UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number 811-06367
---------

Gabelli Equity Series Funds, Inc.
-------------------------------------------------
(Exact name of registrant as specified in charter)

One Corporate Center
Rye, New York 10580-1422
-------------------------------------------------
(Address of principal executive offices) (Zip code)

Bruce N. Alpert
Gabelli Funds, LLC
One Corporate Center
Rye, New York 10580-1422
-------------------------------------------------
(Name and address of agent for service)

registrant's telephone number, including area code: 1-800-422-3554
--------------

Date of fiscal year end: September 30
------------

Date of reporting period: September 30, 2005
------------------

Form N-CSR is to be used by management investment companies to file reports with
the Commission not later than 10 days after the transmission to stockholders of
any report that is required to be transmitted to stockholders under Rule 30e-1
under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may
use the information provided on Form N-CSR in its regulatory, disclosure review,
inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-CSR,
and the Commission will make this information public. A registrant is not
required to respond to the collection of information contained in Form N-CSR
unless the Form displays a currently valid Office of Management and Budget
("OMB") control number. Please direct comments concerning the accuracy of the
information collection burden estimate and any suggestions for reducing the
burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW,
Washington, DC 20549-0609. The OMB has reviewed this collection of information
under the clearance requirements of 44 U.S.C. ss. 3507.

ITEM 1. REPORTS TO STOCKHOLDERS.

The Report to Shareholders is attached herewith.

THE GABELLI SMALL CAP GROWTH FUND

ANNUAL REPORT (A)
SEPTEMBER 30, 2005

TO OUR SHAREHOLDERS,

During the fiscal year ended September 30, 2005, the Gabelli Small Cap
Growth Fund (the "Fund") rose 20.58%, while the Russell 2000 Index and the Value
Line Composite Index both rose by 17.95% and 19.24%, respectively. The Fund
gained 4.72% year-to-date through September 30th, outperforming the Russell 2000
Index return of 3.38%.

Enclosed are the investment portfolio and financial statements as of
September 30, 2005.

COMPARATIVE RESULTS

- ------------------------------------------------------------------------------------------------------------
AVERAGE ANNUAL RETURNS THROUGH SEPTEMBER 30, 2005 (A)(B)
--------------------------------------------------------
Since
Year to Inception
Quarter Date 1 Year 3 Year 5 Year 10 Year (10/22/91)
- ------------------------------------------------------------------------------------------------------------

GABELLI SMALL CAP GROWTH FUND
CLASS AAA ...................... 3.27% 4.72% 20.58% 23.21% 11.91% 13.21% 15.46%
Russell 2000 Index ............... 4.69 3.38 17.95 24.12 6.45 9.37 11.37
Value Line Composite Index ....... 4.88 4.75 19.24 26.86 10.69 12.84 13.64
Class A .......................... 3.27 4.72 20.57 23.22 11.91 13.21 15.46
(2.66)(c) (1.32)(c) 13.64(c) 20.81(c) 10.59(c) 12.54(c) 14.98(c)
Class B .......................... 3.07 4.12 19.69 22.69 11.62 13.06 15.36
(1.93)(d) (0.88)(d) 14.69(d) 22.02(d) 11.36(d) 13.06(d) 15.36(d)
Class C .......................... 3.10 4.15 19.69 22.69 11.62 13.06 15.36
2.10(d) 3.15(d) 18.69(d) 22.69(d) 11.62(d) 13.06(d) 15.36(d)

(a) THE FUND'S FISCAL YEAR ENDS SEPTEMBER 30.
(b) RETURNS REPRESENT PAST PERFORMANCE AND DO NOT GUARANTEE FUTURE RESULTS.
TOTAL RETURNS AND AVERAGE ANNUAL RETURNS REFLECT CHANGES IN SHARE PRICE AND
REINVESTMENT OF DIVIDENDS AND ARE NET OF EXPENSES. INVESTMENT RETURNS AND
THE PRINCIPAL VALUE OF AN INVESTMENT WILL FLUCTUATE. WHEN SHARES ARE
REDEEMED, THEY MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST.
PERFORMANCE RETURNS FOR PERIODS LESS THAN ONE YEAR ARE NOT ANNUALIZED.
CURRENT PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA
PRESENTED. VISIT WWW.GABELLI.COM FOR PERFORMANCE INFORMATION AS OF THE MOST
RECENT MONTH END. INVESTORS SHOULD CONSIDER THE INVESTMENT OBJECTIVES,
RISKS AND CHARGES AND EXPENSES OF THE FUND CAREFULLY BEFORE INVESTING. THE
PROSPECTUS CONTAINS MORE INFORMATION ABOUT THIS AND OTHER MATTERS AND
SHOULD BE READ CAREFULLY BEFORE INVESTING.
THE CLASS AAA SHARES' NET ASSET VALUES ARE USED TO CALCULATE PERFORMANCE
FOR THE PERIODS PRIOR TO THE ISSUANCE OF CLASS A SHARES, CLASS B SHARES AND
CLASS C SHARES ON DECEMBER 31, 2003. THE ACTUAL PERFORMANCE FOR THE CLASS B
SHARES AND CLASS C SHARES WOULD HAVE BEEN LOWER DUE TO THE ADDITIONAL
EXPENSES ASSOCIATED WITH THESE CLASSES OF SHARES. THE RUSSELL 2000 INDEX OF
SMALL U.S. COMPANIES AND THE VALUE LINE COMPOSITE INDEX ARE UNMANAGED
INDICATORS OF STOCK MARKET PERFORMANCE. DIVIDENDS ARE REINVESTED.
(c) INCLUDES THE EFFECT OF THE MAXIMUM 5.75% SALES CHARGE AT THE BEGINNING OF
THE PERIOD.
(d) INCLUDES THE EFFECT OF THE APPLICABLE CONTINGENT DEFERRED SALES CHARGE AT
THE END OF THE PERIOD SHOWN FOR CLASS B AND CLASS C SHARES, RESPECTIVELY.
CLASS B SHARES ARE NOT AVAILABLE FOR NEW PURCHASES.
- --------------------------------------------------------------------------------

- --------------------------------------------------------------------------------
We have separated the portfolio manager's commentary from the financial
statements and investment portfolio due to corporate governance regulations
stipulated by the Sarbanes-Oxley Act of 2002. We have done this to ensure that
the content of the portfolio manager's commentary is unrestricted. The
financial statements and investment portfolio are mailed separately from the
commentary. Both the commentary and the financial statements, including the
portfolio of investments, will be available on our website at
www.gabelli.com/funds.
- --------------------------------------------------------------------------------

PERFORMANCE DISCUSSION
Small cap stocks made headway during the fiscal year ended September 30,
2005. The Gabelli Small Cap Fund gained 20.58% over the past twelve months,
outperforming its benchmark, the Russell 2000 Index, which rose 17.95%.

The year's nearly 15% outperformance over the Russell resulted primarily
from our stocks reacting favorably to a series of company-specific positive news
events, and to a lesser extent on merger and acquisition activity within the
names we own. Winners outnumbered losers by over 2-to-1, and unlike in previous
years, micro-cap names (under $100 million in market capitalization) were
outshone by "larger" companies.

As is often the case, our portfolio's greatest successes and
disappointments came from a wide range of industry groups. Oil services
equipment provider RPC topped our performance list, followed by the TV operator
Liberty Corp., industrial parts manufacturer Precision Castparts, and medical
appliances and equipment manufacturer Inamed. Other excellent performers
included Kaman, Unova and Thomas & Betts.

Laggards included auto parts manufacturer Standard Motor Products,
broadcaster Spanish Broadcasting Systems, paper products company Nashua Corp.,
men's clothier Hartmarx Corp., and gaming company Boyd Gaming. In general,
consumer-oriented stocks underperformed somewhat as investors worried about a
potential decline in consumer spending.

During the fiscal year, a number of portfolio holdings benefited from
being takeover targets. These included Ascential Software, Cablevision, Catellus
Development, Corixa, CTS, CUNO, Great Lakes Chemical, Hibernia, Inamed,
Mykrolis, Neiman Marcus Group, Pulitzer Inc., Thomas Industries, Titan Corp.,
UnitedGlobalCom, Western Wireless, John Wiley & Sons and Wyndham International.

As of September 30th, the Fund is overweight in Autos & Transportation,
Consumer Discretionary, Consumer Staples, Producer Durables, Materials &
Processing and Utilities compared to the benchmark Russell 2000 Index. Sectors
that are underweight as of the end of the fiscal year included Energy, Financial
Services, Healthcare and Technology.

[GRAPHIC OMITTED]
PLOT POINTS FOLLOW:

COMPARISON OF CHANGE IN VALUE OF A $10,000 INVESTMENT IN
THE GABELLI SMALL CAP GROWTH FUND CLASS AAA,
THE RUSSELL 2000 INDEX, AND THE S&P 500 INDEX

Gabelli Small Cap
Growth Fund
(Class AAA) Russell 2000 Index S&P 500 Index
10/22/91 10,000 10,000 10,000
9/30/92 13,186 10,854 11,174
9/30/93 17,228 14,456 12,623
9/30/94 17,999 14,835 13,088
9/30/95 21,504 18,307 16,976
9/30/96 23,871 20,710 20,426
9/30/97 33,950 27,584 28,684
9/30/98 29,356 22,338 31,288
9/30/99 35,005 26,597 39,983
9/30/00 42,356 32,818 45,289
9/30/01 39,192 25,858 33,238
9/30/02 39,736 23,453 26,434
9/30/03 50,775 32,013 32,876
9/30/04 61,641 38,022 37,433
9/30/05 74,330 44,852 41,580

*Past performance is not predictive of future results. The performance tables
and graph do not reflect the deduction of taxes that a shareholder would pay on
fund distributions or the redemption of fund shares.

THE GABELLI SMALL CAP GROWTH FUND
DISCLOSURE OF FUND EXPENSES (UNAUDITED)
For the Six Month Period from April 1, 2005 through September 30, 2005
EXPENSE TABLE
- --------------------------------------------------------------------------------

We believe it is important for you to understand the impact of fees and expenses
regarding your investment. All mutual funds have operating expenses. As a
shareholder of a fund, you incur ongoing costs, which include costs for
portfolio management, administrative services, and shareholder reports (like
this one), among others. Operating expenses, which are deducted from a fund's
gross income, directly reduce the investment return of a fund. When a fund's
expenses are expressed as a percentage of its average net assets, this figure is
known as the expense ratio. The following examples are intended to help you
understand the ongoing costs (in dollars) of investing in your Fund and to
compare these costs with those of other mutual funds. The examples are based on
an investment of $1,000 made at the beginning of the period shown and held for
the entire period.

The Expense Table below illustrates your Fund's costs in two ways:

ACTUAL FUND RETURN: This section provides information about actual account
values and actual expenses. You may use this section to help you to estimate the
actual expenses that you paid over the period after any fee waivers and expense
reimbursements. The "Ending Account Value" shown is derived from the Fund's
ACTUAL return during the past six months, and the "Expenses Paid During Period"
shows the dollar amount that would have been paid by an investor who started
with $1,000 in the Fund. You may use this information, together with the amount
you invested, to estimate the expenses that you paid over the period.

To do so, simply divide your account value by $1,000 (for example, an $8,600
account value divided by $1,000 = 8.6), then multiply the result by the number
given for your Fund under the heading "Expenses Paid During Period" to estimate
the expenses you paid during this period.

HYPOTHETICAL 5% RETURN: This section provides information about hypothetical
account values and hypothetical expenses based on the Fund's actual expense
ratio. It assumes a hypothetical annualized return of 5% before expenses during
the period shown. In this case -- because the hypothetical return used is NOT
the Fund's actual return -- the results do not apply to your investment and you
cannot use the hypothetical account value and expense to estimate the actual
ending account balance or expenses you paid for the period. This example is
useful in making comparisons of the ongoing costs of investing in the Fund and
other funds. To do so, compare this 5% hypothetical example with the 5%
hypothetical examples that appear in shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your
ongoing costs only and do not reflect any transactional costs such as sales
charges (loads), redemption fees, or exchange fees, if any, which are described
in the Prospectus. If these costs were applied to your account, your costs would
be higher. Therefore, the 5% hypothetical return is useful in comparing ongoing
costs only, and will not help you determine the relative total costs of owning
different funds. The "Annualized Expense Ratio" represents the actual expenses
for the last six months and may be different from the expense ratio in the
Financial Highlights which is for the year ended September 30, 2005.

Beginning Ending Annualized Expenses
Account Value Account Value Expense Paid During
04/01/05 09/30/05 Ratio Period*
- --------------------------------------------------------------------------------
GABELLI SMALL CAP GROWTH FUND
- --------------------------------------------------------------------------------
ACTUAL FUND RETURN
Class AAA $1,000.00 $1,067.30 1.48% $ 7.67
Class A $1,000.00 $1,067.30 1.50% $ 7.77
Class B $1,000.00 $1,063.30 2.23% $11.53
Class C $1,000.00 $1,063.30 2.24% $11.59

HYPOTHETICAL 5% RETURN
Class AAA $1,000.00 $1,017.65 1.48% $ 7.49
Class A $1,000.00 $1,017.55 1.50% $ 7.59
Class B $1,000.00 $1,013.89 2.23% $11.26
Class C $1,000.00 $1,013.84 2.24% $11.31

* Expenses are equal to the Fund's annualized expense ratio for the last six
months multiplied by the average account value over the period, multiplied by
the number of days in the most recent fiscal half-year, then divided by 365.

SUMMARY OF PORTFOLIO HOLDINGS (UNAUDITED)

The following table presents portfolio holdings as a percent of total net
assets.

THE GABELLI SMALL CAP GROWTH FUND
Equipment and Supplies ......................... 12.4%
Health Care .................................... 8.3%
Diversified Industrial ......................... 7.8%
Energy and Utilities ........................... 6.5%
Hotels and Gaming .............................. 4.9%
Specialty Chemicals ............................ 4.2%
U.S. Government Obligations .................... 4.1%
Food and Beverage .............................. 4.0%
Automotive: Parts and Accessories .............. 3.9%
Retail ......................................... 3.9%
Aviation: Parts and Services ................... 3.7%
Financial Services ............................. 3.5%
Broadcasting ................................... 3.3%
Publishing ..................................... 3.2%
Business Services .............................. 3.2%
Consumer Products .............................. 2.9%
Cable .......................................... 2.4%
Manufactured Housing and
Recreational Vehicles ....................... 2.3%
Communications Equipment ....................... 1.9%
Entertainment .................................. 1.8%
Telecommunications ............................. 1.4%
Electronics .................................... 1.4%
Wireless Communications ........................ 1.3%
Consumer Services .............................. 1.2%
Environmental Services ......................... 1.1%
Real Estate .................................... 1.1%
Computer Software and Services ................. 0.9%
Transportation ................................. 0.9%
Closed-End Funds ............................... 0.6%
Metals and Mining .............................. 0.5%
Satellite ...................................... 0.4%
Automotive ..................................... 0.3%
Paper and Forest Products ...................... 0.2%
Building and Construction ...................... 0.2%
Aerospace ...................................... 0.2%
Home Furnishings ............................... 0.1%
Educational Services ........................... 0.1%
Other Assets and Liabilities -- Net ............ (0.1)%
------
100.0%
======

THE FUND FILES A COMPLETE SCHEDULE OF PORTFOLIO HOLDINGS WITH THE SEC FOR THE
FIRST AND THIRD QUARTERS OF EACH FISCAL YEAR ON FORM N-Q, THE LAST OF WHICH WAS
FILED FOR THE QUARTER ENDED JUNE 30, 2005. SHAREHOLDERS MAY OBTAIN THIS
INFORMATION AT WWW.GABELLI.COM OR BY CALLING THE FUND AT
800-GABELLI(800-422-3554). THE FUND'S FORM N-Q IS AVAILABLE ON THE SEC'S WEBSITE
AT WWW.SEC.GOV AND MAY ALSO BE REVIEWED AND COPIED AT THE COMMISSION'S PUBLIC
REFERENCE ROOM IN WASHINGTON, DC. INFORMATION ON THE OPERATION OF THE
PUBLIC REFERENCE ROOM MAY BE OBTAINED BY CALLING 1-800-SEC-0330.

PROXY VOTING

The Fund files Form N-PX with its complete proxy voting record for the 12 months
ended June 30th, no later than August 31st of each year. A description of the
Fund's proxy voting policies, procedures, and how the Fund voted proxies
relating to portfolio securities are available without charge, upon request, (i)
by calling 800-GABELLI (800-422-3554); (ii) by writing to The Gabelli Funds at
One Corporate Center, Rye, NY 10580-1422; and (iii) by visiting the Securities
and Exchange Commission's website at www.sec.gov.

THE GABELLI SMALL CAP GROWTH FUND
SCHEDULE OF INVESTMENTS -- SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

MARKET
SHARES COST VALUE
------ ---- ------
COMMON STOCKS -- 95.3%
AEROSPACE -- 0.2%
60,000 Herley Industries Inc.+ ...........$ 1,169,703 $ 1,117,800
------------ ------------
AGRICULTURE -- 0.0%
1,200 Cadiz Inc.+ ....................... 4,500 22,800
1,500 Mosaic Co.+ ....................... 10,470 24,030
------------ ------------
14,970 46,830
------------ ------------
AUTOMOTIVE -- 0.3%
72,000 Adesa Inc. ........................ 1,258,284 1,591,200
6,000 Oshkosh Truck Corp. ............... 89,796 258,960
------------ ------------
1,348,080 1,850,160
------------ ------------
AUTOMOTIVE: PARTS AND ACCESSORIES -- 3.9%
3,816 Aftermarket Technology
Corp.+ .......................... 47,013 70,176
80,000 BorgWarner Inc. ................... 1,711,945 4,516,800
40,000 Federal-Mogul Corp.+ .............. 79,500 19,996
200,000 Midas Inc.+ ....................... 2,538,716 3,976,000
210,000 Modine Manufacturing Co. .......... 4,904,094 7,702,800
7,875 Monro Muffler Brake Inc. .......... 52,860 206,876
120,000 Pep Boys -
Manny, Moe & Jack ............... 1,628,358 1,660,800
199,693 Proliance International Inc.+ ..... 1,482,212 1,094,318
2,000 Puradyn Filter
Technologies Inc.+ .............. 2,750 2,300
200,000 Raytech Corp.+ .................... 565,387 249,000
200,000 Scheib (Earl) Inc.+ ............... 1,331,353 750,000
33,500 Spartan Motors Inc. ............... 365,563 364,145
170,000 Standard Motor Products Inc. ...... 2,539,350 1,378,700
27,000 Strattec Security Corp.+ .......... 1,058,830 1,399,950
6,000 Superior Industries
International Inc. .............. 167,156 129,120
230,000 Tenneco Automotive Inc.+ .......... 480,700 4,027,300
28,000 Thor Industries Inc. .............. 259,454 952,000
------------ ------------
19,215,241 28,500,281
------------ ------------
AVIATION: PARTS AND SERVICES -- 3.7%
25,000 AAR Corp.+ ........................ 302,990 429,500
10,000 Astronics Corp.+ .................. 48,990 96,500
75,000 Aviall Inc.+ ...................... 544,108 2,533,500
7,000 Barnes Group Inc. ................. 119,437 251,020
61,200 Curtiss-Wright Corp. .............. 1,497,271 3,776,652
7,500 Ducommun Inc.+ .................... 80,125 165,000
20,000 EDO Corp. ......................... 441,767 600,600
30,000 Embraer-Empresa Brasileira
de Aeronautica SA, ADR .......... 508,773 1,158,000
197,000 Fairchild Corp., Cl. A+ ........... 1,197,530 457,040
24,000 Gamesa Corporacion
Tecnologica SA .................. 146,892 368,632
240,000 GenCorp Inc.+ ..................... 2,275,688 4,476,000
450,000 Kaman Corp., Cl. A ................ 7,139,210 9,202,500
105,000 Moog Inc., Cl. A+ ................. 668,914 3,099,600
8,000 Woodward Governor Co. ............. 347,309 680,400
------------ ------------
15,319,004 27,294,944
------------ ------------

MARKET
SHARES COST VALUE
------ ---- ------
BROADCASTING -- 3.1%
120,000 Acme Communications Inc.+ .........$ 919,240 $ 466,800
24,100 Beasley Broadcast Group Inc.,
Cl. A+ .......................... 271,741 338,605
2,000 Cogeco Inc. ....................... 39,014 46,882
255,000 Crown Media Holdings Inc.,
Cl. A+ .......................... 1,857,589 2,792,250
3,333 CTN Media Group Inc.+ (b) ...... 16,800 3
323,600 Granite Broadcasting Corp.+ ....... 643,723 126,204
390,000 Gray Television Inc. .............. 4,022,231 4,130,100
38,300 Gray Television Inc., Cl. A ....... 563,192 379,170
48,000 Hearst-Argyle Television Inc. ..... 425,523 1,233,120
183,900 Liberty Corp. ..................... 5,983,141 8,623,071
20,000 Nexstar Broadcasting
Group Inc., Cl. A+ .............. 200,977 114,000
77,000 Paxson Communications Corp.+ ...... 448,973 34,650
94,650 Salem Communications
Corp., Cl. A+ ................... 1,412,784 1,745,346
200,000 Sinclair Broadcast
Group Inc., Cl. A ............... 2,156,325 1,774,000
57,000 Spanish Broadcasting
System Inc., Cl. A+ ............. 508,514 409,260
127,300 Young Broadcasting Inc., Cl. A+ ... 1,933,112 444,277
------------ ------------
21,402,879 22,657,738
------------ ------------
BUILDING AND CONSTRUCTION -- 0.2%
16,500 Florida Rock Industries Inc. ...... 96,939 1,057,485
25,000 Huttig Building Products Inc.+ .... 90,165 226,250
1,000 Universal Forest Products Inc. .... 12,125 57,320
------------ ------------
199,229 1,341,055
------------ ------------
BUSINESS SERVICES -- 2.7%
2,000 Acco Brands Corp.+ ................ 52,700 56,440
220,000 AMICAS Inc.+ ...................... 981,583 1,188,000
6,000 BB Holdings Ltd. .................. 26,620 40,266
5,000 BrandPartners Group Inc.+ ......... 4,850 3,700
610,400 Career Blazers Inc.+ (b) .......... 236,019 107,125
2,400 Carlisle Group Ltd.+ .............. 3,630 6,773
1,000 CheckFree Corp.+ .................. 9,040 37,820
20,000 Donnelley (R.H.) Corp.+ ........... 269,035 1,265,200
232,000 Edgewater Technology Inc.+ ........ 979,622 1,106,640
79,800 GP Strategies Corp.+ .............. 258,537 718,998
80,000 Industrial Distribution
Group Inc.+ ..................... 224,062 737,600
60,000 Interactive Data Corp. ............ 534,171 1,359,000
13,000 Landauer Inc. ..................... 234,859 637,000
4,000 MDC Partners Inc., Cl. A+ ......... 12,360 28,800
166,000 Nashua Corp.+ ..................... 1,597,567 1,029,200
100,000 Paxar Corp.+ ...................... 1,199,175 1,685,000
80,000 Sohgo Security Services Co. Ltd. .. 1,016,197 1,171,248
25,000 Stamps.com Inc.+ .................. 137,340 430,250
4,000 StarTek Inc. ...................... 62,677 52,800
80,000 The Brink's Co. ................... 1,986,050 3,284,800
100,000 Trans-Lux Corp. (a) ............... 821,193 605,000
130,000 UNOVA Inc.+ ....................... 2,457,802 4,547,400
------------ ------------
13,105,089 20,099,060
------------ ------------

See accompanying notes to financial statements.

