Inc.:

Our report on the consolidated financial statements of Raven
Industries, Inc. and Subsidiaries has been incorporated by reference in this
Form 10-K from page 36 of the 1997 Annual Report to Shareholders of Raven
Industries, Inc. In connection with our audits of such financial statements, we
have also audited the related financial statement schedule listed in Item
14.(a)2. on page 10 of this Form 10-K.

In our opinion, the financial statement schedule referred to above,
when considered in relation to the basic financial statements taken as a whole,
presents fairly, in all material respects, the information required to be
included therein.

COOPERS & LYBRAND L.L.P.

Minneapolis, Minnesota
March 12, 1997

SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS

for the years ended January 31, 1997, 1996 and 1995

(Dollars in thousands)

Column A Column B Column C Column D Column E
-------- ---------- ------------------------------- ----------- --------

Additions
-------------------------------
Balance at Charged to Charged to Deductions
Beginning Costs and Other From Balance at
Description of Year Expenses Accounts Reserves(1) End of Year
----------- ---------- ---------- ---------- ----------- -----------

Deducted in the balance sheet
from the asset to which it
applies:
Allowance for doubtful
accounts:
Year ended January 31, 1997 $340 $ 88 None $ 88 $340
==== ==== ==== ====

Year ended January 31, 1996 $350 $ 68 None $ 78 $340
==== ==== ==== ====

Year ended January 31, 1995 $350 $135 None $135 $350
==== ==== ==== ====

Note:

(1) Represents uncollectible accounts receivable written off during the year, net of recoveries.