<ARTICLE> 5 <PERIOD-TYPE> YEAR <FISCAL-YEAR-END> SEP-30-1996 <PERIOD-START> OCT-01-1995 <PERIOD-END> SEP-30-1996 <CASH> 4,224,000 <SECURITIES> 3,063,000 <RECEIVABLES> 746,000 <ALLOWANCES> 255,000 <INVENTORY> 1,066,000 <CURRENT-ASSETS> 10,625,000 <PP&E> 1,418,000 <DEPRECIATION> 142,000 <TOTAL-ASSETS> 13,826,000 <CURRENT-LIABILITIES> 2,060,000 <BONDS> 86,000 <PREFERRED-MANDATORY> 0 <PREFERRED> 5,533,000 <COMMON> 12,187,000 <OTHER-SE> (6,040,000) <TOTAL-LIABILITY-AND-EQUITY> 13,826,000 <SALES> 3,405,000 <TOTAL-REVENUES> 3,441,000 <CGS> 2,830,000 <TOTAL-COSTS> 8,601,000 <OTHER-EXPENSES> 33,000 <LOSS-PROVISION> 47,000 <INTEREST-EXPENSE> 54,000 <INCOME-PRETAX> (5,283,000) <INCOME-TAX> 0 <INCOME-CONTINUING> (5,283,000) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (5,283,000) <EPS-PRIMARY> (.45) <EPS-DILUTED> (.45)