THE GABELLI SMALL CAP GROWTH FUND
SCHEDULE OF INVESTMENTS (CONTINUED) -- SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

MARKET
SHARES COST VALUE
------ ---- ------
COMMON STOCKS (CONTINUED)
CABLE -- 2.4%
230,000 Adelphia Communications
Corp., Cl. A+ ...................$ 29,650 $ 20,700
510,000 Cablevision Systems Corp.,
Cl. A+ .......................... 3,013,883 15,641,700
9,329 Liberty Global Inc., Cl. A+ ...... 249,972 252,629
9,329 Liberty Global Inc., Cl. C+ ....... 240,169 240,222
97,500 Lin TV Corp., Cl. A+ .............. 1,956,277 1,360,125
4,000 Outdoor Channel
Holdings Inc.+ .................. 44,765 59,040
------------ ------------
5,534,716 17,574,416
------------ ------------
CLOSED-END FUNDS -- 0.6%
60,000 Central Europe and Russia
Fund Inc. ....................... 920,409 2,946,000
36,700 Germany Fund Inc. ................. 386,832 317,455
50,000 MVC Capital Inc. .................. 461,995 590,000
54,000 New Germany Fund Inc. ............. 635,491 565,380
11,000 Spain Fund Inc. ................... 103,029 144,100
------------ ------------
2,507,756 4,562,935
------------ ------------
COMMUNICATIONS EQUIPMENT -- 1.9%
100,000 Andrew Corp.+ ..................... 417,077 1,115,000
150,000 Communications Systems Inc. ....... 1,040,821 1,687,500
260,900 Sycamore Networks Inc.+ ........... 778,040 983,593
290,000 Thomas & Betts Corp.+ ............. 5,352,259 9,978,900
------------ ------------
7,588,197 13,764,993
------------ ------------
COMPUTER SOFTWARE AND SERVICES -- 0.9%
73,000 Borland Software Corp.+ ........... 612,810 424,860
90,000 FalconStor Software Inc.+ ......... 636,867 545,400
20,900 Global Sources Ltd.+ .............. 306,293 165,131
50,000 Jupitermedia Corp.+ ............... 435,800 885,500
200 Macromedia Inc.+ .................. 2,371 8,134
20,187 MKS Instruments Inc.+ ............. 367,981 347,822
3,000 NAVTEQ Corp.+ ..................... 115,450 149,850
160,000 OpenTV Corp., Cl. A+ .............. 860,410 459,200
8,000 Phoenix Technologies Ltd.+ ........ 55,158 60,240
800,000 StorageNetworks Inc. Escrow+ (b) .. 0 24,000
360,000 Tyler Technologies Inc.+ .......... 1,411,950 2,980,800
230,000 Xanser Corp.+ ..................... 776,660 713,000
------------ ------------
5,581,750 6,763,937
------------ ------------
CONSUMER PRODUCTS -- 2.9%
53,500 Action Performance
Companies Inc. .................. 651,187 668,750
27,000 Adams Golf Inc.+ .................. 71,200 36,450
5,250 Alberto-Culver Co. ................ 169,298 234,937
16,000 Ashworth Inc.+ .................... 69,906 109,280
33,500 Chofu Seisakusho Co. Ltd. ......... 484,644 733,329
37,500 Church & Dwight Co. Inc. .......... 354,732 1,385,250
35,000 Coachmen Industries Inc. .......... 436,787 402,150
100,000 Department 56 Inc.+ ............... 1,188,025 1,250,000
6,000 Elizabeth Arden Inc.+ ............. 82,125 129,480
4,000 Genlyte Group Inc.+ ............... 8,580 192,320
2,000 Harley-Davidson Inc. .............. 4,713 96,880
180,000 Hartmarx Corp.+ ................... 830,789 1,179,000

MARKET
SHARES COST VALUE
------ ---- ------

80,000 Jacuzzi Brands Inc.+ ..............$ 534,949 $ 644,800
5,000 Levcor International Inc.+ ........ 7,650 6,050
4,000 Madden (Steven) Ltd.+ ............. 30,540 91,680
292,000 Marine Products Corp. ............. 194,337 3,220,760
52,000 National Presto Industries Inc. ... 1,811,655 2,226,120
90,000 Revlon Inc., Cl. A+ ............... 311,417 289,800
2,000 Scotts Miracle-Gro Co., Cl. A ..... 45,880 175,860
4,000 Spectrum Brands Inc.+ ............. 46,000 94,200
14,000 Stewart Enterprises Inc., Cl. A ... 65,467 92,820
87,425 Syratech Corp.+ ................... 17,426 6,994
11,000 Water Pik Technologies Inc.+ ...... 205,926 223,300
17,000 WD-40 Co. ......................... 470,278 450,670
699,100 Weider Nutrition
International Inc.+ ............. 1,873,361 3,698,239
160,000 Wolverine World Wide Inc. ......... 1,487,475 3,368,000
------------ ------------
11,454,347 21,007,119
------------ ------------
CONSUMER SERVICES -- 1.2%
30,500 Bowlin Travel Centers Inc.+ ....... 23,611 49,563
2,500 Collectors Universe Inc.+ ......... 8,720 31,750
10,000 eLong Inc., ADR+ .................. 115,711 124,650
40,000 Expedia Inc.+ ..................... 386,014 792,400
47,500 IAC/InterActiveCorp+ .............. 558,573 1,204,125
16,000 Martha Stewart Living
Omnimedia Inc., Cl. A+ .......... 167,206 400,320
20,000 Response USA Inc.+ ................ 16,500 51
310,000 Rollins Inc. ...................... 2,677,158 6,051,200
10,000 TiVo Inc.+ ........................ 74,563 54,900
------------ ------------
4,028,056 8,708,959
------------ ------------
DIVERSIFIED INDUSTRIAL -- 7.8%
173,000 Acuity Brands Inc. ................ 2,323,864 5,132,910
43,000 Amatsuji Steel Ball Mfg. Co. Ltd. . 357,633 560,606
100,000 Ampco-Pittsburgh Corp. ............ 972,481 1,550,000
6,000 Anixter International Inc.+ ....... 57,120 241,980
148,000 Baldor Electric Co. ............... 2,929,157 3,751,800
150,000 Crane Co. ......................... 3,282,255 4,461,000
100,000 Delta plc ......................... 212,289 234,584
5,000 ESCO Technologies Inc.+ ........... 83,189 250,350
803 Foster Wheeler Ltd.+ .............. 3,183 24,805
6,000 Gardner Denver Inc.+ .............. 103,046 267,600
155,500 Greif Inc., Cl. A ................. 3,074,650 9,345,550
1,000 Greif Inc., Cl. B ................. 29,800 57,570
141,100 Griffon Corp.+ .................... 3,518,477 3,471,060
26,000 Harbor Global Co. Ltd.+ ........... 63,215 236,600
5,000 Insteel Industries Inc. ........... 4,250 76,450
70,000 Katy Industries Inc.+ ............. 562,756 170,800
230,000 Lamson & Sessions Co.+ ............ 1,384,221 4,213,600
73,000 Lindsay Manufacturing Co. ......... 781,892 1,606,730
160,000 MagneTek Inc.+ .................... 1,053,438 540,800
37,000 Matthews International Corp.,
Cl. A ........................... 861,644 1,398,230
275,000 Myers Industries Inc. ............. 2,505,876 3,201,000
130,000 National Patent
Development Corp.+ .............. 86,241 338,000
610,400 Noel Group Inc.+ (b) .............. 55,045 117,685
80,000 Oil-Dri Corporation of America .... 810,055 1,397,600

See accompanying notes to financial statements.

THE GABELLI SMALL CAP GROWTH FUND
SCHEDULE OF INVESTMENTS (CONTINUED) -- SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

MARKET
SHARES COST VALUE
------ ---- ------
COMMON STOCKS (CONTINUED)
DIVERSIFIED INDUSTRIAL (CONTINUED)
15,000 Olin Corp. ........................$ 232,292 $ 284,850
220,000 Park-Ohio Holdings Corp.+ ......... 1,220,379 3,863,200
100,000 Precision Castparts Corp. ......... 1,702,840 5,310,000
32,000 Roper Industries Inc. ............. 620,029 1,257,280
40,000 Sonoco Products Co. ............... 1,071,920 1,092,400
63,000 Standex International Corp. ....... 1,253,307 1,658,790
45,000 Tech/Ops Sevcon Inc. .............. 286,240 268,425
60,400 Tredegar Corp. .................... 831,508 785,804
45,048 WHX Corp.+ ........................ 929,655 495,528
------------ ------------
33,263,947 57,663,587
------------ ------------
EDUCATIONAL SERVICES -- 0.1%
2,000 Career Education Corp.+ ........... 61,350 71,120
10,000 School Specialty Inc.+ ............ 399,980 487,800
------------ ------------
461,330 558,920
------------ ------------
ELECTRONICS -- 1.4%
200,000 California Micro Devices Corp.+ ... 1,569,337 1,544,000
210,000 CTS Corp. ......................... 2,213,523 2,541,000
20,000 Fargo Electronics+ ................ 118,827 349,400
20,000 Greatbatch Inc.+ .................. 487,480 548,800
12,000 Imax Corp.+ ....................... 119,450 125,160
160,000 KEMET Corp.+ ...................... 1,303,236 1,340,800
22,000 Lowrance Electronics Inc. ......... 58,991 558,580
93,700 Park Electrochemical Corp. ........ 2,154,498 2,497,105
10,000 Trident Microsystems Inc.+ ........ 119,857 318,100
20,000 Zoran Corp.+ ...................... 121,523 286,000
------------ ------------
8,266,722 10,108,945
------------ ------------
ENERGY AND UTILITIES -- 6.5%
5,000 AGL Resources Inc. ................ 85,875 185,550
420,000 Aquila Inc.+ ...................... 1,430,627 1,663,200
6,400 BIW Ltd. .......................... 94,562 126,080
95,000 Callon Petroleum Co.+ ............. 939,533 1,988,350
142,000 CH Energy Group Inc. .............. 5,982,836 6,742,160
12,000 Chesapeake Utilities Corp. ........ 236,752 421,800
120,000 CMS Energy Corp.+ ................. 715,100 1,974,000
23,000 Connecticut Water Service Inc. .... 464,832 568,560
180,000 Covanta Holding Corp.+ ............ 778,662 2,417,400
120,000 Duquesne Light Holdings Inc. ...... 1,663,452 2,065,200
150,000 El Paso Electric Co.+ ............. 1,983,209 3,127,500
20,000 Environmental Power Corp.+ ........ 110,000 159,000
99,000 Florida Public Utilities Co. ...... 784,438 1,572,120
43,000 Middlesex Water Co. ............... 743,997 965,350
10,000 Nicor Inc. ........................ 221,003 420,300
2,000 PetroQuest Energy Inc.+ ........... 5,250 20,880
436,500 RPC Inc. .......................... 1,028,612 11,244,240
35,000 SEMCO Energy Inc.+ ................ 218,317 230,650
48,000 SJW Corp. ......................... 1,557,739 2,317,440
52,500 Southern Union Co.+ ............... 682,575 1,352,925
112,000 Southwest Gas Corp. ............... 1,959,693 3,067,680
10,000 Tesoro Corp. ...................... 140,934 672,400
4,000 Toreador Resources Corp.+ ......... 15,250 141,600
10,000 Vestas Wind Systems A/S+ .......... 89,988 241,575
10,000 W-H Energy Services Inc.+ ......... 212,864 324,200
170,000 Westar Energy Inc. ................ 2,801,066 4,102,100
------------ ------------
24,947,166 48,112,260
------------ ------------

MARKET
SHARES COST VALUE
------ ---- ------
ENTERTAINMENT -- 1.8%
42,500 Canterbury Park Holding Corp. .....$ 594,314 $ 606,050
500 Discovery Holding Co., Cl. A+ ..... 6,095 7,220
200,000 Dover Motorsports Inc. ............ 1,098,503 1,368,000
78,000 Fisher Communications Inc.+ ....... 4,537,195 3,631,680
151,000 GC Companies Inc.+ (b) ............ 164,590 129,860
572,000 Gemstar-TV Guide
International Inc.+ ............. 3,194,364 1,693,120
16,000 International Speedway
Corp., Cl. A .................... 515,479 839,520
2,500 International Speedway
Corp., Cl. B .................... 45,000 128,750
5,000 Liberty Media Corp., Cl. A+ ....... 37,439 40,250
10,000 Metromedia International
Group Inc.+ ..................... 6,700 18,400
330,000 Six Flags Inc.+ ................... 1,664,994 2,372,700
200,000 Topps Co. Inc. .................... 1,626,618 1,642,000
50,000 World Wrestling
Entertainment Inc. .............. 581,120 650,000
38,000 WPT Enterprises Inc.+ ............. 298,988 335,160
------------ ------------
14,371,399 13,462,710
------------ ------------
ENVIRONMENTAL SERVICES -- 1.1%
225,000 Allied Waste Industries Inc.+ ..... 2,183,048 1,901,250
25,000 Catalytica Energy Systems Inc.+ ... 201,360 35,000
175,000 Republic Services Inc. ............ 2,490,315 6,175,750
------------ ------------
4,874,723 8,112,000
------------ ------------
EQUIPMENT AND SUPPLIES -- 12.4%
170,000 AMETEK Inc. ....................... 1,017,397 7,304,900
425,000 Baldwin Technology Co. Inc.,
Cl. A+ .......................... 1,353,684 1,831,750
74,500 Belden CDT Inc. ................... 1,222,516 1,447,535
12,000 C&D Technologies Inc. ............. 235,929 112,920
50,000 Capstone Turbine Corp.+ ........... 103,400 177,500
205,000 CIRCOR International Inc. ......... 3,175,395 5,627,250
424,000 CLARCOR Inc. ...................... 2,615,605 12,177,280
235,000 Core Molding Technologies Inc.+ ... 406,193 1,332,450
180,000 Crown Holdings Inc.+ .............. 727,278 2,869,200
2,000 Danaher Corp. ..................... 34,106 107,660
66,000 Donaldson Co. Inc. ................ 761,576 2,014,980
97,300 Entegris Inc.+ .................... 781,566 1,099,490
440,000 Fedders Corp. ..................... 1,988,849 941,600
205,000 Flowserve Corp.+ .................. 3,728,714 7,451,750
176,000 Franklin Electric Co. Inc. ........ 1,428,629 7,284,640
40,000 General Magnaplate Corp.+ (b) ..... 83,762 60,000
151,200 Gerber Scientific Inc.+ ........... 1,463,943 1,185,408
100,343 Gorman-Rupp Co. ................... 1,956,301 2,413,249
84,000 Graco Inc. ........................ 928,834 2,879,520
150,000 GrafTech International Ltd.+ ...... 1,005,827 814,500
4,000 Hughes Supply Inc. ................ 28,473 130,400
60,000 IDEX Corp. ........................ 556,738 2,553,000
20,000 Imagistics International Inc.+ .... 387,725 837,000
160,000 Interpump Group SpA ............... 628,395 1,078,781
4,500 Jarden Corp.+ ..................... 12,770 184,815
10,000 K-Tron International Inc.+ ........ 74,932 338,300
32,200 L.S. Starrett Co., Cl. A .......... 604,032 589,582

See accompanying notes to financial statements.

THE GABELLI SMALL CAP GROWTH FUND
SCHEDULE OF INVESTMENTS (CONTINUED) -- SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

MARKET
SHARES COST VALUE
------ ---- ------
COMMON STOCKS (CONTINUED)
EQUIPMENT AND SUPPLIES (CONTINUED)
28,000 Littelfuse Inc.+ ..................$ 538,592 $ 787,640
108,000 Lufkin Industries Inc. ............ 1,037,615 4,703,400
55,000 Maezawa Kyuso
Industries Co. Ltd. ............. 359,609 995,640
20,000 Met-Pro Corp. ..................... 192,469 310,200
1,000 Middleby Corp.+ ................... 37,310 72,500
19,000 Mueller Industries Inc. ........... 577,116 527,630
10,000 Plantronics Inc. .................. 246,559 308,100
50,000 Robbins & Myers Inc. .............. 1,023,975 1,124,000
40,500 Sequa Corp., Cl. A+ ............... 1,502,140 2,389,500
80,000 Sequa Corp., Cl. B+ ............... 3,631,577 4,810,400
92,000 SL Industries Inc.+ ............... 1,070,831 1,312,840
15,000 Smith (A.O.) Corp., Cl. A ......... 336,569 427,500
5,000 Teleflex Inc. ..................... 76,167 352,500
48,000 Tennant Co. ....................... 1,556,465 1,967,040
5,000 Valmont Industries Inc. ........... 40,625 146,800
7,875 Watsco Inc., Cl. B ................ 23,627 414,225
190,500 Watts Water Technologies
Inc., Cl. A ..................... 3,366,746 5,495,925
15,000 Wolverine Tube Inc.+ .............. 150,915 112,500
------------ ------------
43,081,476 91,103,800
------------ ------------
FINANCIAL SERVICES -- 3.5%
10,500 Alleghany Corp.+ .................. 1,893,812 3,213,000
40,000 Argonaut Group Inc.+ .............. 867,813 1,080,400
92,900 Bancshares of Florida Inc.+ ....... 1,393,500 2,054,948
66,000 Bankgesellschaft Berlin AG+ ....... 1,280,794 237,173
79,000 BKF Capital Group Inc. ............ 1,528,661 2,443,470
365,000 CNA Surety Corp.+ ................. 4,005,795 5,190,300
4,000 Crazy Woman Creek
Bancorp Inc. .................... 51,340 59,200
37,000 Epoch Holding Corp.+ .............. 63,098 185,000
3,000 Federal Agricultural
Mortgage Corp., Cl. C ........... 24,000 73,020
33,000 First Republic Bank ............... 636,067 1,162,590
94,100 Flushing Financial Corp. .......... 1,374,594 1,540,417
22,500 Hibernia Corp., Cl. A ............. 389,057 675,900
50,000 LaBranche & Co. Inc.+ ............. 428,836 434,500
1,000 LandAmerica Financial
Group Inc. ...................... 12,175 64,650
1,500 Leucadia National Corp. ........... 24,354 64,650
107,500 Midland Co. ....................... 822,714 3,873,225
1,500 NetBank Inc. ...................... 6,000 12,465
25,000 NewAlliance Bancshares Inc. ....... 373,848 366,000
38,400 Sterling Bancorp .................. 670,453 864,384
20,000 SWS Group Inc. .................... 338,350 328,000
50,000 Wilmington Trust Corp. ............ 1,574,410 1,822,500
------------ ------------
17,759,671 25,745,792
------------ ------------
FOOD AND BEVERAGE -- 4.0%
30,000 Boston Beer Co. Inc., Cl. A+ ...... 468,757 750,000
24,000 Brown-Forman Corp., Cl. A ......... 665,535 1,482,000
11,250 Cheesecake Factory Inc.+ .......... 37,036 351,450
100 Compania Cervecerias
Unidas SA, ADR .................. 2,455 2,594

MARKET
SHARES COST VALUE
------ ---- ------
38,000 Corn Products
International Inc. ..............$ 617,424 $ 766,460
19,282 Cruzan International Inc.+ ........ 326,522 540,089
100,000 Del Monte Foods Co.+ .............. 997,536 1,073,000
85,000 Denny's Corp.+ .................... 132,580 352,750
40,000 Dynasty Fine Wines Group Ltd.+ .... 13,958 15,211
100 Embotelladora Andina SA,
Cl. A, ADR ...................... 1,295 1,562
25,000 Farmer Brothers Co. ............... 389,323 504,750
290,000 Flowers Foods Inc. ................ 2,382,449 7,911,200
500 Genesee Corp., Cl. A+ ............. 0 800
21,500 Genesee Corp., Cl. B+ ............. 32,823 36,550
701,500 Grupo Continental SA .............. 1,058,724 1,227,315
10,000 Hain Celestial Group Inc.+ ........ 184,774 194,000
6,000 J & J Snack Foods Corp. ........... 100,375 346,800
210,000 Kikkoman Corp. .................... 1,375,672 2,016,385
20,000 Meiji Seika Kaisha Ltd. ........... 87,470 103,770
35,000 MGP Ingredients Inc. .............. 243,900 392,000
10,000 Nathan's Famous Inc.+ ............. 82,691 90,000
5,000 Northland Cranberries Inc., Cl. A . 4,200 1,100
4,000 Omni Nutraceuticals Inc.+ ......... 13,562 5
20,000 PepsiAmericas Inc. ................ 286,588 454,600
55,000 Ralcorp Holdings Inc. ............. 828,181 2,305,600
64,000 Smucker (J.M.) Co. ................ 1,518,450 3,106,560
100,000 The Steak n Shake Co.+ ............ 1,088,229 1,815,000
38,857 Tootsie Roll Industries Inc. ...... 596,810 1,233,710
50,000 Triarc Companies Inc., Cl. A ...... 355,474 840,000
120,000 Triarc Companies Inc., Cl. B ...... 1,025,442 1,832,400
100 Vina Concha Y Toro SA, ADR ........ 8,305 8,500
1,000 Willamette Valley
Vineyards Inc.+ ................. 3,994 5,030
------------ ------------
14,930,534 29,761,191
------------ ------------
HEALTH CARE -- 8.3%
50,000 Align Technology Inc.+ ............ 444,171 336,000
90,000 AngioDynamics Inc.+ ............... 2,021,360 1,890,000
5,000 Anika Therapeutics Inc.+ .......... 64,475 59,100
15,000 Animas Corp.+ ..................... 313,462 235,500
55,000 ArthroCare Corp.+ ................. 1,133,267 2,212,100
7,800 Bio-Rad Laboratories Inc.,
Cl. A+ .......................... 309,943 428,922
1,000 Biomet Inc. ....................... 30,350 34,710
10,000 Biosite Inc.+ ..................... 253,600 618,600
9,000 Bruker BioSciences Corp.+ ......... 34,729 39,420
205,000 Chemed Corp. ...................... 3,405,548 8,884,700
1,000 CNS Inc. .......................... 12,240 26,070
45,500 CONMED Corp.+ ..................... 1,337,014 1,268,540
82,000 Del Global Technologies Corp.+ .... 260,262 205,000
1,000 Digene Corp.+ ..................... 8,000 28,500
95,000 Edwards Lifesciences Corp.+ ....... 3,358,437 4,218,950
1,102 Enzo Biochem Inc.+ ................ 13,091 16,927
65,000 Exactech Inc.+ .................... 920,376 962,000
8,000 Fisher Scientific
International Inc.+ ............. 184,007 496,400
48,000 Henry Schein Inc.+ ................ 844,631 2,045,760
34,000 ICU Medical Inc.+ ................. 1,015,386 977,840
112,000 INAMED Corp.+ ..................... 2,038,734 8,476,160

See accompanying notes to financial statements.

THE GABELLI SMALL CAP GROWTH FUND
SCHEDULE OF INVESTMENTS (CONTINUED) -- SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

MARKET
SHARES COST VALUE
------ ---- ------
COMMON STOCKS (CONTINUED)
HEALTH CARE (CONTINUED)
2,000 Integra LifeSciences
Holdings+ .......................$ 43,600 $ 76,520
33,000 Inverness Medical
Innovations Inc.+ ............... 604,926 875,490
26,000 Invitrogen Corp.+ ................. 1,338,072 1,955,980
100,000 Lifecore Biomedical Inc.+ ......... 958,195 1,209,000
15,000 MWI Veterinary Supply Inc.+ ....... 285,435 299,250
15,000 Nabi Biopharmaceuticals+ .......... 105,625 196,500
3,000 NeoPharm Inc.+ .................... 29,760 37,200
5,000 NeuroMetrix Inc.+ ................. 132,176 148,850
1,300 Nobel Biocare Holding AG .......... 100,171 306,284
10,600 NWH Inc. .......................... 161,306 152,110
34,000 Orthofix International NV+ ........ 1,133,250 1,482,400
2,000 OrthoLogic Corp.+ ................. 6,750 7,660
35,000 Owens & Minor Inc. ................ 692,324 1,027,250
60,000 Penwest
Pharmaceuticals Co.+ ............ 482,987 1,051,800
18,900 Possis Medical Inc.+ .............. 194,460 207,144
43,000 Priority Healthcare Corp., Cl. B+ . 862,278 1,197,980
30,000 PSS World Medical Inc.+ ........... 367,273 400,200
150,000 Quidel Corp.+ ..................... 666,409 1,419,000
100,000 Regeneration
Technologies Inc.+ .............. 1,003,406 817,000
44,200 Schick Technologies Inc.+ ......... 383,549 1,162,460
590,000 Snia SpA+ ......................... 133,755 73,746
50,000 Sonic Innovations Inc.+ ........... 244,370 221,200
1,880,000 Sorin SpA+ ........................ 6,403,312 5,174,208
20,000 SSL International plc ............. 101,906 95,068
2,500 Straumann Holding AG .............. 224,697 669,634
4,200 Stryker Corp. ..................... 162,570 207,606
155,000 Sybron Dental Specialties Inc.+ ... 2,964,637 6,444,900
41,000 Thoratec Corp.+ ................... 491,798 728,160
1,000 Wright Medical Group Inc.+ ........ 16,460 24,680
5,100 Young Innovations Inc. ............ 128,516 193,086
------------ ------------
38,427,056 61,323,565
------------ ------------
HOME FURNISHINGS -- 0.1%
15,000 Bassett Furniture Industries Inc. . 262,461 279,300
4,000 Bed Bath & Beyond Inc.+ ........... 11,125 160,720
1,000 Foamex International Inc.+ ........ 8,062 43
30,000 La-Z-Boy Inc. ..................... 250,200 395,700
------------ ------------
531,848 835,763
------------ ------------
HOTELS AND GAMING -- 4.9%
269,000 Aztar Corp.+ ...................... 4,420,952 8,287,890
12,000 Boyd Gaming Corp. ................. 90,225 517,440
70,000 Churchill Downs Inc. .............. 2,235,482 2,472,400
80,000 Dover Downs Gaming &
Entertainment Inc. .............. 796,488 1,088,000
150,000 Gaylord Entertainment Co.+ ........ 4,244,031 7,147,500
10,002 Harrah's Entertainment Inc. ....... 498,147 652,030
5,000 Jury's Doyle Hotel Group plc ...... 27,762 112,974
60,000 Kerzner International Ltd.+ ....... 1,415,009 3,333,000
370,000 La Quinta Corp.+ .................. 936,975 3,215,300
145,000 Lakes Entertainment Inc.+ ......... 766,240 1,482,625

MARKET
SHARES COST VALUE
------ ---- ------
1,200 Las Vegas Sands Corp.+ ............$ 34,800 $ 39,492
355,000 Magna Entertainment Corp.,
Cl. A+ .......................... 2,312,344 2,364,300
20,000 Marcus Corp. ...................... 377,480 400,800
82,000 Penn National Gaming Inc.+ ........ 186,907 2,551,020
95,000 Pinnacle Entertainment Inc.+ ...... 828,043 1,741,350
3,000 Station Casinos Inc. .............. 11,670 199,080
16,000 Wynn Resorts Ltd.+ ................ 231,002 722,400
20,000 Youbet.com Inc.+ .................. 51,494 114,600
------------ ------------
19,465,051 36,442,201
------------ ------------
MANUFACTURED HOUSING AND RECREATIONAL VEHICLES -- 2.3%
58,000 Cavco Industries Inc.+ ............ 1,127,032 2,104,240
335,000 Champion Enterprises Inc.+ ........ 3,495,127 4,951,300
17,000 Drew Industries Inc.+ ............. 296,303 438,770
205,000 Fleetwood Enterprises Inc.+ ....... 2,634,462 2,521,500
70,000 Monaco Coach Corp. ................ 1,540,819 1,031,800
141,000 Skyline Corp. ..................... 4,489,399 5,730,240
36,000 Southern Energy Homes Inc.+ ....... 265,405 253,800
------------ ------------
13,848,547 17,031,650
------------ ------------
METALS AND MINING -- 0.5%
70,000 Arizona Star Resource Corp.+ ...... 283,185 276,990
10,000 Ivanhoe Mines Ltd.+ ............... 74,658 83,600
142,115 Kinross Gold Corp.+ ............... 984,488 1,091,443
10,000 Meridian Gold Inc.+ ............... 75,630 219,100
10,000 Novelis Inc. ...................... 231,913 214,400
70,000 Placer Dome Inc. .................. 653,970 1,200,500
190,000 Royal Oak Mines Inc.+ ............. 322,487 665
30,148 Stillwater Mining Co.+ ............ 389,561 275,854
------------ ------------
3,015,892 3,362,552
------------ ------------
PAPER AND FOREST PRODUCTS -- 0.2%
40,000 Packaging Dynamics Corp. .......... 296,567 504,000
64,000 Pope & Talbot Inc. ................ 1,044,880 653,440
18,000 Schweitzer-Mauduit
International Inc. .............. 424,690 401,760
22,000 Wausau Paper Corp. ................ 255,362 275,220
------------ ------------
2,021,499 1,834,420
------------ ------------
PUBLISHING -- 3.2%
307,237 Independent News & Media plc ...... 431,671 897,285
40,000 Journal Communications Inc.,
Cl. A ........................... 759,162 596,000
110,000 Journal Register Co. .............. 1,779,817 1,779,800
11,000 Lee Enterprises Inc. .............. 261,685 467,280
53,000 McClatchy Co., Cl. A .............. 1,581,315 3,457,190
67,000 Media General Inc., Cl. A ......... 1,841,424 3,886,670
23,000 Meredith Corp. .................... 429,183 1,147,470
310,000 News Corp., Cl. A ................. 912,485 4,832,900
1,050,000 Penton Media Inc.+ ................ 951,840 525,000
400,000 PRIMEDIA Inc.+ .................... 1,290,397 1,636,000
215,000 Thomas Nelson Inc. ................ 2,192,528 4,033,400
4,000 Value Line Inc. ................... 162,772 156,560
12,000 Wiley (John) & Sons Inc., Cl. B ... 46,500 499,800
------------ ------------
12,640,779 23,915,355
------------ ------------

See accompanying notes to financial statements.

