<ARTICLE> 5 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE FINANCIAL STATEMENTS OF FARREL CORPORATION AS OF DECEMBER 31, 1996 AND FOR THE YEAR THEN ENDED AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH STATEMENTS. </LEGEND> <MULTIPLIER> 1,000 <CURRENCY> U.S. <PERIOD-TYPE> 12-MOS <FISCAL-YEAR-END> DEC-31-1996 <PERIOD-END> DEC-31-1996 <EXCHANGE-RATE> 1 <CASH> 3,832 <SECURITIES> 0 <RECEIVABLES> 19,653 <ALLOWANCES> 464 <INVENTORY> 14,187 <CURRENT-ASSETS> 40,187 <PP&E> 17,912 <DEPRECIATION> 8,357 <TOTAL-ASSETS> 50,731 <CURRENT-LIABILITIES> 19,841 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 61 <OTHER-SE> 28,492 <TOTAL-LIABILITY-AND-EQUITY> 50,731 <SALES> 75,836 <TOTAL-REVENUES> 75,836 <CGS> 57,713 <TOTAL-COSTS> 57,713 <OTHER-EXPENSES> 17,107 <LOSS-PROVISION> 362 <INTEREST-EXPENSE> 145 <INCOME-PRETAX> 480 <INCOME-TAX> 154 <INCOME-CONTINUING> 326 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 326 <EPS-PRIMARY> 0.05 <EPS-DILUTED> 0.05