<ARTICLE> 5 <LEGEND> This Schedule contains summary financial information extracted from the Financial Statements of Emisphere Technologies, Inc. at October 31, 1998 and is qualified in its entirety by reference to such Financial Statements. </LEGEND> <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> JUL-31-1999 <PERIOD-START> AUG-01-1998 <PERIOD-END> OCT-31-1998 <CASH> 18,079,989 <SECURITIES> 13,406,832 <RECEIVABLES> 5,043,935 <ALLOWANCES> 0 <INVENTORY> 0 <CURRENT-ASSETS> 37,228,867 <PP&E> 15,434,076 <DEPRECIATION> 4,574,311 <TOTAL-ASSETS> 48,823,602 <CURRENT-LIABILITIES> 6,770,743 <BONDS> 10,000,000 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 110,643 <OTHER-SE> 28,446,566 <TOTAL-LIABILITY-AND-EQUITY> 48,823,602 <SALES> 0 <TOTAL-REVENUES> 3,579,061 <CGS> 0 <TOTAL-COSTS> 6,820,314 <OTHER-EXPENSES> (260,907) <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 236,250 <INCOME-PRETAX> (2,980,346) <INCOME-TAX> 0 <INCOME-CONTINUING> (2,980,346) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (2,980,346) <EPS-PRIMARY> (.27) <EPS-DILUTED> (.27)