THE GABELLI SMALL CAP GROWTH FUND
SCHEDULE OF INVESTMENTS (CONTINUED) -- SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

MARKET
SHARES COST VALUE
------ ---- ------
COMMON STOCKS (CONTINUED)
REAL ESTATE -- 1.1%
190 Case Pomeroy & Co. Inc.,
Cl. A ...........................$ 222,300 $ 294,500
170,000 Griffin Land & Nurseries Inc.+ .... 2,202,169 4,165,000
9,000 Gyrodyne Company of
America Inc.+ ................... 135,071 396,000
20,000 Malan Realty Investors Inc. (b) ... 139,429 73,800
110,000 Morguard Corp. .................... 1,392,683 2,961,720
------------ ------------
4,091,652 7,891,020
------------ ------------
RETAIL -- 3.9%
11,000 Aaron Rents Inc. .................. 98,389 232,650
145,000 Aaron Rents Inc., Cl. A ........... 522,819 2,856,500
35,000 Big 5 Sporting Goods Corp. ........ 657,716 835,100
98,000 Burlington Coat Factory
Warehouse Corp. ................ 1,058,146 3,727,920
8,000 Casey's General Stores Inc. ....... 124,503 185,600
50,000 Coldwater Creek Inc.+ ............. 155,995 1,261,000
12,000 CoolBrands International Inc.+ .... 63,032 25,290
80,000 CSK Auto Corp.+ ................... 1,331,224 1,190,400
4,000 Gander Mountain Co.+ .............. 66,680 35,960
175,000 Ingles Markets Inc., Cl. A ........ 2,176,507 2,765,000
35,000 Movado Group Inc. ................. 515,027 655,200
130,000 Neiman Marcus Group Inc.,
Cl. B ........................... 4,106,529 12,977,900
1,500 The Sports Authority Inc.+ ...... 9,198 44,160
40,000 Weis Markets Inc. ................. 1,174,744 1,600,400
------------ ------------
12,060,509 28,393,080
------------ ------------
SATELLITE -- 0.4%
27,000 Pegasus Communications
Corp., Cl. A+ ................... 228,644 88,830
200,000 Sirius Satellite Radio Inc.+ ...... 981,915 1,310,000
35,000 XM Satellite Radio
Holdings Inc., Cl. A+ ........... 302,980 1,256,850
------------ ------------
1,513,539 2,655,680
------------ ------------
SPECIALTY CHEMICALS -- 4.2%
30,000 Airgas Inc. ....................... 183,650 888,900
48,000 Albemarle Corp. ................... 1,295,613 1,809,600
42,000 Arch Chemicals Inc. ............... 905,730 976,500
65,000 Chemtura Corp. .................... 714,772 807,300
10,000 Cytec Industries Inc. ............. 278,296 433,800
7,000 Dionex Corp.+ ..................... 210,000 379,750
180,000 Ferro Corp. ....................... 3,999,568 3,297,600
125,000 Fuller (H.B.) Co. ................. 2,208,515 3,885,000
10,000 Hawkins Inc. ...................... 134,968 137,000
430,000 Hercules Inc.+ .................... 4,166,174 5,254,600
145,000 MacDermid Inc. .................... 2,527,513 3,807,700
170,000 Material Sciences Corp.+ .......... 1,589,043 2,561,900
130,000 Omnova Solutions Inc.+ ............ 810,622 568,100
50,000 Penford Corp. ..................... 539,601 668,500
10,000 Quaker Chemical Corp. ............. 181,138 173,800
20,000 Schulman (A.) Inc. ................ 240,000 359,000
273,000 Sensient Technologies Corp. ....... 5,506,095 5,173,350
------------ ------------
25,491,298 31,182,400
------------ ------------

MARKET
SHARES COST VALUE
------ ---- ------
TELECOMMUNICATIONS -- 1.4%
29,425 ALLTEL Corp. ......................$ 178,507 $ 1,915,862
9,200 Atlantic Tele-Network Inc. ........ 92,644 305,440
200,000 Cincinnati Bell Inc.+ ............. 517,183 882,000
80,000 Commonwealth Telephone
Enterprises Inc. ................ 1,919,652 3,016,000
6,795 Community Service
Communications Inc.+ ............ 0 22,593
46,950 D&E Communications Inc. ........... 605,207 425,836
277 NTL Inc.+ ......................... 8,407 18,504
80,525 Rogers Communications Inc.,
Cl. B ........................... 762,545 3,176,711
20,000 Shenandoah
Telecommunications Co. .......... 296,543 823,800
10,000 Stratos International Inc.+ ....... 46,334 58,400
621 Telewest Global Inc.+ ............. 8,867 14,252
53,000 Winstar
Communications Inc.+ ............ 133 53
------------ ------------
4,436,022 10,659,451
------------ ------------
TRANSPORTATION -- 0.9%
130,000 GATX Corp. ........................ 3,650,103 5,141,500
125,000 Grupo TMM SA, Cl. A, ADR+ ......... 946,399 512,500
2,000 Irish Continental Group plc+ ...... 17,829 23,532
50,000 OMI Corp. ......................... 313,120 893,500
5,100 Providence & Worcester
Railroad Co. .................... 42,979 71,349
------------ ------------
4,970,430 6,642,381
------------ ------------
WIRELESS COMMUNICATIONS -- 1.3%
16,000 Alamosa Holdings Inc.+ ............ 110,079 273,760
45,000 Centennial Communications
Corp.+ .......................... 465,380 674,100
72,000 Price Communications Corp.+ ....... 905,273 1,184,400
55,000 Rural Cellular Corp., Cl. A+ ...... 374,090 668,800
10,000 SunCom Wireless Holdings Inc.,
Cl. A+ .......................... 69,480 34,400
5,000 UbiquiTel Inc.+ ................... 2,700 43,700
148,000 Vimpel-Communications, ADR+ ....... 1,261,093 6,577,120
------------ ------------
3,188,095 9,456,280
------------ ------------
TOTAL COMMON STOCKS ............... 416,128,202 701,545,230
------------ ------------
PREFERRED STOCKS -- 0.3%
BROADCASTING -- 0.2%
1,063 Granite Broadcasting Corp.,
12.750% Pfd.+ ................... 439,682 170,080
100 Gray Television Inc.,
8.000% Cv. Pfd.,
Ser. C (b)(d)(e) ................ 1,000,000 1,010,000
1,103 PTV Inc.,
10.000% Pfd., Ser. A ............ 0 1,627
------------ ------------
1,439,682 1,181,707
------------ ------------

See accompanying notes to financial statements.

THE GABELLI SMALL CAP GROWTH FUND
SCHEDULE OF INVESTMENTS (CONTINUED) -- SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

MARKET
SHARES COST VALUE
------ ---- ------
PREFERRED STOCKS (CONTINUED)
BUSINESS SERVICES -- 0.1%
22,483 Interep National Radio Sales Inc.,
4.000% Cv. Pfd.,
Ser. A+ (b)(d)(e) ...............$ 2,163,147 $ 786,901
------------ ------------
DIVERSIFIED INDUSTRIAL -- 0.0%
151 Foster Wheeler Ltd.,
Pfd., Ser. B+ ................... 38,060 120,800
------------ ------------
TOTAL PREFERRED STOCKS ............ 3,640,889 2,089,408
------------ ------------
WARRANTS -- 0.2%
AUTOMOTIVE: PARTS AND ACCESSORIES -- 0.0%
1,213 Exide Technologies,
expire 05/05/11+ ................ 2,247 667
------------ ------------
BUSINESS SERVICES -- 0.2%
250,000 GP Strategies Corp.,
expire 08/14/08+ (b)(e) ......... 637,065 929,126
125,000 Interep National Radio Sales Inc.,
expire 05/06/07+ (b)(d)(e) ...... 0 0
------------ ------------
637,065 929,126
------------ ------------
COMPUTER SOFTWARE AND SERVICES -- 0.0%
430 Anacomp Inc., Cl. B,
expire 12/10/06+ ................ 0 25
------------ ------------
DIVERSIFIED INDUSTRIAL -- 0.0%
379,703 National Patent Development Corp.,
expire 08/14/08+ (b)(e) ........ 0 146,241
13,217 WHX Corp., expire 02/28/08+ ....... 52,373 34,695
------------ ------------
52,373 180,936
------------ ------------
HEALTH CARE -- 0.0%
14,424 Del Global Technologies Corp.,
expire 03/28/08+ ................ 24,809 22,357
------------ ------------
TELECOMMUNICATIONS -- 0.0%
86 NTL Inc., expire 01/13/11+ ........ 124 53
------------ ------------
TOTAL WARRANTS .................... 716,618 1,133,164
------------ ------------
PRINCIPAL
AMOUNT
------
CORPORATE BONDS -- 0.2%
AUTOMOTIVE: PARTS AND ACCESSORIES -- 0.0%
$ 800,000 Exide Technologies,
2.900%, 12/15/05,
Escrow+(b)(e) ................... 0 0
------------ ------------
AVIATION: PARTS AND SERVICES -- 0.0%
300,000 GenCorp Inc., Sub. Deb. Cv.,
5.750%, 04/15/07 ................ 288,064 329,625
------------ ------------
BUSINESS SERVICES -- 0.2%
2,000,000 GP Strategies Corp., Sub. Deb.,
6.000%, 08/14/08 (b)(e) ......... 1,552,703 1,339,125
------------ ------------
COMPUTER SOFTWARE AND SERVICES -- 0.0%
300,000 Exodus Communications Inc.,
Sub. Deb. Cv.,
5.250%, 02/15/08+ (b)(c) ........ 1,185 0
------------ ------------

PRINCIPAL MARKET
AMOUNT COST VALUE
-------- ---- ------
HEALTH CARE -- 0.0%
$ 28,847 Del Global Technologies Corp.,
6.000%, 03/28/07 (b) ............$ 28,847 $ 21,636
------------ ------------
TOTAL CORPORATE BONDS ............. 1,870,799 1,690,386
------------ ------------
U.S. GOVERNMENT OBLIGATIONS -- 4.1%
30,279,000 U.S. Treasury Bills,
3.166% to 3.522%++,
10/06/05 to 12/29/05 ............ 30,085,360 30,091,311
------------ ------------
TOTAL
INVESTMENTS -- 100.1% ...........$452,441,868 736,549,499
============
OTHER ASSETS AND LIABILITIES (NET) -- (0.1)% ..... (432,688)
------------
NET ASSETS -- 100.0% .............................$736,116,811
============
- ----------------
(a) Security considered an affiliated holding because the Fund owns at least 5%
of the outstanding shares.
(b) Security fair valued under procedures established by the Board of
Directors. The procedures may include reviewing available financial
information about the company and reviewing valuation of comparable
securities and other factors on a regular basis. At September 30, 2005, the
market value of fair valued securities amounted to $4,745,502 or 0.64% of
total net assets.
(c) Security is in default.
(d) Security exempt from registration under Rule 144A of the Securities Act of
1933, as amended. These securities may be resold in transactions exempt
from registration, normally to qualified institutional buyers. At September
30, 2005, the market value of Rule 144A securities amounted to $1,796,901
or 0.24% of total net assets.
(e) At September 30, 2005, the Fund held restricted and illiquid securities
amounting to $4,211,393 or 0.57% of net assets, which were valued under
methods approved by the Board, as follows:
ACQUISITION 09/30/05
SHARES/ CARRYING
PRINCIPAL ACQUISITION ACQUISITION VALUE
AMOUNT ISSUER DATE COST PER UNIT
------ ------ ----------- ----------- --------
$ 800,000 Exide Technologies,
2.900%, 12/15/05, Escrow .......05/10/04 $ 0.00 $ 0.0000
2,000,000 GP Strategies Corp., Sub. Deb.,
6.000%, 08/14/08 ...............08/08/03 1,362,935 66.9563
250,000 GP Strategies Corp. warrants
expire 08/14/08 ................08/08/03 637,065 3.7165
100 Gray Television Inc., 8.000%
Cv. Pfd., Ser. C ...............04/22/02 1,000,000 10,100.0000
22,483 Interep National Radio Sales Inc.,
4.000% Cv. Pfd., Ser. A ........05/03/02 2,163,147 35.0000
125,000 Interep National Radio Sales Inc.
warrants expire 05/06/07 .......05/03/02 0.00 0.0000
379,703 National Patent Development
Corp. warrants
expire 08/14/08 ................11/24/04 0.00 0.3851

+ Non-income producing security.
++ Represents annualized yield at date of purchase.
ADR American Depository Receipt

See accompanying notes to financial statements.

THE GABELLI SMALL CAP GROWTH FUND

STATEMENT OF ASSETS AND LIABILITIES
SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

ASSETS:
Investments, at value (cost $451,620,675) ............... $ 735,944,499
Investments in affiliate, at value
(cost $821,193) ....................................... 605,000
Foreign currency, at value
(cost $11,075) ........................................ 11,260
Cash .................................................... 29,754
Receivable for Fund shares sold ......................... 1,513,268
Receivable for investments sold ......................... 720,754
Dividends and interest receivable ....................... 520,120
Other assets ............................................ 4,696
-------------
TOTAL ASSETS ............................................ 739,349,351
-------------
LIABILITIES:
Payable for investments purchased ....................... 1,255,007
Payable for Fund shares redeemed ........................ 919,210
Payable for investment advisory fees .................... 605,720
Payable for distribution fees ........................... 152,382
Payable for shareholder services fees ................... 127,996
Payable for shareholder communications fees ............. 89,257
Other accrued expenses .................................. 82,968
-------------
TOTAL LIABILITIES ....................................... 3,232,540
-------------
NET ASSETS applicable to 24,564,713
shares outstanding .................................... $ 736,116,811
=============
NET ASSETS CONSIST OF:
Capital stock, each class at $0.001 par value ........... $ 24,565
Additional paid-in capital .............................. 413,855,315
Accumulated net investment loss ......................... (31,521)
Accumulated net realized gain on investments
and foreign currency transactions ..................... 38,160,953
Net unrealized appreciation on investments .............. 284,107,631
Net unrealized depreciation on foreign
currency translations ................................. (132)
-------------
NET ASSETS .............................................. $ 736,116,811
=============
SHARES OF CAPITAL STOCK:
CLASS AAA:
Net Asset Value, offering and redemption price
per share ($732,964,619 / 24,458,826 shares
outstanding; 150,000,000 shares authorized) ........... $29.97
======
CLASS A:
Net Asset Value and redemption price per share
($1,515,470 / 50,551 shares outstanding;
50,000,000 shares authorized) ......................... $29.98
======
Maximum offering price per share (NAV / 0.9425,
based on maximum sales charge of 5.75% of
the offering price) ................................... $31.81
======
CLASS B:
Net Asset Value and offering price per share
($138,177 / 4,671 shares outstanding;
50,000,000 shares authorized) ......................... $29.58(a)
======
CLASS C:
Net Asset Value and offering price per share
($1,498,545 / 50,665 shares outstanding;
50,000,000 shares authorized) ......................... $29.58(a)
======

- -----------------
(a) Redemption price varies based on length of time held.

STATEMENT OF OPERATIONS
FOR THE YEAR ENDED SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

INVESTMENT INCOME:
Dividends (net of foreign taxes of $23,348) ............. $ 9,182,778
Dividends from affiliate ................................ 14,000
Interest ................................................ 524,958
-------------
TOTAL INVESTMENT INCOME ................................. 9,721,736
-------------
EXPENSES:
Investment advisory fees ................................ 6,897,602
Distribution fees -- Class AAA .......................... 1,720,695
Distribution fees -- Class A ............................ 1,630
Distribution fees -- Class B ............................ 1,332
Distribution fees -- Class C ............................ 6,968
Shareholder services fees ............................... 727,662
Shareholder communications expenses ..................... 241,767
Custodian fees .......................................... 121,118
Legal and audit fees .................................... 59,926
Registration fees ....................................... 42,098
Directors' fees ......................................... 38,300
Miscellaneous expenses .................................. 101,981
-------------
TOTAL EXPENSES .......................................... 9,961,079
Less: Custodian fee credits ............................. (2,134)
-------------
NET EXPENSES ............................................ 9,958,945
-------------
NET INVESTMENT LOSS ..................................... (237,209)
-------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON
INVESTMENTS AND FOREIGN CURRENCY:
Net realized gain on investments ........................ 42,632,458
Net realized loss on foreign currency
transactions .......................................... (2,568)
Net change in unrealized appreciation/
depreciation on investments and foreign
currency translations ................................. 83,565,118
-------------
NET REALIZED AND UNREALIZED GAIN (LOSS)
ON INVESTMENTS AND FOREIGN CURRENCY ................... 126,195,008
-------------
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS ............................. $ 125,957,799
=============

See accompanying notes to financial statements.

THE GABELLI SMALL CAP GROWTH FUND

STATEMENT OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------

YEAR ENDED YEAR ENDED
SEPTEMBER 30, 2005 SEPTEMBER 30, 2004
------------------ ------------------

OPERATIONS:
Net investment loss ................................ $ (237,209) $ (923,061)
Net realized gain on investments, futures
contracts and foreign currency transactions ..... 42,629,890 27,631,501
Net change in unrealized appreciation/depreciation
on investments, futures contracts and
foreign currency translations .................... 83,565,118 87,063,565
------------- -------------
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS ....................... 125,957,799 113,772,005
------------- -------------
DISTRIBUTIONS TO SHAREHOLDERS:
Net realized gain on investments
Class AAA ........................................ (27,271,963) (4,352,438)
Class A .......................................... (6,636) --
Class B .......................................... (5,930) --
Class C .......................................... (5,584) --
------------- -------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS ................ (27,290,113) (4,352,438)
------------- -------------
CAPITAL SHARE TRANSACTIONS:
Class AAA ........................................ 14,081,158 (29,481,563)
Class A .......................................... 1,389,944 57,577
Class B .......................................... 69,962 54,633
Class C .......................................... 1,402,027 24,010
------------- -------------
NET INCREASE (DECREASE) IN NET ASSETS
FROM CAPITAL SHARE TRANSACTIONS .................. 16,943,091 (29,345,343)
------------- -------------
REDEMPTION FEES .................................... 35,284 --
------------- -------------
NET INCREASE IN NET ASSETS ......................... 115,646,061 80,074,224
NET ASSETS:
Beginning of period ................................ 620,470,750 540,396,526
------------- -------------
End of period ...................................... $ 736,116,811 $ 620,470,750
============= =============

See accompanying notes to financial statements.

THE GABELLI SMALL CAP GROWTH FUND
NOTES TO FINANCIAL STATEMENTS
- --------------------------------------------------------------------------------

1. ORGANIZATION. The Gabelli Small Cap Growth Fund (the "Fund") is a series of
Gabelli Equity Series Funds, Inc. (the "Corporation"), which was organized on
July 25, 1991 as a Maryland corporation. The Fund is a diversified open-end
management investment company registered under the Investment Company Act of
1940, as amended (the "1940 Act"), and one of three separately managed
portfolios (collectively, the "Portfolios") of the Corporation, each with four
separate classes of shares outstanding known as Class AAA, Class A, Class B and
Class C. The Fund's primary objective is capital appreciation. The Fund
commenced investment operations on October 22, 1991.

2. SIGNIFICANT ACCOUNTING POLICIES. The preparation of financial statements in
accordance with U.S. generally accepted accounting principles requires
management to make estimates and assumptions that affect the reported amounts
and disclosures in the financial statements. Actual results could differ from
those estimates. The following is a summary of significant accounting policies
followed by the Fund in the preparation of its financial statements.

SECURITY VALUATION. Portfolio securities listed or traded on a nationally
recognized securities exchange or traded in the U.S. over-the-counter market for
which market quotations are readily available are valued at the last quoted sale
price or a market's official closing price as of the close of business on the
day the securities are being valued. If there were no sales that day, the
security is valued at the average of the closing bid and asked prices or, if
there were no asked prices quoted on that day, then the security is valued at
the closing bid price on that day. If no bid or asked prices are quoted on such
day, the security is valued at the most recently available price or, if the
Board of Directors (the "Board") so determines, by such other method as the
Board shall determine in good faith, to reflect its fair market value. Portfolio
securities traded on more than one national securities exchange or market are
valued according to the broadest and most representative market, as determined
by Gabelli Funds, LLC (the "Adviser").

Portfolio securities primarily traded on foreign markets are generally valued at
the preceding closing values of such securities on their respective exchanges or
if after the close of the foreign markets, but prior to the close of business on
the day the securities are being valued, market conditions change significantly,
certain foreign securities may be fair valued pursuant to procedures established
by the Board. Debt instruments with remaining maturities of 60 days or less that
are not credit impaired are valued at amortized cost, unless the Board
determines such amount does not reflect the securities' fair value, in which
case these securities will be valued at their fair value as determined by the
Board. Debt instruments having a maturity greater than 60 days for which market
quotations are readily available are valued at the average of the latest bid and
asked prices. If there were no asked prices quoted on such day, the security is
valued using the closing bid price. Futures contracts are valued at the closing
settlement price of the exchange or board of trade on which the applicable
contract is traded.

Securities and assets for which market quotations are not readily available are
valued at their fair value as determined in good faith under procedures
established by and under the general supervision of the Board. Fair valuation
methodologies and procedures may include, but are not limited to: analysis and
review of available financial and non-financial information about the company;
comparisons to the valuation and changes in valuation of similar securities,
including a comparison of foreign securities to the equivalent U.S. dollar value
ADR securities at the close of the U.S. exchange; and evaluation of any other
information that could be indicative of the value of the security.

THE GABELLI SMALL CAP GROWTH FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------

always receive and maintain securities as collateral whose market value,
including accrued interest, will be at least equal to 102% of the dollar amount
invested by the Fund in each agreement. The Fund will make payment for such
securities only upon physical delivery or upon evidence of book entry transfer
of the collateral to the account of the custodian. To the extent that any
repurchase transaction exceeds one business day, the value of the collateral is
marked-to-market on a daily basis to maintain the adequacy of the collateral. If
the seller defaults and the value of the collateral declines or if bankruptcy
proceedings are commenced with respect to the seller of the security,
realization of the collateral by the Fund may be delayed or limited.

FUTURES CONTRACTS. The Fund may engage in futures contracts for the purpose of
hedging against changes in the value of its portfolio securities and in the
value of securities it intends to purchase. Upon entering into a futures
contract, the Fund is required to deposit with the broker an amount of cash or
cash equivalents equal to a certain percentage of the contract amount. This is
known as the "initial margin". Subsequent payments ("variation margin") are made
or received by the Fund each day, depending on the daily fluctuation of the
value of the contract. The daily changes in the contract are included in
unrealized gains or losses. The Fund recognizes a realized gain or loss when the
contract is closed. At September 30, 2005, there were no open futures contracts.

There are several risks in connection with the use of futures contracts as a
hedging device. The change in value of futures contracts primarily corresponds
with the value of their underlying instruments, which may not correlate with the
change in value of the hedged investments. In addition, there is the risk that
the Fund may not be able to enter into a closing transaction because of an
illiquid secondary market.

FORWARD FOREIGN EXCHANGE CONTRACTS. The Fund may engage in forward foreign
exchange contracts for hedging a specific transaction with respect to either the
currency in which the transaction is denominated or another currency as deemed
appropriate by the Adviser. Forward foreign exchange contracts are valued at the
forward rate and are marked-to-market daily. The change in market value is
included in unrealized appreciation/depreciation on investments and foreign
currency translations. When the contract is closed, the Fund records a realized
gain or loss equal to the difference between the value of the contract at the
time it was opened and the value at the time it was closed.

The use of forward foreign exchange contracts does not eliminate fluctuations in
the underlying prices of the Fund's portfolio securities, but it does establish
a rate of exchange that can be achieved in the future. Although forward foreign
exchange contracts limit the risk of loss due to a decline in the value of the
hedged currency, they also limit any potential gain that might result should the
value of the currency increase. In addition, the Fund could be exposed to risks
if the counterparties to the contracts are unable to meet the terms of their
contracts. At September 30, 2005, there were no open forward foreign exchange
contracts.

FOREIGN CURRENCY TRANSLATIONS. The books and records of the Fund are maintained
in United States (U.S.) dollars. Foreign currencies, investments and other
assets and liabilities are translated into U.S. dollars at the exchange rates
prevailing at the end of the period, and purchases and sales of investment
securities, income and expenses are translated at the exchange rate prevailing
on the respective dates of such transactions. Unrealized gains and losses that
result from changes in foreign exchange rates and/or changes in market prices of
securities have been included in unrealized appreciation/depreciation on
investments and foreign currency translations. Net realized foreign currency
gains and losses resulting from changes in exchange rates include foreign
currency gains and losses between trade date and settlement date on investment
securities transactions, foreign currency transactions and the difference
between the amounts of interest and dividends recorded on the books of the Fund
and the amounts actually received. The portion of foreign currency gains and
losses related to fluctuation in exchange rates between the initial trade date
and subsequent sale trade date is included in realized gain/(loss) on
investments.

THE GABELLI SMALL CAP GROWTH FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------

possible revaluation of currencies, the ability to repatriate funds, less
complete financial information about companies and possible future adverse
political and economic developments. Moreover, securities of many foreign
issuers and their markets may be less liquid and their prices more volatile than
those of securities of comparable U.S. issuers.

RESTRICTED AND ILLIQUID SECURITIES. The Fund may invest up to 15% of its net
assets in securities for which the markets are illiquid. Illiquid securities
include securities the disposition of which is subject to substantial legal or
contractual restrictions. The sale of illiquid securities often requires more
time and results in higher brokerage charges or dealer discounts and other
selling expenses than does the sale of securities eligible for trading on
national securities exchanges or in the over-the-counter markets. Restricted
securities may sell at a price lower than similar securities that are not
subject to restrictions on resale. Securities freely salable among qualified
institutional investors under special rules adopted by the Securities and
Exchange Commission ("SEC") may be treated as liquid if they satisfy liquidity
standards established by the Board of Directors. The continued liquidity of such
securities is not as well assured as that of publicly traded securities, and
accordingly the Board of Directors will monitor their liquidity.

FOREIGN TAXES. The Fund may be subject to foreign taxes on income, gains on
investments or currency repatriation, a portion of which may be recoverable. The
Fund will accrue such taxes and recoveries as applicable, based upon their
current interpretation of tax rules and regulations that exist in the markets in
which they invest.

SECURITIES TRANSACTIONS AND INVESTMENT INCOME. Securities transactions are
accounted for on the trade date with realized gain or loss on investments
determined by using the identified cost method. Interest income (including
amortization of premium and accretion of discount) is recorded as earned.
Dividend income is recorded on the ex-dividend date.

DETERMINATION OF NET ASSET VALUE AND CALCULATION OF EXPENSES. Certain
administrative expenses are common to, and allocated among, various affiliated
funds. Such allocations are made on the basis of each Fund's average net assets
or other criteria directly affecting the expenses as determined by the Adviser
pursuant to procedures established by the Board.

In calculating net asset value per share of each class, investment income,
realized and unrealized gains and losses, redemption fees and expenses other
than class specific expenses, are allocated daily to each class of shares based
upon the proportion of net assets of each class at the beginning of each day.
Distribution expenses are borne solely by the class incurring the expense.

CUSTODIAN FEE CREDITS. When cash balances are maintained in the custody account,
the Fund receives credits which are used to offset custodian fees. The gross
expenses paid under the custody arrangement are included in custodian fees in
the Statement of Operations with the corresponding expense offset shown as
"custodian fee credits".

DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS. Dividends and distributions to
shareholders are recorded on the ex-dividend date. Distributions to shareholders
are based on income and capital gains as determined in accordance with Federal
income tax regulations, which may differ from income and capital gains as
determined under U.S. generally accepted accounting principles. These
differences are primarily due to differing treatments of income and gains on
various investment securities held by the Fund, timing differences and differing
characterizations of distributions made by the Fund.

These book/tax differences are either temporary or permanent in nature. To the
extent these differences are permanent, adjustments are made to the appropriate
equity accounts in the fiscal year that the differences arise.

For the fiscal year ended September 30, 2005, reclassifications were made to
decrease accumulated net investment loss by $311,517 and decrease accumulated
net realized gain on investments by $311,517.

THE GABELLI SMALL CAP GROWTH FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------

The tax character of distributions paid during the fiscal years ended September
30, 2005 and September 30, 2004 were as follows:

FISCAL YEAR ENDED FISCAL YEAR ENDED
SEPTEMBER 30, 2005 SEPTEMBER 30, 2004
------------------ ------------------
DISTRIBUTIONS PAID FROM:
Ordinary income
(inclusive of short-term
capital gains) .................. -- $2,246,976
Net long-term capital gains ....... $27,290,113 2,105,462
----------- ----------
Total distributions paid .......... $27,290,113 $4,352,438
=========== ==========

PROVISION FOR INCOME TAXES. The Fund intends to continue to qualify as a
regulated investment company under Subchapter M of the Internal Revenue Code of
1986, as amended (the "Code"). It is the policy of the Fund to comply with the
requirements of the Code applicable to regulated investment companies and to
distribute substantially all of its net investment company taxable income and
net capital gains. Therefore, no provision for Federal income taxes is required.

Dividends and interest from non-U.S. sources received by the Fund are generally
subject to non-U.S. withholding taxes at rates ranging up to 30%. Such
withholding taxes may be reduced or eliminated under the terms of applicable
U.S. income tax treaties, and the Fund intends to undertake any procedural steps
required to claim the benefits of such treaties.

As of September 30, 2005, the components of accumulated earnings/(losses) on a
tax basis were as follows:

Undistributed ordinary income
(inclusive of short-term capital gains) .......... $ 648,028
Undistributed long-term capital gains .............. 40,034,261
Post-October losses ................................ (2,880)
Net unrealized appreciation ........................ 281,589,154
Other temporary differences ........................ (31,632)
------------
Total accumulated earnings ....................... $322,236,931
============

Under the current tax law, capital losses related to securities and foreign
currency realized after October 31 and prior to the Fund's fiscal year end may
be treated as occurring on the first day of the following year. For the fiscal
year ended September 30, 2005, the Fund deferred capital losses of $2,880.

The difference between book and tax basis undistributed ordinary income is
primarily due to the continued accrual of defaulted interest for tax purposes
which has been written down for book purposes and tax adjustments due to a
partnership security.

The difference between book and tax basis unrealized appreciation is primarily
due to deferral of losses from wash sales for tax purposes.

The following summarizes the tax cost of investments and related unrealized
appreciation/depreciation at September 30, 2005:

GROSS GROSS NET UNREALIZED
UNREALIZED UNREALIZED APPRECIATION/
COST APPRECIATION DEPRECIATION (DEPRECIATION)
------------ ------------ ------------ --------------
Investments ......$454,139,152 $309,378,643 $(27,573,296) $281,805,347
Investments
in affiliates .. 821,193 0 (216,193) (216,193)
------------ ------------ ------------ ------------
$454,960,345 $309,378,643 $(27,789,489) $281,589,154
============ ============ ============ ============

THE GABELLI SMALL CAP GROWTH FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------

4. DISTRIBUTION PLAN. The Fund's Board has adopted a distribution plan (the
"Plan") for each class of shares pursuant to Rule 12b-1 under the 1940 Act.
Gabelli & Company, Inc. ("Gabelli & Company"), an affiliate of the Adviser,
serves as distributor of the Fund. Under the Class AAA, Class A, Class B and
Class C Share Plans, payments are authorized to Gabelli & Company at annual
rates of 0.25%, 0.25%, 1.00% and 1.00%, respectively, of the average daily net
assets of those classes, the annual limitations under each Plan. Such payments
are accrued daily and paid monthly.

5. PORTFOLIO SECURITIES. Purchases and proceeds from the sales of securities for
the fiscal year ended September 30, 2005, other than short-term securities,
aggregated $46,513,832 and $56,223,415, respectively.

6. TRANSACTIONS WITH AFFILIATES. During the fiscal year ended September 30,
2005, the Fund paid brokerage commissions of $154,741 to Gabelli & Company.
Additionally, Gabelli & Company informed the Fund that it received $8,528 from
investors representing commissions (sales charges and underwriting fees) on
sales and redemptions of Fund shares.

The cost of calculating the Fund's net asset value per share is a Fund expense
pursuant to the Advisory Agreement between the Fund and the Adviser. During the
fiscal year ended September 30, 2005, the Fund reimbursed the Adviser $42,450 in
connection with the cost of computing the Fund's net asset value, which is
included in miscellaneous expenses in the Statement of Operations.

7. LINE OF CREDIT. The Fund has access to an unsecured line of credit of up to
$25,000,000 from the custodian for temporary borrowing purposes. Borrowings
under this arrangement bear interest at 0.75% above the Federal Funds rate on
outstanding balances. At September 30, 2005, there were no borrowings
outstanding from the line of credit.

The average daily amount of borrowings outstanding from the line of credit
within the fiscal year ended September 30, 2005 was $167,124 with a weighted
average interest rate of 2.77%. The maximum amount borrowed at any time during
the fiscal year ended September 30, 2005 was $4,354,000.

8. CAPITAL STOCK TRANSACTIONS. The Fund currently offers four classes of shares
- -- Class AAA Shares, Class A Shares, Class B Shares and Class C Shares. Class
AAA Shares are offered only to investors who acquire them directly from Gabelli
& Company or through selected broker/dealers without a sales charge. Class A
Shares are subject to a maximum front-end sales charge of 5.75%. Class B Shares
are subject to a contingent deferred sales charge ("CDSC") upon redemption
within six years of purchase and automatically convert to Class A Shares after
eight years from the original purchase. The applicable CDSC is equal to a
declining percentage of the lesser of the net asset value per share at the date
of the original purchase or at the date of redemption, based on the length of
time held. Class C Shares are subject to a 1% CDSC for one year after purchase.
As of July 27, 2004, Class B Shares are available only through exchange of Class
B Shares of other Funds distributed by Gabelli & Company. The Board has approved
Class I Shares which have not been offered publicly.

Effective June 15, 2005, the Fund imposed a redemption fee of 2.00% on Class AAA
Shares, Class A Shares, Class B Shares and Class C Shares that are redeemed or
exchanged on or before the seventh day after the date of a purchase. (Prior to
June 15, 2005, the Fund imposed a redemption fee on shares that were redeemed or
exchanged within the sixtieth day after the date of a purchase.) The redemption
fee is deducted from the proceeds otherwise payable to the redeeming
shareholders and is retained by the Fund. The redemption fees retained by the
Fund during the fiscal year ended September 30, 2005 amounted to $35,284.

The redemption fee does not apply to shares purchased through programs that the
Adviser determined to have appropriate short-term trading policies in place.
Additionally, certain recordkeepers for qualified and non-qualified retirement
plans that could not collect the redemption fee at the participant level due to
systems limitations have received an extension to implement such systems.

THE GABELLI SMALL CAP GROWTH FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------

Transactions in shares of capital stock were as follows:

YEAR ENDED YEAR ENDED
SEPTEMBER 30, 2005 SEPTEMBER 30, 2004
---------------------------- ---------------------------
SHARES AMOUNT SHARES AMOUNT
---------- ------------- ---------- -------------
CLASS AAA CLASS AAA
---------------------------- ---------------------------

Shares sold .................... 5,199,909 $ 147,867,554 6,139,577 $ 153,305,617
Shares issued upon
reinvestment of dividends ... 930,960 25,964,511 172,209 4,162,298
Shares redeemed ................(5,645,493) (159,750,907) (7,494,730) (186,949,478)
---------- ------------- ---------- -------------
Net increase / (decrease) .... 485,376 $ 14,081,158 (1,182,944) $ (29,481,563)
========== ============= ========== =============
CLASS A CLASS A
---------------------------- ---------------------------
Shares sold .................... 49,475 $ 1,424,869 2,253 $ 57,859
Shares issued upon
reinvestment of dividends ... 233 6,514 -- --
Shares redeemed ................ (1,399) (41,439) (11) (282)
---------- ------------- ---------- -------------
Net increase ................. 48,309 $ 1,389,944 2,242 $ 57,577
========== ============= ========== =============
CLASS B CLASS B
---------------------------- ---------------------------
Shares sold .................... 3,028 $ 85,010 2,268 $ 58,160
Shares issued upon
reinvestment of dividends ... 214 5,930 -- --
Shares redeemed ................ (700) (20,978) (139) (3,527)
---------- ------------- ---------- -------------
Net increase ................. 2,542 $ 69,962 2,129 $ 54,633
========== ============= ========== =============
CLASS C CLASS C
---------------------------- ---------------------------
Shares sold .................... 50,553 $ 1,426,256 937 $ 24,010
Shares issued upon
reinvestment of dividends ... 164 4,526 -- --
Shares redeemed ................ (989) (28,755) -- --
---------- ------------- ---------- -------------
Net increase ................. 49,728 $ 1,402,027 937 $ 24,010
========== ============= ========== =============

9. TRANSACTIONS IN SECURITIES OF AFFILIATED ISSUERS. The 1940 Act defines
affiliated issuers as those in which the Fund's holdings of an issuer represent
5% or more of the outstanding voting securities of the issuer. A summary of the
Fund's transactions in the securities of these issuers during the fiscal year
ended September 30, 2005 is set forth below:

NET CHANGE PERCENT
SHARES IN UNREALIZED VALUE AT OWNED
BEGINNING PURCHASED ENDING DIVIDEND APPRECIATION/ SEPTEMBER 30, OF SHARES
SHARES (SOLD) SHARES INCOME DEPRECIATION 2005 OUTSTANDING
--------- --------- ------ ------ ------------ ------------- ------------

Trans-Lux Corp. ......... 100,000 0 100,000 $14,000 $(38,000) $605,000 10.27%
------- - ------- ------- -------- -------- ------

10. OTHER MATTERS. The Adviser and/or affiliates have received subpoenas from
the Attorney General of the State of New York and the SEC requesting information
on mutual fund trading practices involving certain funds managed by the Adviser.
GAMCO Investors, Inc., the Adviser's parent company, is responding to these
requests for documents and testimony. On a separate matter, in September 2005,
the Adviser was informed by the staff of the SEC that the staff may recommend to
the Commission that an administrative remedy and a monetary penalty be sought
from the Adviser in connection with the actions of two of seven closed-end funds
managed by the Adviser relating to Section 19(a) and Rule 19a-1 of the 1940 Act.
These provisions require registered investment companies to provide written
statements to shareholders when a dividend is made from a source other than net
investment income. While the two closed-end funds sent annual statements and
provided other materials containing this information, the funds did not send
written statements to shareholders with each distribution in 2002 and 2003. The
Adviser believes that all of the funds are now in compliance. The Adviser
believes that these matters would have no effect on the Fund nor any material
adverse effect on the Adviser or its ability to manage the Fund.

11. INDEMNIFICATIONS. The Fund enters into contracts that contain a variety of
indemnifications. The Fund's maximum exposure under these arrangements is
unknown. However, the Fund has not had prior claims or losses pursuant to these
contracts and expects the risk of loss to be remote.

THE GABELLI SMALL CAP GROWTH FUND
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------

Selected data for a share of capital stock outstanding throughout each period:

INCOME
FROM INVESTMENT OPERATIONS DISTRIBUTIONS
------------------------------------------------ --------------------------------------
Net
Net Asset Net Realized and Total Net
Period Value, Investment Unrealized from Net Realized
Ended Beginning Income/ Gain/(Loss) on Investment Investment Gain on Total
September 30 of Period (Loss)(d) Investments Operations Income Investments Distributions
- ------------ --------- --------- ------------- ---------- ---------- ----------- -------------

CLASS AAA
2005 $25.88 $(0.01) $ 5.25 $ 5.24 -- $(1.15) $(1.15)
2004 21.48 (0.04) 4.61 4.57 -- (0.17) (0.17)
2003 17.04 (0.05) 4.74 4.69 -- (0.25) (0.25)
2002 17.13 (0.04) 0.31 0.27 $(0.01) (0.35) (0.36)
2001 23.60 0.06 (1.75) (1.69) (0.05) (4.73) (4.78)

CLASS A
2005 $25.89 $(0.01) $ 5.25 $ 5.24 -- $(1.15) $(1.15)
2004(a) 24.49 (0.06) 1.46 1.40 -- -- --

CLASS B
2005 $25.74 $(0.22) $ 5.21 $ 4.99 -- $(1.15) $(1.15)
2004(a) 24.49 (0.19) 1.44 1.25 -- -- --

CLASS C
2005 $25.74 $(0.23) $ 5.22 $ 4.99 -- $(1.15) $(1.15)
2004(a) 24.49 (0.20) 1.45 1.25 -- -- --

RATIOS TO AVERAGE NET ASSETS/SUPPLEMENTAL DATA
------------------------------------------------

Net Asset Net Assets Net
Period Value, End of Investment Portfolio
Ended Redemption End of Total Period Income/ Operating Turnover
September 30 Fees(d) Period Return+ (in 000's) (Loss) Expenses Rate
- ------------ ---------- -------- ------- --------- --------- --------- ---------

CLASS AAA
2005 $0.00(c) $29.97 20.58% $732,965 (0.03)% 1.44% 6%
2004 -- 25.88 21.34 620,334 (0.15) 1.42 10
2003 -- 21.48 27.84 540,397 (0.22) 1.45 4
2002 -- 17.04 1.39 428,416 (0.22) 1.45 10
2001 -- 17.13 (7.47) 372,865 0.30 1.45 17

CLASS A
2005 $0.00(c) $29.98 20.57% $ 1,515 (0.03)% 1.48% 6%
2004(a) -- 25.89 5.72 58 (0.32)(b) 1.42(b) 10

CLASS B
2005 $0.00(c) $29.58 19.69% $ 138 (0.79)% 2.20% 6%
2004(a) -- 25.74 5.10 55 (1.02)(b) 2.17(b) 10

CLASS C
2005 $0.00(c) $29.58 19.69% $ 1,499 (0.80)% 2.23% 6%
2004(a) -- 25.74 5.10 24 (1.07)(b) 2.17(b) 10

- -------------
+ Total return represents aggregate total return of a hypothetical $1,000
investment at the beginning of the period and sold at the end of the period
including reinvestment of dividends and does not reflect applicable sales
charges. Total return for the period of less than one year is not
annualized.
(a) From the commencement of offering Class A, Class B and Class C Shares on
December 31, 2003.
(b) Annualized.
(c) Amount represents less than $0.005 per share.
(d) Per share amounts have been calculated using the average shares outstanding
method.

See accompanying notes to financial statements.

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
- --------------------------------------------------------------------------------

To the Shareholders and Board of Directors of
The Gabelli Small Cap Growth Fund

We have audited the accompanying statement of assets and liabilities, including
the schedule of investments, of The Gabelli Small Cap Growth Fund (the "Fund"),
a series of Gabelli Equity Series Funds, Inc., as of September 30, 2005, and the
related statement of operations for the year then ended, the statements of
changes in net assets for each of the two years in the period then ended, and
the financial highlights for each of the periods indicated therein. These
financial statements and financial highlights are the responsibility of the
Fund's management. Our responsibility is to express an opinion on these
financial statements and financial highlights based on our audits.

We conducted our audits in accordance with the standards of the Public Company
Accounting Oversight Board (United States). Those standards require that we plan
and perform the audit to obtain reasonable assurance about whether the financial
statements and financial highlights are free of material misstatement. We were
not engaged to perform an audit of the Fund's internal control over financial
reporting. Our audits included consideration of internal control over financial
reporting as a basis for designing audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Fund's internal control over financial reporting.
Accordingly, we express no such opinion. An audit also includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements and financial highlights, assessing the accounting principles used
and significant estimates made by management, and evaluating the overall
financial statement presentation. Our procedures included confirmation of
securities owned as of September 30, 2005, by correspondence with the custodian
and brokers or by other appropriate auditing procedures where replies from
brokers were not received. We believe that our audits provide a reasonable basis
for our opinion.

In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of The
Gabelli Small Cap Growth Fund, a series of Gabelli Equity Series Funds, Inc., at
September 30, 2005, the results of its operations for the year then ended, the
changes in its net assets for each of the two years in the period then ended,
and its financial highlights for each of the periods indicated therein, in
conformity with U.S. generally accepted accounting principles.

/s/ Ernst & Young LLP

Philadelphia, Pennsylvania
November 11, 2005

THE GABELLI SMALL CAP GROWTH FUND
ADDITIONAL FUND INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------

The business and affairs of the Fund are managed under the direction of the
Fund's Board of Directors. Information pertaining to the Directors and officers
of the Fund is set forth below. The Fund's Statement of Additional Information
includes additional information about The Gabelli Small Cap Growth Fund's
Directors and is available, without charge, upon request, by calling 800-GABELLI
(800-422-3554) or by writing to The Gabelli Small Cap Growth Fund at One
Corporate Center, Rye, NY 10580-1422.

NUMBER OF
NAME, POSITION(S) TERM OF OFFICE FUNDS IN FUND
ADDRESS 1 AND LENGTH OF COMPLEX OVERSEEN PRINCIPAL OCCUPATION(S) OTHER DIRECTORSHIPS
AND AGE TIME SERVED 2 BY DIRECTOR DURING PAST FIVE YEARS HELD BY DIRECTOR 3
- ---------------- ------------- ----------- ---------------------- ------------------

INTERESTED DIRECTORS 4:
- ----------------------
MARIO J. GABELLI Since 1991 24 Chairman of the Board and Chief Executive Director of Morgan
Director and Officer of GAMCO Investors, Inc. and Group Holdings, Inc.
Chief Investment Officer Chief Investment Officer-Value Portfolios (holding company)
Age: 63 of Gabelli Funds, LLC and GAMCO Asset
Management Inc.; Chairman and Chief
Executive Officer of Lynch Interactive
Corporation (multimedia and services)

JOHN D. GABELLI Since 1991 10 Senior Vice President of Gabelli & Company, --
Director Inc.; Director of Gabelli Advisers, Inc.
Age: 61

KARL OTTO POHL5 Since 1992 35 Member of the Shareholder Committee of Director of GAMCO Investors,
Director Sal Oppenheim Jr. & Cie (private investment Inc. (investment management);
Age: 75 bank); Former President of the Deutsche Chairman, InCentive Capital
Bundesbank and Chairman of its Central and InCentive Asset Management
Bank Council (1980-1991) (Zurich); Director at Sal
Oppenheim Jr. & Cie, Zurich

NON-INTERESTED DIRECTORS:
- ------------------------
ANTHONY J. COLAVITA Since 1991 37 Partner in the law firm of --
Director Anthony J. Colavita, P.C.
Age: 69

VINCENT D. ENRIGHT Since 1991 14 Former Senior Vice President and Chief Director of Aphton Corporation
Director Financial Officer of KeySpan Energy (biopharmaceutical company)
Age: 61 Corporation (utility holding company)

ROBERT J. MORRISSEY Since 1991 10 Partner in the law firm of Morrissey, --
Director Hawkins & Lynch
Age: 66

ANTHONY R. PUSTORINO Since 1991 17 Certified Public Accountant; Professor Director of Lynch Corporation
Director Emeritus, Pace University (diversified manufacturing)
Age: 80

ANTHONIE C. VAN EKRIS Since 1991 21 Chairman of BALMAC International, Inc. Director of Aurado Energy Inc.
Director (commodities and futures trading) (oil and gas operations)
Age: 71

SALVATORE J. ZIZZA Since 2001 25 Chairman, Hallmark Electrical Director of Hollis Eden
Director Supplies Corp. Pharmaceuticals; Director of
Age: 59 Earl Scheib, Inc.
(automotive services)

THE GABELLI SMALL CAP GROWTH FUND
ADDITIONAL FUND INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------

OFFICERS:
- --------
BRUCE N. ALPERT Since 1991 -- Executive Vice President and Chief --
President and Treasurer Operating Officer of Gabelli Funds,
Age: 53 LLC since 1988; Director and
President of Gabelli Advisers, Inc.
since 1998; Officer of all the
registered investment companies in
the Gabelli Fund complex

JAMES E. MCKEE Since 1995 -- Vice President, General Counsel --
Secretary and Secretary of GAMCO Investors,
Age: 42 Inc. since 1999 and GAMCO Asset
Management Inc. since 1993; Secretary
of all of the registered investment
companies advised by Gabelli
Advisers, Inc. and Gabelli Funds, LLC

PETER D. GOLDSTEIN Since 2004 -- Director of Regulatory Affairs for --
Chief Compliance Officer GAMCO Investors, Inc. since 2004;
Age: 52 Chief Compliance Officer of all of
the registered investment companies
in the Gabelli Fund complex; Vice
President of Goldman Sachs Asset
Management from 2000-2004; Deputy
General Counsel of GAMCO Investors,
Inc. from 1998-2000

- -------------------
1 Address: One Corporate Center, Rye, NY 10580-1422, unless otherwise noted.
2 Each Director will hold office for an indefinite term until the earliest of
(i) the next meeting of shareholders, if any, called for the purpose of
considering the election or re-election of such Director and until the
election and qualification of his or her successor, if any, elected at such
meeting, or (ii) the date a Director resigns or retires, or a Director is
removed by the Board of Directors or shareholders, in accordance with the
Fund's By-Laws and Articles of Incorporation. Each officer will hold office
for an indefinite term until the date he or she resigns or retires or until
his or her successor is elected and qualified.
3 This column includes only directorships of companies required to report to
the SEC under the Securities Exchange Act of 1934 (i.e. public companies)
or other investment companies registered under the 1940 Act.
4 "Interested person" of the Fund as defined in the Investment Company Act of
1940. Messrs. Gabelli, Gabelli and Pohl are each considered an "interested
person" because of their affiliation with Gabelli Funds, LLC which acts as
each Fund's investment adviser. Mario J. Gabelli and John D. Gabelli are
brothers.
5 Effective November 15, 2005, Mr. Pohl resigned from the Board of Directors
and now serves as Director Emeritus.

- --------------------------------------------------------------------------------
2005 TAX NOTICE TO SHAREHOLDERS (Unaudited)

For the fiscal year ended September 30, 2005, the Fund paid to shareholders,
on December 20, 2004 long-term capital gains totaling $1.15, $1.15, $1.15, and
$1.15 per share for Class AAA, Class A, Class B and Class C, respectively. An
estimate of qualified dividend income of $8,967,117 was received by the Fund
through September 30, 2005 that qualifies for a reduced tax rate pursuant to
the Jobs and Growth Tax Relief Reconciliation Act of 2003.
- --------------------------------------------------------------------------------

Gabelli Equity Series Funds, Inc.
THE GABELLI SMALL CAP GROWTH FUND
One Corporate Center
Rye, New York 10580-1422
800-GABELLI
800-422-3554
FAX: 914-921-5118
WEBSITE: WWW.GABELLI.COM
E-MAIL: INFO@GABELLI.COM
Net Asset Value available daily by calling
800-GABELLI after 6:00 P.M.

BOARD OF DIRECTORS
Mario J. Gabelli, CFA Karl Otto Pohl
CHAIRMAN AND CHIEF FORMER PRESIDENT
EXECUTIVE OFFICER DEUTSCHE BUNDESBANK
GAMCO INVESTORS, INC.

Anthony J. Colavita Anthony R. Pustorino
ATTORNEY-AT-LAW CERTIFIED PUBLIC ACCOUNTANT
ANTHONY J. COLAVITA, P.C. PROFESSOR EMERITUS
PACE UNIVERSITY

Vincent D. Enright Anthonie C. van Ekris
FORMER SENIOR VICE PRESIDENT CHAIRMAN
AND CHIEF FINANCIAL OFFICER BALMAC INTERNATIONAL, INC.
KEYSPAN ENERGY CORP.

John D. Gabelli Salvatore J. Zizza
SENIOR VICE PRESIDENT CHAIRMAN
GABELLI & COMPANY, INC. HALLMARK ELECTRICAL
SUPPLIES CORP.

Robert J. Morrissey
ATTORNEY-AT-LAW
MORRISSEY, HAWKINS & LYNCH

OFFICERS
Bruce N. Alpert James E. McKee
PRESIDENT AND TREASURER SECRETARY

Peter D. Goldstein
CHIEF COMPLIANCE OFFICER

DISTRIBUTOR
Gabelli & Company, Inc.

CUSTODIAN, TRANSFER AGENT AND DIVIDEND AGENT
State Street Bank and Trust Company

LEGAL COUNSEL
Skadden, Arps, Slate, Meagher & Flom LLP

- --------------------------------------------------------------------------------
This report is submitted for the general information of the shareholders of The
Gabelli Small Cap Growth Fund. It is not authorized for distribution to
prospective investors unless preceded or accompanied by an effective prospectus.
- --------------------------------------------------------------------------------

GAB443Q305SR

[GRAPHIC OMITTED]
PICTURE OF MARIO GABELLI

THE
GABELLI
SMALL CAP
GROWTH
FUND
ANNUAL REPORT
SEPTEMBER 30, 2005

THE GABELLI EQUITY INCOME FUND

ANNUAL REPORT (A)
SEPTEMBER 30, 2005

TO OUR SHAREHOLDERS,

Investors continued their appreciation for dividend paying stocks that
outperformed broad stock market indices in the third quarter of 2005. The
Gabelli Equity Income Fund (Fund) gained 4.51% during the quarter. Calendar
year-to-date through September 30th, the Fund gained 6.52% while the Standard &
Poor's (S&P) 500 Index rose 2.77% over the same period.

Enclosed are the investment portfolio and financial statements as of
September 30, 2005.

COMPARATIVE RESULTS
- ----------------------------------------------------------------------------------------------------------------------
AVERAGE ANNUAL RETURNS THROUGH SEPTEMBER 30, 2005 (A)(B)
-------------------------------------------------------
Since
Year to Inception
Quarter Date 1 Year 3 Year 5 Year 10 Year (1/2/92)
-----------------------------------------------------------------------

GABELLI EQUITY INCOME FUND CLASS AAA ....... 4.51% 6.52% 16.09% 19.21% 8.32% 12.04% 12.24%
S&P 500 Index .............................. 3.60 2.77 12.25 16.71 (1.49) 9.49 10.31
Nasdaq Composite Index ..................... 4.61 (1.09) 13.44 22.45 (10.14) 7.00 9.92
Lipper Equity Income Fund Average .......... 3.41 4.46 13.69 16.69 4.10 9.23 10.50
Class A .................................... 4.46 6.36 15.99 19.16 8.29 12.03 12.23
(1.57)(c) 0.22(c) 9.32(c) 16.82(c) 7.00(c) 11.36(c) 11.75(c)
Class B .................................... 4.33 5.88 15.28 18.67 8.03 11.89 12.13
(0.67)(d) 0.88(d) 10.28(d) 17.96(d) 7.73(d) 11.89(d) 12.13(d)
Class C .................................... 4.33 5.88 15.24 18.71 8.05 11.90 12.14
3.33(d) 4.88(d) 14.24(d) 18.71(d) 8.05(d) 11.90(d) 12.14(d)

(a) THE FUND'S FISCAL YEAR ENDS SEPTEMBER 30.
(b) RETURNS REPRESENT PAST PERFORMANCE AND DO NOT GUARANTEE FUTURE RESULTS.
TOTAL RETURNS AND AVERAGE ANNUAL RETURNS REFLECT CHANGES IN SHARE PRICE AND
REINVESTMENT OF DIVIDENDS AND ARE NET OF EXPENSES. INVESTMENT RETURNS AND
THE PRINCIPAL VALUE OF AN INVESTMENT WILL FLUCTUATE. WHEN SHARES ARE
REDEEMED, THEY MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA PRESENTED.
VISIT WWW.GABELLI.COM FOR PERFORMANCE INFORMATION AS OF THE MOST RECENT
MONTH END. INVESTORS SHOULD CONSIDER THE INVESTMENT OBJECTIVES, RISKS AND
CHARGES AND EXPENSES OF THE FUND CAREFULLY BEFORE INVESTING. THE PROSPECTUS
CONTAINS MORE INFORMATION ABOUT THIS AND OTHER MATTERS AND SHOULD BE READ
CAREFULLY BEFORE INVESTING. PERFORMANCE RETURNS FOR PERIODS LESS THAN ONE
YEAR ARE NOT ANNUALIZED. THE CLASS AAA SHARES' NET ASSET VALUES ARE USED TO
CALCULATE PERFORMANCE FOR THE PERIODS PRIOR TO THE ISSUANCE OF CLASS A
SHARES, CLASS B SHARES AND CLASS C SHARES ON DECEMBER 31, 2003. THE ACTUAL
PERFORMANCE FOR THE CLASS B SHARES AND CLASS C SHARES WOULD HAVE BEEN LOWER
DUE TO THE ADDITIONAL EXPENSES ASSOCIATED WITH THESE CLASSES OF SHARES. THE
S&P 500 INDEX OF THE LARGEST U.S. COMPANIES AND THE NASDAQ COMPOSITE INDEX
ARE UNMANAGED INDICATORS OF STOCK MARKET PERFORMANCE, WHILE THE LIPPER
AVERAGE REFLECTS THE AVERAGE PERFORMANCE OF MUTUAL FUNDS CLASSIFIED IN THIS
PARTICULAR CATEGORY. DIVIDENDS ARE CONSIDERED REINVESTED (EXCEPT FOR THE
NASDAQ COMPOSITE INDEX).
(c) INCLUDES THE EFFECT OF THE MAXIMUM 5.75% SALES CHARGE AT THE BEGINNING OF
THE PERIOD.
(d) INCLUDES THE EFFECT OF THE APPLICABLE CONTINGENT DEFERRED SALES CHARGE AT
THE END OF THE PERIOD SHOWN FOR CLASS B AND CLASS C SHARES, RESPECTIVELY.
CLASS B SHARES ARE NOT AVAILABLE FOR NEW PURCHASES.
- --------------------------------------------------------------------------------

PERFORMANCE DISCUSSION

Higher yielding equities outperformed the broad based market indices
during the twelve month period ended September 30, 2005. Utility stocks
performed exceptionally well, with the Dow Jones Utilities Average surging
sharply. In general, the Fund's utilities holdings contributed to returns, as
did our energy, construction and construction equipment, and in the past three
months, gold mining investments. Weakness in consumer oriented investments
restrained returns. The Fund's return of 16.09% during the fiscal year ended
September 30, 2005 significantly outperformed the Standard & Poor 500 gain of
12.25% over the same period.

Energy companies dominated the first page of our performance rankings,
with Burlington Resources, Devon Energy, Kerr-McGee, Suncor, Statoil ASA,
ConocoPhillips, Anadarko Petroleum, Transocean, and Chevron Corp. posting the
biggest gains. Stellar utilities performers included Constellation Energy,
Allegheny Energy, and Scottish Power. Gold miners Freeport-McMoRan Copper & Gold
and Newmont Mining also recovered in the last quarter of the fiscal year.

Consumer oriented companies, which sold off as investors began worrying
about a decline in consumer spending, were among our disappointments, with Avon
Products, Wal-Mart, H J Heinz, Hilton Hotels and the Hershey Company declining.
Insurer Allstate Company took a battering from Katrina and Rita. Health Care
holdings Pfizer, Merck, Eli Lilly, and Abbott Labs restrained returns.

[GRAPHIC OMITTED]
PLOT POINTS FOLLOW:

COMPARISON OF CHANGE IN VALUE OF A $10,000 INVESTMENT IN
THE GABELLI EQUITY INCOME FUND CLASS AAA,
THE LIPPER EQUITY INCOME FUND AVERAGE, AND THE S&P 500 INDEX

Gabelli Equity
Income Fund Lipper Equity
(Class AAA) Income Fund Average S&P 500 Index
1/2/92 10,000 10,000 10,000
9/30/92 10,582 10,601 10,242
9/30/93 12,752 12,554 11,570
9/30/94 13,173 12,748 11,996
9/30/95 15,708 15,429 15,560
9/30/96 18,323 17,974 18,722
9/30/97 24,549 23,632 26,291
9/30/98 25,281 24,459 28,679
9/30/99 30,291 27,673 36,648
9/30/00 32,839 30,539 41,512
9/30/01 32,694 28,228 30,465
9/30/02 28,908 23,570 24,229
9/30/03 36,017 28,352 30,134
9/30/04 42,187 33,079 34,310
9/30/05 48,975 37,607 38,513

* Past performance is not predictive of future results. The performance tables
and graph do not reflect the deduction of taxes that a shareholder would pay
on fund distributions or the redemption of fund shares.

THE GABELLI EQUITY INCOME FUND
DISCLOSURE OF FUND EXPENSES (UNAUDITED)
For the Six Month Period from April 1, 2005 through September 30, 2005
EXPENSE TABLE
- --------------------------------------------------------------------------------

The Expense Table below illustrates your Fund's costs in two ways:

Beginning Ending Annualized Expenses
Account Value Account Value Expense Paid During
04/01/05 09/30/05 Ratio Period*
- --------------------------------------------------------------------------------
GABELLI EQUITY INCOME FUND
- --------------------------------------------------------------------------------
ACTUAL FUND RETURN
Class AAA $1,000.00 $1,062.70 1.48% $ 7.65
Class A $1,000.00 $1,061.70 1.50% $ 7.75
Class B $1,000.00 $1,058.80 2.23% $11.51
Class C $1,000.00 $1,058.80 2.24% $11.56
HYPOTHETICAL 5% RETURN
Class AAA $1,000.00 $1,017.65 1.48% $ 7.49
Class A $1,000.00 $1,017.55 1.50% $ 7.59
Class B $1,000.00 $1,013.89 2.23% $11.26
Class C $1,000.00 $1,013.84 2.24% $11.31

SUMMARY OF PORTFOLIO HOLDINGS (UNAUDITED)

The following table presents portfolio holdings as a percent of total net
assets.

THE GABELLI EQUITY INCOME FUND

Financial Services ................................. 10.7%
Energy and Utilities: Oil .......................... 10.1%
Food and Beverage .................................. 8.7%
Energy and Utilities: Integrated ................... 8.6%
Health Care ........................................ 6.8%
Consumer Products .................................. 6.5%
U.S. Government Obligations ........................ 4.8%
Telecommunications ................................. 4.8%
Diversified Industrial ............................. 3.2%
Energy and Utilities: Electric ..................... 3.1%
Communications Equipment ........................... 2.8%
Retail ............................................. 2.7%
Automotive: Parts and Accessories .................. 2.7%
Entertainment ...................................... 2.3%
Hotels and Gaming .................................. 2.1%
Specialty Chemicals ................................ 1.9%
Computer Software and Services ..................... 1.8%
Equipment and Supplies ............................. 1.7%
Publishing ......................................... 1.6%
Energy and Utilities: Natural Gas .................. 1.6%
Metals and Mining .................................. 1.5%
Computer Hardware .................................. 1.4%
Aviation: Parts and Services ....................... 1.4%
Electronics ........................................ 1.3%
Cable and Satellite ................................ 1.0%
Aerospace .......................................... 0.9%
Broadcasting ....................................... 0.7%
Environmental Services ............................. 0.5%
Business Services .................................. 0.5%
Energy and Utilities: Services ..................... 0.4%
Machinery .......................................... 0.4%
Manufactured Housing ............................... 0.4%
Transportation ..................................... 0.2%
Consumer Services .................................. 0.2%
Energy and Utilities: Water ........................ 0.1%
Other Assets and Liabilities -- Net ................ 0.6%
------
100.0%
======

THE FUND FILES A COMPLETE SCHEDULE OF PORTFOLIO HOLDINGS WITH THE SEC FOR THE
FIRST AND THIRD QUARTERS OF EACH FISCAL YEAR ON FORM N-Q, THE LAST OF WHICH WAS
FILED FOR THE QUARTER ENDED JUNE 30, 2005. SHAREHOLDERS MAY OBTAIN THIS
INFORMATION AT WWW.GABELLI.COM OR BY CALLING THE FUND AT 800-GABELLI
(800-422-3554). THE FUND'S FORM N-Q IS AVAILABLE ON THE SEC'S WEBSITE AT
WWW.SEC.GOV AND MAY ALSO BE REVIEWED AND COPIED AT THE COMMISSION'S PUBLIC
REFERENCE ROOM IN WASHINGTON, DC. INFORMATION ON THE OPERATION OF THE PUBLIC
REFERENCE ROOM MAY BE OBTAINED BY CALLING 1-800-SEC-0330.

PROXY VOTING

THE GABELLI EQUITY INCOME FUND
SCHEDULE OF INVESTMENTS -- SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

MARKET
SHARES COST VALUE
------ ---- -------
COMMON STOCKS -- 90.0%
AEROSPACE -- 0.9%
32,000 Boeing Co. ...............$ 1,082,148 $ 2,174,400
3,000 Lockheed Martin Corp. .... 71,025 183,120
10,000 Northrop Grumman Corp. ... 307,750 543,500
10,000 Raytheon Co. ............. 279,250 380,200
2,000 Rockwell Automation Inc. . 25,686 105,800
2,000 Rockwell Collins Inc. .... 15,843 96,640
300,000 Rolls-Royce Group plc+ ... 1,736,923 1,976,329
------------ ------------
3,518,625 5,459,989
------------ ------------
AGRICULTURE -- 0.0%
3,000 Mosaic Co.+ .............. 47,051 48,060
------------ ------------
AUTOMOTIVE: PARTS AND ACCESSORIES -- 2.1%
1,000 ArvinMeritor Inc. ........ 10,487 16,720
100,000 Dana Corp. ............... 1,459,536 941,000
195,000 Genuine Parts Co. ........ 6,567,473 8,365,500
4,000 Johnson Controls Inc. .... 101,475 248,200
50,000 Modine Manufacturing Co. . 837,216 1,834,000
40,000 Pep Boys - Manny,
Moe & Jack ............. 530,982 553,600
14,140 Proliance
International Inc.+ .... 47,310 77,487
------------ ------------
9,554,479 12,036,507
------------ ------------
AVIATION: PARTS AND SERVICES -- 0.6%
5,000 Barnes Group Inc. ........ 94,945 179,300
23,096 Curtiss-Wright Corp. ..... 349,651 1,425,254
40,000 GenCorp Inc.+ ............ 342,710 746,000
16,000 United Technologies Corp. 281,946 829,440
------------ ------------
1,069,252 3,179,994
------------ ------------
BROADCASTING -- 0.0%
26,000 Granite
Broadcasting Corp.+ .... 10,806 10,140
------------ ------------
BUSINESS SERVICES -- 0.1%
4,000 Automatic Data
Processing Inc. ........ 126,808 172,160
4,000 Donnelley (R.H.) Corp.+ .. 45,250 253,040
500 Imation Corp. ............ 7,150 21,435
4,000 Landauer Inc. ............ 134,546 196,000
------------ ------------
313,754 642,635
------------ ------------
CABLE AND SATELLITE -- 1.0%
120,002 Cablevision Systems Corp.,
Cl. A+ ................. 2,573,156 3,680,461
36,000 DIRECTV Group Inc.+ ...... 429,789 539,280
62,000 EchoStar Communications
Corp., Cl. A ........... 1,892,953 1,833,340
------------ ------------
4,895,898 6,053,081
------------ ------------
COMMUNICATIONS EQUIPMENT -- 1.5%
185,000 Corning Inc.+ ............ 2,111,216 3,576,050
115,000 Motorola Inc. ............ 1,077,984 2,540,350
72,600 Thomas & Betts Corp.+ .... 1,584,824 2,498,166
------------ ------------
4,774,024 8,614,566
------------ ------------

MARKET
SHARES COST VALUE
------ ---- -------
COMPUTER HARDWARE -- 1.4%
100,000 International Business
Machines Corp. .........$ 7,865,559 $ 8,022,000
13,000 Xerox Corp.+ ............. 126,343 177,450
------------ ------------
7,991,902 8,199,450
------------ ------------
COMPUTER SOFTWARE AND SERVICES -- 1.8%
2,000 EMC Corp.+ ............... 19,360 25,880
310,000 Microsoft Corp. .......... 7,917,271 7,976,300
154 Telecom Italia
Media SpA+ ............. 205 101
82,000 Yahoo! Inc.+ ............. 2,880,114 2,774,880
------------ ------------
10,816,950 10,777,161
------------ ------------
CONSUMER PRODUCTS -- 6.5%
35,000 Altria Group Inc. ........ 1,127,729 2,579,850
210,000 Avon Products Inc. ....... 7,001,433 5,670,000
12,000 Clorox Co. ............... 659,946 666,480
10,000 Colgate-Palmolive Co. .... 526,302 527,900
45,000 Eastman Kodak Co. ........ 1,078,017 1,094,850
35,000 Energizer Holdings Inc.+ . 880,148 1,984,500
94,700 Gallaher Group plc, ADR .. 2,711,252 5,879,923
23,000 National Presto
Industries Inc. ........ 719,726 984,630
10,000 Pactiv Corp.+ ............ 161,895 175,200
38,000 Procter & Gamble Co. ..... 1,393,252 2,259,480
80,000 Reckitt Benckiser plc .... 2,496,753 2,436,855
26,000 Rothmans Inc. ............ 237,941 483,544
940,500 Swedish Match AB ......... 9,972,140 11,219,315
26,000 Unilever NV, ADR ......... 1,542,066 1,857,700
10,000 UST Inc. ................. 364,903 418,600
------------ ------------
30,873,503 38,238,827
------------ ------------
CONSUMER SERVICES -- 0.2%
15,000 IAC/InterActiveCorp+ ..... 402,676 380,250
46,200 Rollins Inc. ............. 397,779 901,824
------------ ------------
800,455 1,282,074
------------ ------------
DIVERSIFIED INDUSTRIAL -- 3.1%
5,000 3M Co. ................... 213,645 366,800
22,000 Acuity Brands Inc. ....... 342,225 652,740
35,000 Cooper Industries Ltd.,
Cl. A .................. 1,532,038 2,419,900
165,000 General Electric Co. ..... 4,696,066 5,555,550
5,000 Harbor Global Co. Ltd.+ .. 24,172 45,500
160,000 Honeywell
International Inc. ..... 4,585,789 6,000,000
2,000 ITT Industries Inc. ...... 216,040 227,200
4,000 Trinity Industries Inc. .. 82,100 161,960
55,000 Tyco International Ltd. .. 1,433,388 1,531,750
30,001 WHX Corp.+ ............... 434,042 330,010
15,000 York International Corp. . 844,832 841,050
------------ ------------
14,404,337 18,132,460
------------ ------------

See accompanying notes to financial statements.

THE GABELLI EQUITY INCOME FUND
SCHEDULE OF INVESTMENTS (CONTINUED) -- SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

MARKET
SHARES COST VALUE
------ ---- -------
COMMON STOCKS (CONTINUED)
ELECTRONICS -- 1.3%
10,000 Freescale Semiconductor Inc.,
Cl. B+ .................$ 81,750 $ 235,800
33,000 Intel Corp. .............. 724,024 813,450
185,000 Texas Instruments Inc. ... 4,117,769 6,271,500
15,000 Thermo Electron Corp.+ ... 325,333 463,500
------------ ------------
5,248,876 7,784,250
------------ ------------
ENERGY AND UTILITIES: ELECTRIC -- 2.9%
80,000 AES Corp.+ ............... 268,400 1,314,400
22,000 American Electric
Power Co. Inc. ......... 653,980 873,400
100,000 Cinergy Corp. ............ 3,272,016 4,441,000
16,000 DTE Energy Co. ........... 695,800 733,760
95,000 El Paso Electric Co.+ .... 746,352 1,980,750
68,000 FPL Group Inc. ........... 2,305,300 3,236,800
40,000 Great Plains Energy Inc. . 905,160 1,196,400
30,000 Korea Electric Power
Corp., ADR ............. 456,465 531,300
120,000 Northeast Utilities ...... 2,261,119 2,394,000
7,000 UIL Holdings Corp. ....... 245,744 366,170
------------ ------------
11,810,336 17,067,980
------------ ------------
ENERGY AND UTILITIES: INTEGRATED -- 8.5%
42,000 Allegheny Energy Inc.+ ... 395,405 1,290,240
200,000 Aquila Inc.+ ............. 557,773 792,000
44,000 BP plc, ADR .............. 1,030,211 3,117,400
84,000 Burlington Resources Inc. 1,618,222 6,830,880
44,000 CH Energy Group Inc. ..... 1,809,289 2,089,120
70,000 Constellation Energy Group 1,664,815 4,312,000
1,000 Dominion Resources Inc. .. 48,852 86,140
80,000 Duke Energy Corp. ........ 1,421,650 2,333,600
150,000 Duquesne Light
Holdings Inc. .......... 2,318,392 2,581,500
200,000 El Paso Corp. ............ 1,995,518 2,780,000
10,000 Electrabel SA ............ 5,045,088 5,011,718
38,000 Endesa SA ................ 984,188 1,017,079
150,000 Energy East Corp. ........ 3,071,332 3,778,500
29,000 Eni SpA .................. 304,221 861,234
80,000 NSTAR .................... 1,282,183 2,313,600
10,000 OGE Energy Corp. ......... 249,538 281,000
80,000 Progress Energy Inc. ..... 3,424,284 3,580,000
15,000 Progress Energy Inc.,
CVO+ ................... 7,800 1,350
6,000 Public Service Enterprise
Group Inc. ............. 235,600 386,160
12,000 Scottish Power plc, ADR .. 314,381 482,880
10,000 Suncor Energy Inc. ....... 515,942 605,300
55,000 TECO Energy Inc. ......... 740,886 991,100
17,000 TXU Corp. ................ 377,063 1,918,960
100,000 Westar Energy Inc. ....... 1,504,640 2,413,000
------------ ------------
30,917,273 49,854,761
------------ ------------

MARKET
SHARES COST VALUE
------ ---- -------
ENERGY AND UTILITIES: NATURAL GAS -- 1.6%
20,000 AGL Resources Inc. .......$ 388,379 $ 742,200
30,000 Atmos Energy Corp. ....... 707,125 847,500
25,000 National Fuel Gas Co. .... 519,678 855,000
40,000 ONEOK Inc. ............... 713,017 1,360,800
5,000 Peoples Energy Corp. ..... 185,826 196,900
24,000 Piedmont Natural
Gas Co. Inc. ........... 394,017 604,080
40,000 SEMCO Energy Inc.+ ....... 282,604 263,600
66,150 Southern Union Co.+ ...... 845,950 1,704,686
100,000 Southwest Gas Corp. ...... 1,777,547 2,739,000
------------ ------------
5,814,143 9,313,766
------------ ------------
ENERGY AND UTILITIES: OIL -- 10.1%
5,000 Anadarko Petroleum Corp. . 340,506 478,750
189,873 Chevron Corp. ............ 8,674,862 12,290,479
116,000 ConocoPhillips ........... 3,187,718 8,109,560
14,000 Cooper Cameron Corp.+ .... 804,246 1,035,020
30,000 Devon Energy Corp. ....... 692,247 2,059,200
150,000 Exxon Mobil Corp. ........ 4,749,795 9,531,000
12,608 Kerr-McGee Corp. ......... 562,893 1,224,363
8,000 Murphy Oil Corp. ......... 363,913 398,960
50,000 Occidental Petroleum
Corp. .................. 3,867,861 4,271,500
8,500 PetroChina Co. Ltd.,
ADR .................... 548,251 708,645
30,000 Repsol YPF SA, ADR ....... 631,290 969,300
118,000 Royal Dutch Shell plc,
Cl. A, ADR ............. 5,402,372 7,745,520
70,000 Spinnaker Exploration
Co.+ ................... 4,511,478 4,528,300
25,000 Statoil ASA, ADR ......... 327,939 617,250
8,759 Total SA, ADR ............ 299,550 1,189,648
65,000 Transocean Inc.+ ......... 3,660,082 3,985,150
------------ ------------
38,625,003 59,142,645
------------ ------------
ENERGY AND UTILITIES: SERVICES -- 0.4%
14,000 Halliburton Co. .......... 158,327 959,280
16,000 Schlumberger Ltd. ........ 877,456 1,350,080
------------ ------------
1,035,783 2,309,360
------------ ------------
ENERGY AND UTILITIES: WATER -- 0.1%
18,000 Aqua America Inc. ........ 221,672 684,360
------------ ------------
ENTERTAINMENT -- 2.3%
500,000 Rank Group plc ........... 2,545,364 2,632,460
140,000 The Walt Disney Co. ...... 2,635,231 3,378,200
200,000 Time Warner Inc. ......... 3,280,052 3,622,000
45,000 Viacom Inc., Cl. A ....... 1,511,987 1,494,900
70,000 Vivendi Universal
SA, ADR ................ 2,191,124 2,291,100
------------ ------------
12,163,758 13,418,660
------------ ------------
ENVIRONMENTAL SERVICES -- 0.5%
110,000 Waste Management Inc. .... 2,910,484 3,147,100
------------ ------------

See accompanying notes to financial statements.

THE GABELLI EQUITY INCOME FUND
SCHEDULE OF INVESTMENTS (CONTINUED) -- SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

MARKET
SHARES COST VALUE
------ ---- -------
COMMON STOCKS (CONTINUED)
EQUIPMENT AND SUPPLIES -- 1.7%
76,000 Flowserve Corp.+ .........$ 1,983,884 $ 2,762,600
11,000 Imagistics International
Inc.+ .................. 212,935 460,350
6,000 Ingersoll-Rand Co.
Ltd., Cl. A ............ 125,173 229,380
1,500 Minerals Technologies
Inc. ................... 37,938 85,815
30,000 Mueller Industries Inc. .. 1,320,222 833,100
4,000 Parker Hannifin Corp. .... 211,599 257,240
13,000 Smith (A.O.) Corp. ....... 275,717 370,500
1,000,000 Tomkins plc .............. 4,854,126 5,097,359
------------ ------------
9,021,594 10,096,344
------------ ------------
FINANCIAL SERVICES -- 10.7%
6,400 Alleghany Corp.+ ......... 1,116,610 1,958,400
1,000 Allstate Corp. ........... 33,300 55,290
165,000 American Express Co. ..... 7,517,628 9,477,600
40,000 American International
Group Inc. ............. 2,553,571 2,478,400
39,000 Argonaut Group Inc.+ ..... 789,154 1,053,390
25,000 Banco Popular
Espanol SA ............. 185,939 304,669
18,000 Banco Santander Central
Hispano SA, ADR ........ 64,963 237,060
2,000 Banco Santander Chile
SA, ADR ................ 29,250 87,740
100,000 Bank of America Corp. .... 1,890,574 4,210,000
44,000 Bank of New York
Co. Inc. ............... 1,423,658 1,294,040
30,000 Bankgesellschaft
Berlin AG+ ............. 201,349 107,806
8,000 Banque Nationale
de Paris SA ............ 296,835 608,137
3,000 Bear Stearns
Companies Inc. ......... 227,630 329,250
170,000 Citigroup Inc. ........... 7,733,750 7,738,400
40,000 Commerzbank AG, ADR ...... 855,073 1,098,584
35,000 Deutsche Bank AG ......... 1,966,016 3,273,200
2,000 Dun and
Bradstreet Corp.+ ...... 20,476 131,740
2,000 Fannie Mae ............... 110,475 89,640
16,000 Fidelity
Southern Corp. ......... 153,870 278,400
30,000 H&R Block Inc. ........... 723,860 719,400
25,000 Huntington
Bancshares Inc. ........ 407,250 561,750
82,080 JPMorgan Chase & Co. ..... 2,489,151 2,784,975
1,000 KeyCorp .................. 30,270 32,250
16,000 Leucadia
National Corp. ......... 349,910 689,600
1,000 Manulife
Financial Corp. ........ 24,694 53,320
110,000 MBNA Corp. ............... 2,870,698 2,710,400
55,000 Mellon Financial
Corp. .................. 1,528,208 1,758,350
13,000 Merrill Lynch &
Co. Inc. ............... 525,900 797,550
8,000 Moody's Corp. ............ 64,841 408,640
5,000 Morgan Stanley ........... 256,570 269,700
3,000 Municipal Mortgage &
Equity, LLC ............ 60,488 74,910
6,000 Northern Trust Corp. ..... 60,300 303,300
50,000 Phoenix Companies Inc. ... 650,511 610,000
45,000 PNC Financial Services
Group Inc. ............. 1,905,739 2,610,900

MARKET
SHARES COST VALUE
------ ---- -------
43,000 Popular Inc. .............$ 1,113,805 $ 1,041,460
500 Raiffeisen
International Bank
Holding AG+ ............ 28,874 33,381
5,000 Schwab (Charles) Corp. ... 77,500 72,150
36,000 St. Paul Travelers
Companies Inc. ......... 1,429,504 1,615,320
108,000 Sterling Bancorp ......... 1,456,021 2,431,080
12,000 SunTrust Banks Inc. ...... 251,738 833,400
20,000 T. Rowe Price
Group Inc. ............. 896,910 1,306,000
47,000 Unitrin Inc. ............. 1,403,702 2,230,620
10,000 Wachovia Corp. ........... 294,250 475,900
60,000 Waddell & Reed
Financial Inc.,
Cl. A .................. 1,151,502 1,161,600
65,000 Wilmington Trust Corp. ... 2,027,583 2,369,250
------------ ------------
49,249,900 62,766,952
------------ ------------
FOOD AND BEVERAGE -- 8.7%
20,000 Anheuser-Busch
Companies Inc. ......... 891,708 860,800
25,000 Brown-Forman Corp.,
Cl. A .................. 1,452,221 1,543,750
60,000 Cadbury Schweppes
plc, ADR ............... 1,763,992 2,443,800
35,000 Campbell Soup Co. ........ 794,372 1,041,250
40,000 Coca-Cola Amatil
Ltd., ADR .............. 246,845 483,236
170,000 Coca-Cola Co. ............ 7,500,134 7,342,300
15,000 Coca-Cola Femsa SA
de CV, ADR ............. 388,903 400,650
20,000 Corn Products
International Inc. ..... 260,071 403,400
60,000 Del Monte Foods Co.+ ..... 555,763 643,800
56,000 Diageo plc, ADR .......... 2,330,906 3,248,560
150,000 Dreyer's Grand Ice Cream
Holdings Inc.,
Cl. A .................. 12,097,736 12,313,500
35,000 Fomento Economico
Mexicano SA
de CV, ADR ............. 1,594,434 2,447,200
135,000 General Mills Inc. ....... 6,554,577 6,507,000
20,000 Groupe Danone, ADR ....... 382,144 436,000
600,000 Grupo Bimbo SA de CV,
Cl. A .................. 1,781,670 1,952,775
1,000 Heineken NV .............. 32,967 32,101
110,000 Heinz (H.J.) Co. ......... 3,888,933 4,019,400
4,000 Hershey Co. .............. 120,014 225,240
5,000 Kellogg Co. .............. 149,740 230,650
10,000 Nestle SA ................ 2,083,075 2,927,658
24,016 Pernod Ricard SA, ADR .... 1,018,278 1,063,366
12,889 Tootsie Roll
Industries Inc. ........ 339,619 409,226
------------ ------------
46,228,102 50,975,662
------------ ------------
HEALTH CARE -- 6.8%
8,000 Abbott Laboratories ...... 298,164 339,200
50,000 Baxter
International Inc. ..... 1,430,911 1,993,500
16,000 Becton,
Dickinson & Co. ........ 491,573 838,880
500 Bio-Rad Laboratories Inc.,
Cl. B+ ................. 20,960 27,418
100,000 Bristol-Myers
Squibb Co. ............. 2,590,402 2,406,000

See accompanying notes to financial statements.

THE GABELLI EQUITY INCOME FUND
SCHEDULE OF INVESTMENTS (CONTINUED) -- SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

MARKET
SHARES COST VALUE
------ ---- -------
COMMON STOCKS (CONTINUED)
HEALTH CARE (CONTINUED)
120,000 Eli Lilly & Co. ..........$ 6,927,320 $ 6,422,400
11,276 GlaxoSmithKline
plc, ADR ............... 515,984 578,233
25,000 Henry Schein Inc.+ ....... 631,852 1,065,500
55,000 Hospira Inc.+ ............ 1,916,319 2,253,350
20,000 Johnson & Johnson ........ 1,034,361 1,265,600
24,851 Medco Health
Solutions Inc.+ ........ 954,446 1,362,580
93,000 Merck & Co. Inc. ......... 3,338,476 2,530,530
1,000 Nobel Biocare
Holding AG ............. 139,480 235,603
5,000 Orthofix
International NV+ ...... 162,394 218,000
390,000 Pfizer Inc. .............. 11,730,894 9,738,300
36,400 Priority Healthcare Corp.,
Cl. B+ ................. 1,010,182 1,014,104
50,000 Renal Care Group Inc.+ ... 2,316,397 2,366,000
150,000 Schering-Plough Corp. .... 2,779,186 3,157,500
90,000 Tenet Healthcare Corp.+ .. 1,047,155 1,010,700
20,000 William Demant
Holding A/S+ ........... 983,839 937,311
4,000 Zimmer Holdings Inc.+ .... 257,651 275,560
------------ ------------
40,577,946 40,036,269
------------ ------------
HOTELS AND GAMING -- 2.1%
20,000 Argosy Gaming Co.+ ....... 937,678 939,800
1,500,000 Hilton Group plc ......... 7,677,943 8,320,689
50,000 Hilton Hotels Corp. ...... 867,453 1,116,000
30,000 Starwood Hotels & Resorts
Worldwide Inc. ......... 755,965 1,715,100
------------ ------------
10,239,039 12,091,589
------------ ------------
MACHINERY -- 0.4%
6,000 Caterpillar Inc. ......... 35,181 352,500
31,000 Deere & Co. .............. 752,487 1,897,200
------------ ------------
787,668 2,249,700
------------ ------------
MANUFACTURED HOUSING -- 0.4%
140,000 Champion
Enterprises Inc.+ ...... 1,407,727 2,069,200
------------ ------------
METALS AND MINING -- 1.3%
27,000 Fording Canadian Coal Trust
(Toronto) .............. 179,580 1,151,303
55,875 Freeport-McMoRan Copper
& Gold Inc., Cl. B ..... 1,202,109 2,714,966
25,000 Inco Ltd. ................ 940,875 1,183,750
55,000 Newmont Mining Corp. ..... 1,888,650 2,594,350
------------ ------------
4,211,214 7,644,369
------------ ------------
PUBLISHING -- 1.6%
28,000 Dow Jones & Co. Inc. ..... 1,208,829 1,069,320
11,000 Knight-Ridder Inc. ....... 725,310 645,480
8,000 McClatchy Co., Cl. A ..... 535,089 521,840
20,000 McGraw-Hill
Companies Inc. ......... 502,221 960,800
10,000 New York Times Co.,
Cl. A .................. 316,599 297,500
45,000 News Corp., Cl. A ........ 532,836 701,550
6,016 News Corp., Cl. B ........ 70,880 99,264

MARKET
SHARES COST VALUE
------ ---- -------
100,000 Reader's Digest
Association Inc. .......$ 1,360,932 $ 1,597,000
4,000 Scripps (E.W.) Co.,
Cl. A .................. 190,285 199,880
406 Seat Pagine Gialle SpA+ .. 1,350 200
75,000 Tribune Co. .............. 3,267,986 2,541,750
1,200 Washington Post Co.,
Cl. B .................. 700,030 963,000
------------ ------------
9,412,347 9,597,584
------------ ------------
REAL ESTATE -- 0.0%
5,000 Griffin Land &
Nurseries Inc.+ ........ 71,716 122,500
------------ ------------
RETAIL -- 2.7%
200,000 Albertson's Inc. ......... 4,486,885 5,130,000
25,000 Costco Wholesale Corp. ... 1,129,071 1,077,250
5,000 Ingles Markets Inc.,
Cl. A .................. 64,548 79,000
20,000 Neiman Marcus Group Inc.,
Cl. A .................. 1,986,580 1,999,000
10,000 Neiman Marcus Group Inc.,
Cl. B .................. 871,268 998,300
150,000 Safeway Inc. ............. 3,114,997 3,840,000
500 Sears Holdings Corp.+ .... 40,732 62,210
6,000 The Home Depot Inc. ...... 127,998 228,840
50,000 Wal-Mart Stores Inc. ..... 2,448,976 2,191,000
10,000 Weis Markets Inc. ........ 300,480 400,100
------------ ------------
14,571,535 16,005,700
------------ ------------
SPECIALTY CHEMICALS -- 1.9%
20,000 Albemarle Corp. .......... 434,626 754,000
15,000 Chemtura Corp. ........... 153,100 186,300
10,000 Dow Chemical Co. ......... 360,656 416,700
70,000 E.I. du Pont de Nemours
and Co. ................ 3,223,868 2,741,900
80,000 Ferro Corp. .............. 1,621,567 1,465,600
13,900 Hercules Inc.+ ........... 201,293 169,858
65,000 Monsanto Co. ............. 1,101,588 4,078,750
6,000 NewMarket Corp.+ ......... 23,156 104,040
22,700 Omnova Solutions Inc.+ ... 171,320 99,199
4,000 Quaker Chemical Corp. .... 79,615 69,520
63,000 Sensient
Technologies Corp. ..... 1,308,801 1,193,850
------------ ------------
8,679,590 11,279,717
------------ ------------
TELECOMMUNICATIONS -- 4.6%
6,000 ALLTEL Corp. ............. 307,225 390,660
300,000 AT&T Corp. ............... 6,009,842 5,940,000
70,000 BCE Inc. ................. 1,499,542 1,920,800
50,000 BellSouth Corp. .......... 1,334,747 1,315,000
200,000 BT Group plc ............. 825,179 784,005
30,000 BT Group plc, ADR ........ 1,006,938 1,189,200
50,000 Cable & Wireless
plc, ADR ............... 292,432 376,000
250,000 Cincinnati Bell Inc.+ .... 1,473,055 1,102,500
70,000 Citizens
Communications Co. ..... 974,745 948,500
60,000 Deutsche Telekom AG, ADR . 1,075,041 1,094,400
15,000 France Telecom SA, ADR ... 436,434 431,250

See accompanying notes to financial statements.

THE GABELLI EQUITY INCOME FUND
SCHEDULE OF INVESTMENTS (CONTINUED) -- SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

MARKET
SHARES COST VALUE
------ ---- -------
COMMON STOCKS (CONTINUED)
TELECOMMUNICATIONS (CONTINUED)
500,000 O2 plc ...................$ 536,816 $ 1,391,191
400,000 Qwest Communications
International Inc.+ .... 1,516,049 1,640,000
68,000 SBC Communications Inc. .. 1,982,002 1,629,960
90,000 Sprint Nextel Corp. ...... 1,562,061 2,140,200
3,300 Telecom Italia SpA, ADR .. 31,072 107,580
8,195 Telefonica SA, ADR ....... 80,699 404,177
18,000 TELUS Corp. .............. 293,047 751,123
100,000 Verizon
Communications Inc. .... 3,769,983 3,269,000
------------ ------------
25,006,909 26,825,546
------------ ------------
TRANSPORTATION -- 0.2%
35,000 GATX Corp. ............... 880,178 1,384,250
------------ ------------
TOTAL COMMON STOCKS ...... 418,163,829 528,543,208
------------ ------------
PREFERRED STOCKS -- 1.2%
AUTOMOTIVE -- 0.0%
1,000 Ford Motor Co. Capital Trust II,
6.500% Cv. Pfd. ........ 45,215 36,450
------------ ------------
AVIATION: PARTS AND SERVICES -- 0.5%
7,000 Coltec Capital Trust,
5.250% Cv. Pfd. ........ 281,500 348,250
25,200 Sequa Corp.,
$5.00 Cv. Pfd. ......... 2,148,377 2,457,000
------------ ------------
2,429,877 2,805,250
------------ ------------
BROADCASTING -- 0.2%
1,000 Granite Broadcasting Corp.,
12.750% Pfd.+ .......... 615,500 160,000
100 Gray Television Inc.,
8.000% Cv. Pfd.,
Ser. C (b)(c)(d) ....... 1,000,000 1,010,000
------------ ------------
1,615,500 1,170,000
------------ ------------
COMMUNICATIONS EQUIPMENT -- 0.2%
1,100 Lucent Technologies
Capital Trust I,
7.750% Cv. Pfd. ........ 759,000 1,113,750
------------ ------------
ENERGY AND UTILITIES: INTEGRATED -- 0.1%
300 El Paso Corp.,
4.990% Cv. Pfd. (b) .... 293,192 368,689
------------ ------------
ENTERTAINMENT -- 0.0%
3,000 Metromedia International
Group Inc.,
7.250% Cv. Pfd.+ ....... 5,310 118,500
------------ ------------
TELECOMMUNICATIONS -- 0.2%
33,000 Cincinnati Bell Inc.,
6.750% Cv. Pfd., Ser. B 918,893 1,442,100
------------ ------------
TOTAL PREFERRED STOCKS ... 6,066,987 7,054,739
------------ ------------

MARKET
SHARES COST VALUE
------ ---- -------
WARRANTS -- 0.2%
BUSINESS SERVICES -- 0.2%
250,000 GP Strategies Corp.,
expire 08/14/08+ (c)(d) $ 637,065 $ 929,126
------------ ------------
DIVERSIFIED INDUSTRIAL -- 0.0%
379,703 National Patent Development
Corp., expire
08/14/08+ (c)(d) ....... 0 146,241
3,625 WHX Corp., expire
02/28/08+ .............. 14,170 9,516
------------ ------------
14,170 155,757
------------ ------------
TOTAL WARRANTS ........... 651,235 1,084,883
------------ ------------
PRINCIPAL
AMOUNT
------
CORPORATE BONDS -- 3.2%
AUTOMOTIVE: PARTS AND ACCESSORIES -- 0.6%
$ 3,000,000 Pep Boys - Manny,
Moe & Jack, Cv.,
4.250%, 06/01/07 ....... 2,977,554 2,925,000
800,000 Standard Motor
Products Inc.,
Sub. Deb. Cv.,
6.750%, 07/15/09 ....... 680,593 712,000
------------ ------------
3,658,147 3,637,000
------------ ------------
AVIATION: PARTS AND SERVICES -- 0.3%
1,400,000 GenCorp Inc.,
Sub. Deb. Cv.,
5.750%, 04/15/07 ....... 1,360,776 1,538,250
------------ ------------
BROADCASTING -- 0.5%
2,550,000 Sinclair Broadcast
Group Inc.,
Sub. Deb. Cv.,
6.000%, 09/15/12 ....... 2,078,534 2,244,000
500,000 Sinclair Broadcast
Group Inc.,
Sub. Deb. Cv.,
4.875%, 07/15/18 ....... 444,299 449,375
------------ ------------
2,522,833 2,693,375
------------ ------------
BUSINESS SERVICES -- 0.2%
100,000 BBN Corp., Sub. Deb. Cv.,
6.000%, 04/01/12+ (a)(c) 97,500 0
2,000,000 GP Strategies Corp.,
Sub. Deb.,
6.000%, 08/14/08 (c)(d) 1,552,703 1,339,125
------------ ------------
1,650,203 1,339,125
------------ ------------
COMMUNICATIONS EQUIPMENT -- 1.1%
3,000,000 Agere Systems Inc.,
Sub. Deb. Cv.,
6.500%, 12/15/09 ....... 2,920,873 3,015,000
3,500,000 Nortel Networks Corp., Cv.,
4.250%, 09/01/08 ....... 3,375,169 3,311,875
------------ ------------
6,296,042 6,326,875
------------ ------------
DIVERSIFIED INDUSTRIAL -- 0.1%
500,000 EDO Corp., Sub. Deb. Cv.,
5.250%, 04/15/07 ....... 514,745 514,375
------------ ------------

See accompanying notes to financial statements.

THE GABELLI EQUITY INCOME FUND
SCHEDULE OF INVESTMENTS (CONTINUED) -- SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

PRINCIPAL MARKET
AMOUNT COST VALUE
-------- ---- -------
CORPORATE BONDS (CONTINUED)
ENERGY AND UTILITIES: ELECTRIC -- 0.2%
$ 1,200,000 Mirant Corp., Deb. Cv.,
2.500%, 06/15/21+ (a) ..$ 886,921 $ 1,242,000
------------ ------------
HEALTH CARE -- 0.0%
200,000 Twin Laboratories Inc.,
Sub. Deb.,
10.250%, 05/15/06+ (a) . 77,159 12,000
------------ ------------
METALS AND MINING -- 0.2%
1,000,000 Inco Ltd., Cv.,
Zero Coupon, 03/29/21 .. 997,560 1,262,500
------------ ------------
TOTAL CORPORATE BONDS .... 17,964,386 18,565,500
------------ ------------
U.S. GOVERNMENT OBLIGATIONS -- 4.8%
28,446,000 U.S. Treasury Bills,
3.018% to 3.825%++,
10/06/05 to 03/09/06 ... 28,306,758 28,309,358
------------ ------------
TOTAL
INVESTMENTS -- 99.4% ...$471,153,195 583,557,688
============
OTHER ASSETS AND
LIABILITIES (NET) -- 0.6% .......... 3,573,067
------------
NET ASSETS -- 100.0% ................. $587,130,755
============
- ----------------
(a) Security in default.
(b) Security exempt from registration under Rule 144A of the Securities Act of
1933, as amended. These securities may be resold in transactions exempt
from registration, normally to qualified institutional buyers. At September
30, 2005, the Rule 144A securities are considered liquid and the market
value amounted to $1,378,689 or 0.23% of total net assets.
(c) Securities fair valued under procedures established by the Board of
Directors. The procedures may include reviewing available financial
information about the company and reviewing valuation of comparable
securities and other factors on a regular basis. At September 30, 2005, the
market value of fair valued securities amounted to $3,424,492 or 0.58% of
total net assets.
(d) At September 30, 2005, the Fund held restricted and illiquid securities
amounting to $3,424,492 or 0.58% of net assets, which were valued under
methods approved by the Board, as follows:
ACQUISITION 09/30/05
SHARES/ CARRYING
PRINCIPAL ACQUISITION ACQUISITION VALUE
AMOUNT ISSUER DATE COST PER UNIT
------ ------ ----------- ----------- --------
$2,000,000 GP Strategies Corp.,
Sub. Deb.,
6.00%, 08/14/08 .............. 08/08/03 $1,362,935 $ 66.9563
250,000 GP Strategies Corp.,
Warrants, expire
08/14/08 ..................... 08/08/03 637,065 3.7165
100 Gray Television Inc.,
8.000%
Cv. Pfd., Ser. C ............ 04/22/02 1,000,000 10,100.0000
379,703 National Patent Development
Corp., Warrants,
expire 08/14/08 .............. 11/24/04 0.00 0.3851

+ Non-income producing security.
++ Represents annualized yield at date of purchase.
ADR American Depository Receipt
CVO Contingent Value Obligation

See accompanying notes to financial statements.

THE GABELLI EQUITY INCOME FUND

STATEMENT OF ASSETS AND LIABILITIES
SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

ASSETS:
Investments, at value (cost $471,153,195) ........$583,557,688
Foreign currency, at value (cost $25,873) ........ 25,398
Cash ............................................. 30,293
Receivable for Fund shares sold .................. 3,261,399
Dividends and interest receivable ................ 1,208,081
Receivable for investments sold .................. 897,798
Other assets ..................................... 2,658
------------
TOTAL ASSETS ..................................... 588,983,315
------------
LIABILITIES:
Payable for Fund shares redeemed ................. 843,008
Payable for investment advisory fees ............. 471,862
Payable for investments purchased ................ 187,625
Payable for distribution fees .................... 119,886
Payable for shareholder services fees ............ 70,287
Payable for shareholder communications fees ...... 65,362
Other accrued expenses ........................... 94,530
------------
TOTAL LIABILITIES ................................ 1,852,560
------------
NET ASSETS applicable to 31,364,678
shares outstanding .............................$587,130,755
============
NET ASSETS CONSIST OF:
Capital stock, each class at $0.001 par value ....$ 31,365
Additional paid-in capital ....................... 469,747,431
Accumulated (distributions in excess of)
net investment income .......................... (61,155)
Accumulated net realized gain on investments
and foreign currency transactions .............. 5,014,895
Net unrealized appreciation on investments ....... 112,404,493
Net unrealized depreciation on foreign
currency translations .......................... (6,274)
------------
NET ASSETS .......................................$587,130,755
============
SHARES OF CAPITAL STOCK:
CLASS AAA:
Net Asset Value, offering and redemption price per
share ($580,080,886 / 30,985,073 shares
outstanding; 150,000,000 shares authorized) .... $18.72
======
CLASS A:
Net Asset Value and redemption price per share
($3,644,563 / 195,263 shares outstanding;
50,000,000 shares authorized) .................. $18.66
======
Maximum offering price per share (NAV / 0.9425,
based on maximum sales charge of 5.75% of
the offering price) ............................ $19.80
======
CLASS B:
Net Asset Value and offering price per share
($31,574 / 1,709 shares outstanding; 50,000,000
shares authorized) ............................. $18.48(a)
======
CLASS C:
Net Asset Value and offering price per share
($3,373,732 / 182,633 shares outstanding;
50,000,000 shares authorized) .................. $18.47(a)
======

- -------------
(a) Redemption price varies based on length of time held.

STATEMENT OF OPERATIONS
FOR THE YEAR ENDED SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

INVESTMENT INCOME:
Dividends (net of foreign taxes of $195,150) $ 11,158,655
Interest ................................... 1,543,209
------------
TOTAL INVESTMENT INCOME .................... 12,701,864
------------
EXPENSES:
Investment advisory fees ................... 4,550,011
Distribution fees -- Class AAA ............. 1,132,038
Distribution fees -- Class A ............... 2,618
Distribution fees -- Class B ............... 108
Distribution fees -- Class C ............... 11,282
Shareholder services fees .................. 461,650
Shareholder communications expenses ........ 176,507
Custodian fees ............................. 109,322
Registration fees .......................... 66,659
Legal and audit fees ....................... 56,287
Directors' fees ............................ 23,785
Miscellaneous expenses ..................... 75,143
------------
TOTAL EXPENSES ............................. 6,665,410
Less: Custodian fee credits ................ (4,876)
------------
NET EXPENSES ............................... 6,660,534
------------
NET INVESTMENT INCOME ...................... 6,041,330
------------
NET REALIZED AND UNREALIZED GAIN ON
INVESTMENTS AND FOREIGN CURRENCY:
Net realized gain on investments ........... 10,263,918
Net realized gain on foreign
currency transactions .................... 20,357
Net change in unrealized appreciation/
depreciation on investments and foreign
currency translations .................... 48,815,905
------------
NET REALIZED AND UNREALIZED GAIN ON
INVESTMENTS AND FOREIGN CURRENCY ......... 59,100,180
------------
NET INCREASE IN NET ASSETS RESULTING
FROM OPERATIONS .......................... $ 65,141,510
============

See accompanying notes to financial statements.

THE GABELLI EQUITY INCOME FUND

STATEMENT OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------

YEAR ENDED YEAR ENDED
SEPTEMBER 30, 2005 SEPTEMBER 30, 2004
------------------ ------------------

OPERATIONS:
Net investment income ............................................ $ 6,041,330 $ 4,536,567
Net realized gain on investments and foreign currency transactions 10,284,275 8,029,283
Net change in unrealized appreciation/depreciation on investments
and foreign currency translations .............................. 48,815,905 33,027,899
------------- -------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS ............. 65,141,510 45,593,749
------------- -------------
DISTRIBUTIONS TO SHAREHOLDERS:
Net investment income
Class AAA ...................................................... (6,076,053) (5,229,584)
Class A ........................................................ (14,675) (389)
Class B ........................................................ (137) (13)
Class C ........................................................ (15,344) (259)
------------- -------------
(6,106,209) (5,230,245)
------------- -------------
Net realized gains on investments
Class AAA ...................................................... (9,683,440) (1,806,422)
Class A ........................................................ (13,842) (135)
Class B ........................................................ (107) (4)
Class C ........................................................ (14,192) (89)
------------- -------------
(9,711,581) (1,806,650)
------------- -------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS .............................. (15,817,790) (7,036,895)
------------- -------------
CAPITAL SHARE TRANSACTIONS:
Class AAA ...................................................... 175,602,480 54,989,849
Class A ........................................................ 3,406,570 123,156
Class B ........................................................ 29,210 1,017
Class C ........................................................ 3,196,846 77,434
------------- -------------
NET INCREASE IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS ....... 182,235,106 55,191,456
------------- -------------
REDEMPTION FEES .................................................. 46,462 --
------------- -------------
NET INCREASE IN NET ASSETS ....................................... 231,605,288 93,748,310
NET ASSETS:
Beginning of period .............................................. 355,525,467 261,777,157
------------- -------------
End of period .................................................... $ 587,130,755 $ 355,525,467
============= =============

See accompanying notes to financial statements.

THE GABELLI EQUITY INCOME FUND
NOTES TO FINANCIAL STATEMENTS
- --------------------------------------------------------------------------------

1. ORGANIZATION. The Gabelli Equity Income Fund (the "Fund") is a series of
Gabelli Equity Series Funds, Inc. (the "Corporation"), which was organized on
July 25, 1991 as a Maryland corporation. The Fund is a diversified open-end
management investment company registered under the Investment Company Act of
1940, as amended (the "1940 Act"), and one of three separately managed
portfolios (collectively, the "Portfolios") of the Corporation, each with four
separate classes of shares outstanding known as Class AAA, Class A, Class B and
Class C. The Fund's primary objective is to seek a high level of total return
with an emphasis on income. The Fund commenced investment operations on January
2, 1992.

THE GABELLI EQUITY INCOME FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------

and maintain securities as collateral whose market value, including accrued
interest, will be at least equal to 102% of the dollar amount invested by the
Fund in each agreement. The Fund will make payment for such securities only upon
physical delivery or upon evidence of book entry transfer of the collateral to
the account of the custodian. To the extent that any repurchase transaction
exceeds one business day, the value of the collateral is marked-to-market on a
daily basis to maintain the adequacy of the collateral. If the seller defaults
and the value of the collateral declines or if bankruptcy proceedings are
commenced with respect to the seller of the security, realization of the
collateral by the Fund may be delayed or limited.

THE GABELLI EQUITY INCOME FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------

FOREIGN SECURITIES. The Fund may directly purchase securities of foreign
issuers. Investing in securities of foreign issuers involves special risks not
typically associated with investing in securities of U.S. issuers. The risks
include possible revaluation of currencies, the ability to repatriate funds,
less complete financial information about companies and possible future adverse
political and economic developments. Moreover, securities of many foreign
issuers and their markets may be less liquid and their prices more volatile than
those of securities of comparable U.S. issuers.

FOREIGN TAXES. The Fund may be subject to foreign taxes on income, gains on
investments or currency repatriation, a portion of which may be recoverable. The
Fund will accrue such taxes and recoveries as applicable, based upon its current
interpretation of tax rules and regulations that exist in the markets in which
they invest.

THE GABELLI EQUITY INCOME FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------

For the fiscal year ended September 30, 2005 reclassifications were made to
increase accumulated net investment income by $20,356 and decrease accumulated
net realized gain on investments by $20,356.

The tax character of distributions paid during the fiscal years ended September
30, 2005 and September 30, 2004 were as follows:

FISCAL YEAR ENDED FISCAL YEAR ENDED
SEPTEMBER 30, 2005 SEPTEMBER 30, 2004
------------------ ------------------
DISTRIBUTIONS PAID FROM:
Ordinary income
(inclusive of short-term
capital gains) ..................... $ 9,358,636 $7,036,895
Net long-term capital gains .......... 6,459,154 --
----------- ----------
Total distributions paid ............. $15,817,790 $7,036,895
=========== ==========

The Fund has a fixed distribution policy. Under the policy, the Fund declares
and pays monthly distributions from net investment income and capital gains. The
actual source of the distributions are determined after the end of the year. The
Fund continues to evaluate its distribution policy in light of ongoing economic
and market conditions and may change the amount of the monthly distributions in
the future. The Fund currently intends to pay $0.03 per share on a monthly
basis.

As of September 30, 2005, the components of accumulated earnings/(losses) on a
tax basis were as follows:

Undistributed long-term capital gains ............. $ 6,073,274
Net unrealized appreciation ....................... 111,341,422
Other temporary differences ....................... (62,737)
------------
Total accumulated earnings ...................... $117,351,959
============

The difference between book and tax basis unrealized appreciation is primarily
due to deferral of losses from wash sales for tax purposes.

The following summarizes the tax cost of investments and related unrealized
appreciation/depreciation at September 30, 2005:

GROSS GROSS NET UNREALIZED
UNREALIZED UNREALIZED APPRECIATION/
COST APPRECIATION DEPRECIATION (DEPRECIATION)
------------ ------------ ------------ ------------
Investments ...... $472,216,266 $124,087,963 $(12,746,541) $111,341,422

THE GABELLI EQUITY INCOME FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------

5. PORTFOLIO SECURITIES. Purchases and proceeds from the sales of securities for
the fiscal year ended September 30, 2005, other than short-term securities,
aggregated $262,952,110 and $48,930,603, respectively.

6. TRANSACTIONS WITH AFFILIATES. During the fiscal year ended September 30,
2005, the Fund paid brokerage commissions of $275,787 to Gabelli & Company.
Additionally, Gabelli & Company informed the Fund that it received $18,493 from
investors representing commissions (sales charges and underwriting fees) on
sales and redemptions of Fund shares.

7. LINE OF CREDIT. The Fund has access to an unsecured line of credit of up to
$25,000,000 from the custodian for temporary borrowing purposes. Borrowings
under this arrangement bear interest at 0.75% above the Federal Funds rate on
outstanding balances. During the fiscal year ended September 30, 2005, there
were no borrowings from the line of credit.

THE GABELLI EQUITY INCOME FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------

Transactions in shares of capital stock were as follows:

YEAR ENDED YEAR ENDED
SEPTEMBER 30, 2005 SEPTEMBER 30, 2004
---------------------------- ---------------------------
SHARES AMOUNT SHARES AMOUNT
---------- ------------ ---------- ------------
CLASS AAA CLASS AAA
---------------------------- ---------------------------

Shares sold ........................................ 14,143,848 $254,681,597 7,919,728 $130,184,333
Shares issued upon reinvestment of dividends ....... 812,370 14,527,787 393,424 6,453,128
Shares redeemed .................................... (5,214,853) (93,606,904) (4,998,860) (81,647,612)
---------- ------------ ---------- ------------
Net increase ..................................... 9,741,365 $175,602,480 3,314,292 $ 54,989,849
========== ============ ========== ============
CLASS A CLASS A
---------------------------- ---------------------------
Shares sold ........................................ 198,451 $ 3,597,003 7,383 $ 122,882
Shares issued upon reinvestment of dividends ....... 1,332 24,074 17 274
Shares redeemed .................................... (11,920) (214,507) -- --
---------- ------------ ---------- ------------
Net increase ..................................... 187,863 $ 3,406,570 7,400 $ 123,156
========== ============ ========== ============
CLASS B CLASS B
---------------------------- ---------------------------
Shares sold ........................................ 1,633 $ 28,966 61 $ 1,000
Shares issued upon reinvestment of dividends ....... 14 244 1 17
Shares redeemed .................................... -- -- -- --
---------- ------------ ---------- ------------
Net increase ..................................... 1,647 $ 29,210 62 $ 1,017
========== ============ ========== ============
CLASS C CLASS C
---------------------------- ---------------------------
Shares sold ........................................ 179,380 $ 3,223,463 4,732 $ 77,086
Shares issued upon reinvestment of dividends ....... 1,487 26,658 21 348
Shares redeemed .................................... (2,987) (53,275) -- --
---------- ------------ ---------- ------------
Net increase ..................................... 177,880 $ 3,196,846 4,753 $ 77,434
========== ============ ========== ============

9. OTHER MATTERS. The Adviser and/or affiliates have received subpoenas from the
Attorney General of the State of New York and the SEC requesting information on
mutual fund trading practices involving certain funds managed by the Adviser.
GAMCO Investors, Inc., the Adviser's parent company, is responding to these
requests for documents and testimony. On a separate matter, in September 2005,
the Adviser was informed by the staff of the SEC that the staff may recommend to
the Commission that an administrative remedy and a monetary penalty be sought
from the Adviser in connection with the actions of two of seven closed-end funds
managed by the Adviser relating to Section 19(a) and Rule 19a-1 of the 1940 Act.
These provisions require registered investment companies to provide written
statements to shareholders when a dividend is made from a source other than net
investment income. While the two closed-end funds sent annual statements and
provided other materials containing this information, the funds did not send
written statements to shareholders with each distribution in 2002 and 2003. The
Adviser believes that all of the funds are now in compliance. The Adviser
believes that these matters would have no effect on the Fund nor any material
adverse effect on the Adviser or its ability to manage the Fund.

10. INDEMNIFICATIONS. The Fund enters into contracts that contain a variety of
indemnifications. The Fund's maximum exposure under these arrangements is
unknown. However, the Fund has not had prior claims or losses pursuant to these
contracts and expects the risk of loss to be remote.

THE GABELLI EQUITY INCOME FUND
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------

Selected data for a share of capital stock outstanding throughout each period:

INCOME
FROM INVESTMENT OPERATIONS DISTRIBUTIONS
------------------------------------------------ -------------------------------------
Net
Net Asset Realized and Total Net
Period Value, Net Unrealized from Net Realized
Ended Beginning Investment Gain/(Loss) on Investment Investment Gain on Total
September 30 of Period Income(d) Investments Operations Income Investments Distributions
- ------------ --------- --------- -------------- ---------- ---------- ----------- -------------

CLASS AAA
2005 $16.73 $0.24 $2.41 $2.65 $(0.24) $(0.42) $(0.66)
2004 14.60 0.23 2.26 2.49 (0.27) (0.09) (0.36)
2003 11.93 0.28 2.64 2.92 (0.25) -- (0.25)
2002 13.88 0.23 (1.79) (1.56) (0.23) (0.16) (0.39)
2001 16.35 0.25 (0.28) (0.03) (0.36) (2.08) (2.44)

CLASS A
2005 $16.72 $0.20 $2.43 $2.63 $(0.27) $(0.42) $(0.69)
2004(a) 16.40 0.16 0.43 0.59 (0.20) (0.07) (0.27)

CLASS B
2005 $16.62 $0.04 $2.46 $2.50 $(0.22) $(0.42) $(0.64)
2004(a) 16.40 0.07 0.42 0.49 (0.20) (0.07) (0.27)

CLASS C
2005 $16.64 $0.07 $2.43 $2.50 $(0.25) $(0.42) $(0.67)
2004(a) 16.40 0.08 0.43 0.51 (0.20) (0.07) (0.27)

RATIOS TO AVERAGE NET ASSETS/SUPPLEMENTAL DATA
-------------------------------------------------

Net Asset Net Assets
Period Value, End of Net Portfolio
Ended Redemption End of Total Period Investment Operating Turnover
September 30 Fees(d) Period Return+ (in 000's) Income Expenses Rate
- ------------ ---------- ------ ------- ---------- ---------- --------- ---------

CLASS AAA
2005 $0.00(c) $18.72 16.09% $580,081 1.33% 1.46% 11%
2004 -- 16.73 17.13 355,321 1.42 1.49 12
2003 -- 14.60 24.59 261,777 2.09 1.49 27
2002 -- 11.93 (11.58) 162,938 1.75 1.50 12
2001 -- 13.88 (0.43) 121,499 1.65 1.55 41

CLASS A
2005 $0.00(c) $18.66 15.99% $ 3,644 1.08% 1.50% 11%
2004(a) -- 16.72 3.62 124 1.33(b) 1.49(b) 12

CLASS B
2005 $0.00(c) $18.48 15.28% $ 32 0.20% 2.22% 11%
2004(a) -- 16.62 3.00 1 0.56(b) 2.24(b) 12

CLASS C
2005 $0.00(c) $18.47 15.24% $ 3,374 0.37% 2.24% 11%
2004(a) -- 16.64 3.13 79 0.62(b) 2.24(b) 12

- -----------
+ Total return represents aggregate total return of a hypothetical $1,000
investment at the beginning of the period and sold at the end of the period
including reinvestment of dividends and does not reflect applicable sales
charges. Total return for the period of less than one year is not
annualized.
(a) From the commencement of offering Class A, Class B and Class C Shares on
December 31, 2003.
(b) Annualized.
(c) Amount represents less than $0.005 per share.
(d) Per share amounts have been calculated using the average shares outstanding
method.

See accompanying notes to financial statements.

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
- --------------------------------------------------------------------------------

To the Shareholders and Board of Directors of
The Gabelli Equity Income Fund

We have audited the accompanying statement of assets and liabilities, including
the schedule of investments, of The Gabelli Equity Income Fund (the "Fund"), a
series of Gabelli Equity Series Funds, Inc., as of September 30, 2005, and the
related statement of operations for the year then ended, the statements of
changes in net assets for each of the two years in the period then ended, and
the financial highlights for each of the periods indicated therein. These
financial statements and financial highlights are the responsibility of the
Fund's management. Our responsibility is to express an opinion on these
financial statements and financial highlights based on our audits.

We conducted our audits in accordance with the standards of the Public Company
Accounting Oversight Board (United States). Those standards require that we plan
and perform the audit to obtain reasonable assurance about whether the financial
statements and financial highlights are free of material misstatement. We were
not engaged to perform an audit of the Fund's internal control over financial
reporting. Our audits included consideration of internal control over financial
reporting as a basis for designing audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Fund's internal control over financial reporting.
Accordingly, we express no such opinion. An audit also includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements and financial highlights, assessing the accounting principles used
and significant estimates made by management, and evaluating the overall
financial statement presentation. Our procedures included confirmation of
securities owned as of September 30, 2005, by correspondence with the custodian
and brokers. We believe that our audits provide a reasonable basis for our
opinion.

In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of The
Gabelli Equity Income Fund, a series of Gabelli Equity Series Funds, Inc., at
September 30, 2005, the results of its operations for the year then ended, the
changes in its net assets for each of the two years in the period then ended,
and its financial highlights for each of the periods indicated therein, in
conformity with U.S. generally accepted accounting principles.

/s/ ERNST & YOUNG LLP

Philadelphia, Pennsylvania
November 11, 2005

THE GABELLI EQUITY INCOME FUND
ADDITIONAL FUND INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------

The business and affairs of the Fund are managed under the direction of the
Fund's Board of Directors. Information pertaining to the Directors and officers
of the Fund is set forth below. The Fund's Statement of Additional Information
includes additional information about The Gabelli Equity Income Fund's Directors
and is available, without charge, upon request, by calling 800-GABELLI
(800-422-3554) or by writing to The Gabelli Equity Income Fund at One Corporate
Center, Rye, NY 10580-1422.

TERM OF NUMBER OF
NAME, POSITION(S) OFFICE AND FUNDS IN FUND
ADDRESS 1 LENGTH OF COMPLEX OVERSEEN PRINCIPAL OCCUPATION(S) OTHER DIRECTORSHIPS
AND AGE TIME SERVED 2 BY DIRECTOR DURING PAST FIVE YEARS HELD BY DIRECTOR 3
- ----------------- ------------- ---------------- ----------------------- -------------------

JOHN D. GABELLI Since 1991 10 Senior Vice President of Gabelli & Company, --
Director Inc.; Director of Gabelli Advisers, Inc.
Age: 61

KARL OTTO POHL 5 Since 1992 35 Member of the Shareholder Committee of Director of GAMCO
Director Sal Oppenheim Jr. & Cie (private investment Investors, Inc. (investment
Age: 75 bank); Former President of the management); Chairman,
Deutsche Bundesbank and Chairman of its InCentive Capital and InCentive
Central Bank Council (1980-1991) Asset Management (Zurich);
Director at Sal Oppenheim
Jr. & Cie, Zurich
NON-INTERESTED DIRECTORS:
- ------------------------
ANTHONY J. COLAVITA Since 1991 37 Partner in the law firm of --
Director Anthony J. Colavita, P.C.
Age: 69

VINCENT D. ENRIGHT Since 1991 14 Former Senior Vice President and Chief Director of Aphton
Director Financial Officer of KeySpan Energy Corporation
Age: 61 Corporation (utility holding company) (biopharmaceutical company)

ROBERT J. MORRISSEY Since 1991 10 Partner in the law firm of --
Director Morrissey, Hawkins & Lynch
Age: 66

ANTHONY R. PUSTORINO Since 1991 17 Certified Public Accountant; Professor Director of Lynch Corporation
Director Emeritus, Pace University (diversified manufacturing)
Age: 80

ANTHONIE C. VAN EKRIS Since 1991 21 Chairman of BALMAC International, Inc. Director of Aurado Energy Inc.
Director (commodities and futures trading) (oil and gas operations)
Age: 71

SALVATORE J. ZIZZA Since 2001 25 Chairman, Hallmark Electrical Director of Hollis Eden
Director Supplies Corp. Pharmaceuticals; Director
Age: 59 of Earl Scheib, Inc.
(automotive services)

THE GABELLI EQUITY INCOME FUND
ADDITIONAL FUND INFORMATION (UNAUDITED) (CONTINUED)
- --------------------------------------------------------------------------------

OFFICERS:
- --------
BRUCE N. ALPERT Since 1991 -- Executive Vice President and Chief Operating --
President and Treasurer Officer of Gabelli Funds, LLC since 1988;
Age: 53 Director and President of Gabelli Advisers, Inc.
since 1998; Officer of all the registered
investment companies in the Gabelli Fund complex

JAMES E. MCKEE Since 1995 -- Vice President, General Counsel and Secretary --
Secretary of GAMCO Investors, Inc. since 1999
Age: 42 and GAMCO Asset Management Inc. since 1993;
Secretary of all of the registered investment
companies advised by Gabelli Advisers, Inc.
and Gabelli Funds, LLC

PETER D. GOLDSTEIN Since 2004 -- Director of Regulatory Affairs for GAMCO --
Chief Compliance Officer Investors, Inc. since 2004; Chief Compliance
Age: 52 Officer of all of the registered investment
companies in the Gabelli Fund complex; Vice
President of Goldman Sachs Asset Management
from 2000-2004; Deputy General Counsel of
GAMCO Investors, Inc. from 1998-2000

- ----------------------
1 Address: One Corporate Center, Rye, NY 10580-1422, unless otherwise noted.
2 Each Director will hold office for an indefinite term until the earliest of
(i) the next meeting of shareholders, if any, called for the purpose of
considering the election or re-election of such Director and until the
election and qualification of his or her successor, if any, elected at such
meeting, or (ii) the date a Director resigns or retires, or a Director is
removed by the Board of Directors or shareholders, in accordance with the
Fund's By-Laws and Articles of Incorporation. Each officer will hold office
for an indefinite term until the date he or she resigns or retires or until
his or her successor is elected and qualified.
3 This column includes only directorships of companies required to report to
the SEC under the Securities Exchange Act of 1934 (i.e. public companies)
or other investment companies registered under the 1940 Act.
4 "Interested person" of the Fund as defined in the Investment Company Act of
1940. Messrs. Gabelli, Gabelli and Pohl are each considered an "interested
person" because of their affiliation with Gabelli Funds, LLC which acts as
the Fund's investment adviser. Mario J. Gabelli and John D. Gabelli are
brothers.
5 Effective November 15, 2005, Mr. Pohl resigned from the Board of Directors
and now serves as Director Emeritus.

- --------------------------------------------------------------------------------
2005 TAX NOTICE TO SHAREHOLDERS (Unaudited)

For the fiscal year ended September 30, 2005, the Fund paid to shareholders
ordinary income dividends (comprised of net investment income and short-term
capital gains) totaling $0.3821, $0.4121, $0.3631 and $0.3891 and long-term
capital gains totaling $0.2790, $0.2790, $0.2790 and $0.2790 per share for Class
AAA, Class A, Class B and Class C, respectively. The distributions of long-term
capital gains have been designated as Capital Gain Dividends by the Fund's Board
of Directors. For the fiscal year ended September 30, 2005,100% of the ordinary
income dividend qualifies for the dividend received deduction available to
corporations and 100% of the ordinary income distribution was qualifying
dividend income. An estimate of qualified dividend income of $10,626,294 was
received by the Fund through September 30, 2005 that qualifies for a reduced tax
rate pursuant to the Jobs and Growth Tax Relief Reconciliation Act of 2003.

U.S. GOVERNMENT INCOME:

The percentage of the ordinary income dividend paid by the Fund during fiscal
year 2005 which was derived from U.S. Treasury securities was 2.16%. Such income
is exempt from state and local tax in all states. However, many states,
including New York and California, allow a tax exemption for a portion of the
income earned only if a mutual fund has invested at least 50% of its assets at
the end of each quarter of the Fund's fiscal year in U.S. Government securities.
The Gabelli Equity Income Fund did not meet this strict requirement in 2005. Due
to the diversity in state and local tax law, it is recommended that you consult
your personal tax advisor as to the applicability of the information provided to
your specific situation.
- --------------------------------------------------------------------------------

GABELLI FAMILY OF FUNDS

VALUE ________________________________________
GABELLI ASSET FUND
Seeks to invest primarily in a diversified portfolio of common stocks selling at
significant discounts to their private market value. The Fund's primary
objective is growth of capital. (MULTICLASS)
PORTFOLIO MANAGER: MARIO J. GABELLI, CFA

GABELLI BLUE CHIP VALUE FUND
Seeks long term growth of capital through investment primarily in the common
stocks of established companies which are temporarily out of favor. The fund's
objective is to identify a catalyst or sequence of events that will return the
company to a higher value.
(MULTICLASS) PORTFOLIO MANAGER: BARBARA MARCIN, CFA

WESTWOOD EQUITY FUND
Seeks to invest primarily in the common stock of well-seasoned companies that
have recently reported positive earnings surprises and are trading below
Westwood's proprietary growth rate estimates. The Fund's primary objective is
capital appreciation.
(MULTICLASS) PORTFOLIO MANAGER: SUSAN M. BYRNE

FOCUSED VALUE ______________________________
GABELLI VALUE FUND
Seeks to invest in securities of companies believed to be undervalued. The
Fund's primary objective is long-term capital appreciation. (MULTICLASS)
PORTFOLIO MANAGER: MARIO J. GABELLI, CFA

SMALL CAP VALUE ____________________________
GABELLI SMALL CAP FUND
Seeks to invest primarily in common stock of smaller companies (market
capitalizations less than $1 billion) believed to have rapid revenue and
earnings growth potential. The Fund's primary objective is capital appreciation.
(MULTICLASS) PORTFOLIO MANAGER: MARIO J. GABELLI, CFA

WESTWOOD SMALLCAP EQUITY FUND
Seeks to invest primarily in smaller capitalization equity securities - market
caps of $2.5 billion or less. The Fund's primary objective is long-term capital
appreciation. (MULTICLASS) TEAM MANAGED

GABELLI WOODLAND SMALL CAP VALUE FUND
Seeks to invest primarily in the common stocks of smaller companies (market
capitalizations less than $1.5 billion) believed to be undervalued with
shareholder oriented management teams that are employing strategies to grow the
company's value. The Fund's primary objective is capital appreciation.
(MULTICLASS) PORTFOLIO MANAGER: ELIZABETH M. LILLY, CFA

GROWTH ______________________________________
GABELLI GROWTH FUND
Seeks to invest primarily in large cap stocks believed to have favorable, yet
undervalued, prospects for earnings growth. The Fund's primary objective is
capital appreciation. (MULTICLASS) PORTFOLIO MANAGER: HOWARD F. WARD, CFA

GABELLI INTERNATIONAL GROWTH FUND
Seeks to invest in the equity securities of foreign issuers with long-term
capital appreciation potential. The Fund offers investors global
diversification. (MULTICLASS) PORTFOLIO MANAGER: CAESAR BRYAN

AGGRESSIVE GROWTH _________________________
GABELLI GLOBAL GROWTH FUND
Seeks capital appreciation through a disciplined investment program focusing on
the globalization and interactivity of the world's marketplace. The Fund invests
in companies at the forefront of accelerated growth. The Fund's primary
objective is capital appreciation. (MULTICLASS) TEAM MANAGED

MICRO-CAP ___________________________________
WESTWOOD MIGHTY MITES(SM) FUND
Seeks to invest in micro-cap companies that have market capitalizations of $300
million or less. The Fund's primary objective is long-term capital appreciation.
(MULTICLASS) TEAM MANAGED

EQUITY INCOME _______________________________
GABELLI EQUITY INCOME FUND
Seeks to invest primarily in equity securities with above market average yields.
The Fund pays monthly dividends and seeks a high level of total return with an
emphasis on income. (MULTICLASS) PORTFOLIO MANAGER: MARIO J. GABELLI, CFA

WESTWOOD BALANCED FUND
Seeks to invest in a balanced and diversified portfolio of stocks and bonds. The
Fund's primary objective is both capital appreciation and current income.
(MULTICLASS) CO-PORTFOLIO MANAGERS: SUSAN M. BYRNE
MARK FREEMAN, CFA

WESTWOOD INCOME FUND
Seeks to provide a high level of current income as well as long-term capital
appreciation by investing in income producing equity and fixed income
securities. (MULTICLASS) PORTFOLIO MANAGER: SUSAN M. BYRNE

SPECIALTY EQUITY ____________________________
GABELLI GLOBAL CONVERTIBLE SECURITIES FUND
Seeks to invest principally in bonds and preferred stocks which are convertible
into common stock of foreign and domestic companies. The Fund's primary
objective is total return through a combination of current income and capital
appreciation. (MULTICLASS) TEAM MANAGED

GABELLI GLOBAL OPPORTUNITY FUND
Seeks to invest in common stock of companies which have rapid growth in revenues
and earnings and potential for above average capital appreciation or are
undervalued. The Fund's primary objective is capital appreciation.
(MULTICLASS) TEAM MANAGED

SECTOR ______________________________________
GABELLI GLOBAL TELECOMMUNICATIONS FUND
Seeks to invest in telecommunications companies throughout the world - targeting
undervalued companies with strong earnings and cash flow dynamics. The Fund's
primary objective is capital appreciation. (MULTICLASS) TEAM MANAGED

GABELLI GOLD FUND
Seeks to invest in a global portfolio of equity securities of gold mining and
related companies. The Fund's objective is long-term capital appreciation.
Investment in gold stocks is considered speculative and is affected by a variety
of world-wide economic, financial and political factors. (MULTICLASS)
PORTFOLIO MANAGER: CAESAR BRYAN

GABELLI UTILITIES FUND
Seeks to provide a high level of total return through a combination of capital
appreciation and current income. (MULTICLASS) TEAM MANAGED

MERGER AND ARBITRAGE _____________________
GABELLI ABC FUND
Seeks to invest in securities with attractive opportunities for appreciation or
investment income. The Fund's primary objective is total return in various
market conditions without excessive risk of capital loss.
(NO-LOAD) PORTFOLIO MANAGER: MARIO J. GABELLI, CFA

CONTRARIAN_________________________________
GABELLI MATHERS FUND
Seeks long-term capital appreciation in various market conditions without
excessive risk of capital loss. (CLASS AAA-NO-LOAD)
PORTFOLIO MANAGER: HENRY VAN DER EB, CFA

COMSTOCK CAPITAL VALUE FUND
Seeks capital appreciation and current income. The Fund may use either long or
short positions to achieve its objective.
(MULTICLASS) PORTFOLIO MANAGER: MARTIN WEINER, CFA

COMSTOCK STRATEGY FUND
The Fund emphasizes investments in debt securities, which maximize total return
in light of credit risk, interest rate risk, and the risk associated with the
length of maturity of the debt instrument. (MULTICLASS)
PORTFOLIO MANAGER: MARTIN WEINER, CFA

QUANTITATIVE_________________________________
NED DAVIS RESEARCH ASSET ALLOCATION FUND
Seeks to achieve returns greater then the weighted composite benchmark
consisting of 60% in the S&P 500 Index and 40% in the Lehman Long Term U.S.
Government Bond Index through a flexible asset allocation strategy. The Fund's
primary objective is capital appreciation. (MULTICLASS) TEAM MANAGED

FIXED INCOME ________________________________
WESTWOOD INTERMEDIATE BOND FUND
Seeks to invest in a diversified portfolio of bonds with various maturities. The
Fund's primary objective is total return.
(MULTICLASS) PORTFOLIO MANAGER: MARK FREEMAN, CFA

CASH MANAGEMENT-MONEY MARKET __________
GABELLI U.S. TREASURY MONEY MARKET FUND
Seeks to invest exclusively in short-term U.S. Treasury securities. The Fund's
primary objective is to provide high current income consistent with the
preservation of principal and liquidity. (NO-LOAD)
PORTFOLIO MANAGER: JUDITH A. RANERI

AN INVESTMENT IN THE ABOVE MONEY MARKET FUND IS NEITHER INSURED NOR GUARANTEED
BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY GOVERNMENT AGENCY. ALTHOUGH
THE FUND SEEKS TO PRESERVE THE VALUE OF YOUR INVESTMENT AT $1.00 PER SHARE, IT
IS POSSIBLE TO LOSE MONEY BY INVESTING IN THE FUND.

THE GLOBAL FUNDS INVEST IN FOREIGN SECURITIES WHICH INVOLVE RISKS NOT ORDINARILY
ASSOCIATED WITH INVESTMENTS IN DOMESTIC ISSUES, INCLUDING CURRENCY FLUCTUATION,
ECONOMIC AND POLITICAL RISKS.

TO RECEIVE A PROSPECTUS, CALL 800-GABELLI (422-3554). INVESTORS SHOULD CONSIDER
THE INVESTMENT OBJECTIVES, RISKS AND CHARGES AND EXPENSES OF THE FUND CAREFULLY
BEFORE INVESTING. THE PROSPECTUS CONTAINS MORE COMPLETE INFORMATION
ABOUT THIS AND OTHER MATTERS AND SHOULD BE READ CAREFULLY BEFORE INVESTING.

Gabelli Equity Series Funds, Inc.
THE GABELLI EQUITY INCOME FUND
One Corporate Center
Rye, New York 10580-1422
800-GABELLI
800-422-3554
FAX: 914-921-5118
WEBSITE: WWW.GABELLI.COM
E-MAIL: INFO@GABELLI.COM
Net Asset Value available daily by calling
800-GABELLI after 6:00 P.M.

BOARD OF DIRECTORS

Mario J. Gabelli, CFA Karl Otto Pohl
CHAIRMAN AND CHIEF FORMER PRESIDENT
EXECUTIVE OFFICER DEUTSCHE BUNDESBANK
GAMCO INVESTORS, INC.

Anthony J. Colavita Anthony R. Pustorino
ATTORNEY-AT-LAW CERTIFIED PUBLIC ACCOUNTANT
ANTHONY J. COLAVITA, P.C. PROFESSOR EMERITUS
PACE UNIVERSITY

Vincent D. Enright Anthonie C. van Ekris
FORMER SENIOR VICE PRESIDENT CHAIRMAN
AND CHIEF FINANCIAL OFFICER BALMAC INTERNATIONAL, INC.
KEYSPAN ENERGY CORP.

John D. Gabelli Salvatore J. Zizza
SENIOR VICE PRESIDENT CHAIRMAN
GABELLI & COMPANY, INC. HALLMARK ELECTRICAL
SUPPLIES CORP.

Robert J. Morrissey
ATTORNEY-AT-LAW
MORRISSEY, HAWKINS & LYNCH

OFFICERS

Bruce N. Alpert James E. McKee
PRESIDENT AND TREASURER SECRETARY

Peter D. Goldstein
CHIEF COMPLIANCE OFFICER

DISTRIBUTOR
Gabelli & Company, Inc.

CUSTODIAN, TRANSFER AGENT AND DIVIDEND AGENT
State Street Bank and Trust Company

LEGAL COUNSEL
Skadden, Arps, Slate, Meagher & Flom LLP

- --------------------------------------------------------------------------------
This report is submitted for the general information of the shareholders of The
Gabelli Equity Income Fund. It is not authorized for distribution to prospective
investors unless preceded or accompanied by an effective prospectus.
- --------------------------------------------------------------------------------

GAB444Q305SR

[GRAPHIC OMITTED]
PICTURE OF MARIO GABELLI

THE
GABELLI
EQUITY
INCOME
FUND
ANNUAL REPORT
SEPTEMBER 30, 2005

THE GABELLI WOODLAND SMALL CAP VALUE FUND

ANNUAL REPORT (A)
SEPTEMBER 30, 2005

TO OUR SHAREHOLDERS,

The Gabelli Woodland Small Cap Value Fund (the "Fund") outperformed its
small cap benchmark, the Russell 2000 Index, as well as other broad based market
indices for the twelve month period ended September 30, 2005. During this
period, the Fund rose 20.67% versus gains of 17.95% for the Russell 2000, 12.25%
for the Standard & Poor's 500 Index and 19.24% for the Value Line Composite
Index.

COMPARATIVE RESULTS
- --------------------------------------------------------------------------------
AVERAGE ANNUAL RETURNS THROUGH SEPTEMBER 30, 2005 (A)(B)
--------------------------------------------------------
Since Inception
Quarter 1 Year (12/31/02)
------- ------ ---------------
GABELLI WOODLAND SMALL CAP
VALUE FUND CLASS AAA ........... 4.13% 20.67% 17.19%
Russell 2000 Index ................ 4.69 17.95 23.86
S&P 500 Index ..................... 3.60 12.25 14.93
Value Line Composite Index ........ 4.88 19.24 24.28
Class A ........................... 4.12 20.76 17.22
(1.88)(c) 13.82(c) 14.73(c)
Class B ........................... 2.43 19.86 17.53
(2.57)(d) 14.86(d) 16.74(d)
Class C ........................... 3.97 19.91 16.49
2.97(d) 18.91(d) 16.49(d)
(a) THE FUND'S FISCAL YEAR ENDS SEPTEMBER 30.
(b) RETURNS REPRESENT PAST PERFORMANCE AND DO NOT GUARANTEE FUTURE RESULTS.
TOTAL RETURNS AND AVERAGE ANNUAL RETURNS REFLECT CHANGES IN SHARE PRICE AND
REINVESTMENT OF DIVIDENDS AND ARE NET OF EXPENSES. INVESTMENT RETURNS AND
THE PRINCIPAL VALUE OF AN INVESTMENT WILL FLUCTUATE. WHEN SHARES ARE
REDEEMED, THEY MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST.
PERFORMANCE RETURNS FOR PERIODS LESS THAN ONE YEAR ARE NOT ANNUALIZED.
CURRENT PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA
PRESENTED. VISIT WWW.GABELLI.COM FOR PERFORMANCE INFORMATION AS OF THE MOST
RECENT MONTH END. INVESTORS SHOULD CONSIDER THE INVESTMENT OBJECTIVES,
RISKS AND CHARGES AND EXPENSES OF THE FUND CAREFULLY BEFORE INVESTING. THE
PROSPECTUS CONTAINS MORE INFORMATION ABOUT THIS AND OTHER MATTERS AND
SHOULD BE READ CAREFULLY BEFORE INVESTING.
INVESTING IN SMALL CAPITALIZATION SECURITIES INVOLVES SPECIAL CHALLENGES
BECAUSE THESE SECURITIES MAY TRADE LESS FREQUENTLY AND EXPERIENCE MORE
ABRUPT PRICE MOVEMENTS THAN LARGE CAPITALIZATION SECURITIES. THE RUSSELL
2000 INDEX OF SMALL U.S. COMPANIES, THE S&P 500 INDEX OF THE LARGEST U.S.
COMPANIES, AND THE VALUE LINE COMPOSITE INDEX ARE UNMANAGED INDICATORS OF
STOCK MARKET PERFORMANCE.
(c) INCLUDES THE EFFECT OF THE MAXIMUM 5.75% SALES CHARGE AT THE BEGINNING OF
THE PERIOD.
(d) INCLUDES THE EFFECT OF THE APPLICABLE CONTINGENT DEFERRED SALES CHARGE AT
THE END OF THE PERIOD SHOWN FOR CLASS B AND CLASS C SHARES, RESPECTIVELY.
CLASS B SHARES ARE NOT AVAILABLE FOR NEW PURCHASES.
- --------------------------------------------------------------------------------

PERFORMANCE DISCUSSION
For the fiscal year ended September 30, 2005, the Fund outperformed the
Russell 2000. The Fund gained 20.7% versus a gain of 18.0% for the Russell 2000
Index. Calendar year-to-date the Fund is up 6.3% versus a gain of 3.4% for the
Russell 2000.

Last year when we wrote to you, the ongoing conflict in Iraq, the
Presidential election, and rising raw material costs were clearly the major
issues confronting the market. Over the past year, we have seen the "civil war"
in Iraq continue, raw material costs continue to increase, a dramatic rise in
fuel costs, the Federal Funds Rate increase by 175 bps, and two natural
disasters in the coast region. The dramatic rise in fuel costs has imposed a
"tax" that is putting a drag on overall consumer discretionary spending. It
always seems that the moment we solve/settle one problem another rises to take
its place. That is the long-term history of the market. We have and will
continue to deal with that reality.

During the past year we had several investments add to our overall
performance. The three biggest contributors were CNS, Inc., Office Depot, and
Texas Industries. CNS, Inc. rose 137% over the last twelve months. CNS, Inc.
benefited over the last year from a re-launch of the Clear Nasal Strip and
strong growth in Fiber Choice sales due to the introduction of two new Fiber
Choice products. Office Depot rose 98% over the last twelve months. Office Depot
had been going through a significant restructuring effort, which included
bringing in a new CEO, Steve Odland. The new management team redirected the
focus of the company toward margin expansion, free cash flow, and return on
invested capital. Texas Industries rose 73% over the last twelve months. As a
leading supplier of steel and cement, the management team realized the value of
the two businesses was more valuable operating as stand-alone companies and
therefore completed the spin-off of the steel business in July 2005.

We were not without our share of disappointments during the past year. The
biggest disappointment was Alloy Incorporated. Alloy is a media/marketing
services and direct marketing company that targets Generation Y. Alloy is in the
process of separating their two divisions and once completed we believe this
should create additional shareholder value.

[GRAPHIC OMITTED]
PLOT POINTS FOLLOW:

COMPARISON OF CHANGE IN VALUE OF A $10,000 INVESTMENT IN THE GABELLI
WOODLAND SMALL CAP VALUE FUND CLASS AAA AND THE RUSSELL 2000 INDEX

Gabelli Woodland Small
Cap Value Fund
(Class AAA) Russell 2000 Index
12/31/02 10,000 10,000
9/30/03 10,580 12,858
9/30/04 12,825 15,271
9/30/05 15,476 18,022

- --------------------------------------------------------------------------------
Average Annual Total Return*
- --------------------------------------------------------------------------------
Year Life of Fund
- --------------------------------------------------------------------------------
Class AAA 20.67% 17.19%
Russell 2000 17.95 23.86
- --------------------------------------------------------------------------------
*Past performance is not predictive of future results. The performance tables
and graph do not reflect the deduction of taxes that a shareholder would pay on
fund distributions or the redemption of fund shares.

THE GABELLI WOODLAND SMALL CAP VALUE FUND
DISCLOSURE OF FUND EXPENSES (UNAUDITED)
For the Six Month Period from April 1, 2005 through September 30, 2005
EXPENSE TABLE
- --------------------------------------------------------------------------------

The Expense Table below illustrates your Fund's costs in two ways:

Beginning Ending Annualized Expenses
Account Value Account Value Expense Paid During
04/01/05 09/30/05 Ratio Period*
- --------------------------------------------------------------------------------
GABELLI WOODLAND SMALL CAP VALUE FUND
- --------------------------------------------------------------------------------
ACTUAL FUND RETURN
Class AAA $1,000.00 $1,079.60 2.00% $10.43
Class A $1,000.00 $1,081.20 2.00% $10.43
Class B $1,000.00 $1,067.20 2.75% $14.25
Class C $1,000.00 $1,077.10 2.75% $14.32
HYPOTHETICAL 5% RETURN
Class AAA $1,000.00 $1,015.04 2.00% $10.10
Class A $1,000.00 $1,015.04 2.00% $10.10
Class B $1,000.00 $1,011.28 2.75% $13.87
Class C $1,000.00 $1,011.28 2.75% $13.87

- --------------------------------------------------------------------------------

SUMMARY OF PORTFOLIO HOLDINGS (UNAUDITED)

The following table presents portfolio holdings as a percent of total net
assets.

THE GABELLI WOODLAND SMALL CAP VALUE FUND

Diversified Industrial ............................. 16.1%
Health Care ........................................ 12.5%
U.S. Government Obligations ........................ 11.7%
Business Services .................................. 9.1%
Consumer Products .................................. 8.1%
Financial Services ................................. 7.2%
Food and Beverage .................................. 6.6%
Computer Software and Services ..................... 6.2%
Equipment and Supplies ............................. 4.2%
Hotels and Gaming .................................. 3.9%
Automotive: Parts and Accessories .................. 3.3%
Retail ............................................. 2.7%
Aerospace .......................................... 2.0%
Manufactured Housing and
Recreational Vehicles ........................... 1.8%
Entertainment ...................................... 1.8%
Transportation ..................................... 1.5%
Publishing ......................................... 1.2%
Energy and Utilities ............................... 1.2%
Specialty Chemicals ................................ 1.1%
Other Assets and Liabilities - Net ................. (2.2)%
------
100.0%
======

THE FUND FILES A COMPLETE SCHEDULE OF PORTFOLIO HOLDINGS WITH THE SEC FOR THE
FIRST AND THIRD QUARTERS OF EACH FISCAL YEAR ON FORM N-Q, THE LAST OF WHICH WAS
FILED FOR THE QUARTER ENDED JUNE 30, 2005. SHAREHOLDERS MAY OBTAIN THIS
INFORMATION AT WWW.GABELLI.COM OR BY CALLING THE FUND AT 800-GABELLI
(800-422-3554). THE FUND'S FORM N-Q IS AVAILABLE ON THE SEC'S WEBSITE AT
WWW.SEC.GOV AND MAY ALSO BE REVIEWED AND COPIED AT THE COMMISSION'S PUBLIC
REFERENCE ROOM IN WASHINGTON, DC. INFORMATION ON THE OPERATION OF THE PUBLIC
REFERENCE ROOM MAY BE OBTAINED BY CALLING 1-800-SEC-0330.

PROXY VOTING

THE GABELLI WOODLAND SMALL CAP VALUE FUND
SCHEDULE OF INVESTMENTS -- SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

MARKET
SHARES COST VALUE
------ ---- -------
COMMON STOCKS -- 90.5%
AEROSPACE -- 2.0%
3,305 Alliant Techsystems Inc.+ .........$ 98,271 $ 246,718
----------- -----------
AUTOMOTIVE: PARTS AND ACCESSORIES -- 3.3%
6,440 CLARCOR Inc. ...................... 166,188 184,957
5,550 Modine Manufacturing Co. .......... 156,803 203,574
1,279 Proliance International Inc.+ ..... 6,475 7,009
----------- -----------
329,466 395,540
----------- -----------
BUSINESS SERVICES -- 9.1%
9,890 Adesa Inc. ........................ 142,360 218,569
11,690 Bowne & Co. Inc. .................. 140,939 167,050
5,100 Fair Isaac Corp. .................. 155,799 228,480
4,410 HNI Corp. ......................... 126,418 265,570
5,540 The Brink's Co. ................... 97,220 227,473
----------- -----------
662,736 1,107,142
----------- -----------
COMPUTER SOFTWARE AND SERVICES -- 6.2%
3,510 Harland Co., John H. .............. 106,307 155,844
8,886 Intergraph Corp.+ ................. 177,657 397,293
23,500 Stellent Inc.+ .................... 185,136 201,395
----------- -----------
469,100 754,532
----------- -----------
CONSUMER PRODUCTS -- 8.1%
5,750 Alberto-Culver Co. ................ 161,906 257,312
4,050 Brunswick Corp. ................... 103,185 152,807
4,825 Church & Dwight Co. Inc. .......... 103,988 178,236
4,030 CNS Inc. .......................... 44,642 105,062
7,115 Jarden Corp.+ ..................... 125,234 292,213
----------- -----------
538,955 985,630
----------- -----------
DIVERSIFIED INDUSTRIAL -- 16.1%
4,730 Albany International Corp.,
Cl. A .......................... 93,596 174,395
13,600 Apogee Enterprises Inc. ........... 144,047 232,560
3,380 Carlisle Companies Inc. ........... 166,843 214,866
7,680 EnPro Industries Inc.+ ............ 211,911 258,739
1,580 ESCO Technologies Inc.+ ........... 44,154 79,111
11,530 Griffon Corp.+ .................... 195,005 283,638
11,995 Material Sciences Corp.+ .......... 126,193 180,765
9,820 Pentair Inc. ...................... 189,152 358,430
3,140 Texas Industries Inc. ............. 61,829 170,816
----------- -----------
1,232,730 1,953,320
----------- -----------
ENERGY AND UTILITIES -- 1.2%
3,129 ALLETE Inc. ....................... 89,274 143,340
----------- -----------
ENTERTAINMENT -- 1.8%
44,130 Alloy Inc.+ ....................... 279,961 213,589
----------- -----------
EQUIPMENT AND SUPPLIES -- 4.2%
6,190 Tennant Co. ....................... 229,508 253,666
6,950 Toro Co. .......................... 177,221 255,482
----------- -----------
406,729 509,148
----------- -----------
FINANCIAL SERVICES -- 7.2%
13,910 BISYS Group Inc.+ ................. 207,147 186,811
13,340 NewAlliance Bancshares Inc. ....... 198,785 195,298
11,200 TCF Financial Corp. ............... 170,837 299,600
14,570 USI Holdings Corp.+ ............... 183,063 189,264
----------- -----------
759,832 870,973
----------- -----------

MARKET
SHARES COST VALUE
------ ---- -------
FOOD AND BEVERAGE -- 6.6%
19,080 Del Monte Foods Co.+ ..............$ 167,172 $ 204,728
5,030 PepsiAmericas Inc. ................ 78,366 114,332
9,940 Triarc Companies Inc., Cl. A ...... 84,076 166,992
20,200 Triarc Companies Inc., Cl. B ...... 188,230 308,454
----------- -----------
517,844 794,506
----------- -----------
HEALTH CARE -- 12.5%
2,013 Fisher Scientific
International Inc.+ ............. 74,583 124,907
6,010 Immucor Inc.+ ..................... 154,878 164,914
5,380 Laboratory Corporation of
America Holdings+ ............... 168,056 262,060
13,782 Lifecore Biomedical Inc.+ ......... 121,662 166,624
6,100 PolyMedica Corp. .................. 185,223 213,134
11,330 Possis Medical Inc.+ .............. 134,469 124,177
6,700 SurModics Inc.+ ................... 149,451 259,223
6,990 West Pharmaceutical
Services Inc. ................... 185,692 207,393
----------- -----------
1,174,014 1,522,432
----------- -----------
HOTELS AND GAMING -- 3.9%
6,600 Gaylord Entertainment Co.+ ........ 163,507 314,490
5,550 Vail Resorts Inc.+ ................ 94,663 159,563
----------- -----------
258,170 474,053
----------- -----------
MANUFACTURED HOUSING AND RECREATIONAL VEHICLES -- 1.8%
15,050 Champion Enterprises Inc.+ ........ 159,848 222,439
----------- -----------
PUBLISHING -- 1.2%
10,050 Journal Communications Inc.,
Cl. A ........................... 174,888 149,745
----------- -----------
RETAIL -- 2.7%
14,920 Gander Mountain Co.+ .............. 178,135 134,131
6,690 Office Depot Inc.+ ................ 82,421 198,693
----------- -----------
260,556 332,824
----------- -----------
SPECIALTY CHEMICALS -- 1.1%
2,990 Cytec Industries Inc. ............. 90,329 129,706
----------- -----------
TRANSPORTATION -- 1.5%
7,260 Laidlaw International Inc. ........ 121,759 175,474
----------- -----------
TOTAL COMMON STOCKS ............... 7,624,462 10,981,111
----------- -----------
PRINCIPAL
AMOUNT
--------
U.S. GOVERNMENT OBLIGATIONS -- 11.7%
$1,436,000 U.S. Treasury Bills,
3.018% to 3.825%++,
10/20/05 to 03/09/06 ............ 1,426,611 1,426,995
----------- -----------
TOTAL
INVESTMENTS -- 102.2% ...........$ 9,051,073 12,408,106
===========
OTHER ASSETS AND LIABILITIES (NET) -- (2.2)% ... (272,269)
-----------
NET ASSETS -- 100.0% ...........................$12,135,837
===========
- ----------------
+ Non-income producing security.
++ Represents annualized yield at date of purchase.

See accompanying notes to financial statements.

THE GABELLI WOODLAND SMALL CAP VALUE FUND

STATEMENT OF ASSETS AND LIABILITIES
SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

ASSETS:
Investments, at value (cost $9,051,073) .................... $12,408,106
Receivable for Fund shares sold ............................ 21,701
Dividends receivable ....................................... 1,258
Other assets ............................................... 276
-----------
TOTAL ASSETS ............................................... 12,431,341
-----------
LIABILITIES:
Payable for investments purchased .......................... 242,839
Payable for legal and audit fees ........................... 32,556
Payable for investment advisory fees ....................... 4,012
Payable for distribution fees .............................. 2,495
Payable for Fund shares redeemed ........................... 1,171
Payable to custodian ....................................... 168
Other accrued expenses ..................................... 12,263
-----------
TOTAL LIABILITIES .......................................... 295,504
-----------
NET ASSETS applicable to 829,292
shares outstanding ....................................... $12,135,837
===========
NET ASSETS CONSIST OF:
Capital stock, each class at $0.001 par value .............. $ 829
Additional paid-in capital ................................. 8,000,445
Accumulated net realized gain on investments ............... 777,530
Net unrealized appreciation on investments ................. 3,357,033
-----------
NET ASSETS ................................................. $12,135,837
===========
SHARES OF CAPITAL STOCK:
CLASS AAA:
Net Asset Value, offering and redemption price
per share ($11,839,123 / 808,807 shares
outstanding; 100,000,000 shares authorized) .............. $14.64
======
CLASS A:
Net Asset Value and redemption price per share
($107,668 / 7,348 shares outstanding;
50,000,000 shares authorized) ............................ $14.65
======
Maximum offering price per share (NAV / .9425,
based on maximum sales charge of 5.75% of
the offering price) ...................................... $15.54
======
CLASS B:
Net Asset Value and offering price per share
($156 / 10.56 shares outstanding; 50,000,000
shares authorized) ....................................... $14.77(a)
======
CLASS C:
Net Asset Value and offering price per
share ($188,890 / 13,126 shares outstanding;
50,000,000 shares authorized) ............................ $14.39(a)
======

- -------------------
(a) Redemption price varies based on length of time held.

STATEMENT OF OPERATIONS
FOR THE YEAR ENDED SEPTEMBER 30, 2005
- --------------------------------------------------------------------------------

INVESTMENT INCOME:
Dividends ................................................. $ 66,412
Interest .................................................. 9,629
-----------
TOTAL INVESTMENT INCOME ................................... 76,041
-----------
EXPENSES:
Investment advisory fees .................................. 62,004
Distribution fees -- Class AAA ............................ 15,164
Distribution fees -- Class A .............................. 199
Distribution fees -- Class B .............................. 1
Distribution fees -- Class C .............................. 549
Legal and audit fees ...................................... 29,198
Registration fees ......................................... 27,755
Shareholder communications expenses ....................... 21,039
Shareholder services fees ................................. 14,560
Custodian fees ............................................ 10,570
Directors' fees ........................................... 367
Miscellaneous expenses .................................... 4,879
-----------
TOTAL EXPENSES BEFORE FEES WAIVED AND
EXPENSES REIMBURSED BY ADVISER .......................... 186,285
-----------
Fees waived and expenses reimbursed
by Adviser .............................................. (61,198)
Less: Custodian fee credits ............................... (413)
-----------
TOTAL EXPENSES -- NET ..................................... 124,674
-----------
NET INVESTMENT LOSS ....................................... (48,633)
-----------
NET REALIZED AND UNREALIZED GAIN ON INVESTMENTS:
Net realized gain on investments .......................... 837,195
Net change in unrealized appreciation/
depreciation on investments ............................. 284,720
-----------
NET REALIZED AND UNREALIZED GAIN
ON INVESTMENTS .......................................... 1,121,915
-----------
NET INCREASE IN NET ASSETS RESULTING
FROM OPERATIONS ......................................... $ 1,073,282
===========

See accompanying notes to financial statements.

THE GABELLI WOODLAND SMALL CAP VALUE FUND

STATEMENT OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------

YEAR ENDED YEAR ENDED
SEPTEMBER 30, 2005 SEPTEMBER 30, 2004
------------------ ------------------
OPERATIONS:
Net investment loss .................... $ (48,633) $ (33,845)
Net realized gain on investments ....... 837,195 251,438
Net change in unrealized appreciation/
depreciation on investments ......... 284,720 302,913
------------ ------------
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS ........ 1,073,282 520,506
------------ ------------
DISTRIBUTIONS TO SHAREHOLDERS:
Net realized gain on investments
Class AAA ............................ (216,521) (6,975)
Class A .............................. (3,450) (29)
Class B .............................. (7) (1)
Class C .............................. (2,367) (362)
------------ ------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS .... (222,345) (7,367)
------------ ------------
CAPITAL SHARE TRANSACTIONS:
Class AAA ............................ 7,618,024 573,650
Class A .............................. 50,032 41,636
Class B .............................. 8 --
Class C .............................. 140,546 (97,250)
------------ ------------
NET INCREASE IN NET ASSETS FROM
CAPITAL SHARE TRANSACTIONS .......... 7,808,610 518,036
------------ ------------
REDEMPTION FEES ........................ 60 --
------------ ------------
NET INCREASE IN NET ASSETS ............. 8,659,607 1,031,175
NET ASSETS:
Beginning of period .................... 3,476,230 2,445,055
------------ ------------
End of period .......................... $ 12,135,837 $ 3,476,230
============ ============

See accompanying notes to financial statements.

THE GABELLI WOODLAND SMALL CAP VALUE FUND
NOTES TO FINANCIAL STATEMENTS
- --------------------------------------------------------------------------------

1. ORGANIZATION. The Gabelli Woodland Small Cap Value Fund (the "Fund") is a
series of Gabelli Equity Series Funds, Inc. (the "Corporation"), which was
organized on July 25, 1991 as a Maryland corporation. The Fund is a
non-diversified open-end management investment company registered under the
Investment Company Act of 1940, as amended (the "1940 Act"), and one of three
separately managed portfolios (collectively, the "Portfolios") of the
Corporation, each with four separate classes of shares outstanding known as
Class AAA, Class A, Class B and Class C. The Fund's primary objective is capital
appreciation. The Fund commenced investment operations on December 31, 2002.

THE GABELLI WOODLAND SMALL CAP VALUE FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------

REPURCHASE AGREEMENTS. The Fund may enter into repurchase agreements with
primary government securities dealers recognized by the Federal Reserve Board,
with member banks of the Federal Reserve System or with other brokers or dealers
that meet credit guidelines established by the Adviser and reviewed by the
Board. Under the terms of a typical repurchase agreement, the Fund takes
possession of an underlying debt obligation subject to an obligation of the
seller to repurchase, and the Fund to resell, the obligation at an agreed-upon
price and time, thereby determining the yield during the Fund's holding period.
The Fund will always receive and maintain securities as collateral whose market
value, including accrued interest, will be at least equal to 102% of the dollar
amount invested by the Fund in each agreement. The Fund will make payment for
such securities only upon physical delivery or upon evidence of book entry
transfer of the collateral to the account of the custodian. To the extent that
any repurchase transaction exceeds one business day, the value of the collateral
is marked-to-market on a daily basis to maintain the adequacy of the collateral.
If the seller defaults and the value of the collateral declines or if bankruptcy
proceedings are commenced with respect to the seller of the security,
realization of the collateral by the Fund may be delayed or limited.

CUSTODIAN FEE CREDITS. When cash balances are maintained in the custody account,
the Fund receives credits which are used to offset custodian fees. The gross
expenses paid under the custodian arrangement are included in custodian fees in
the Statement of Operations with the corresponding expense offset shown as
"custodian fee credits".

THE GABELLI WOODLAND SMALL CAP VALUE FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------

For the fiscal year ended September 30, 2005, reclassifications were made to
decrease accumulated net investment loss by $48,633 and decrease accumulated net
realized gain on investments by $38,448, with an offsetting adjustment to
additional paid-in capital.

The tax character of distributions paid during the fiscal years ended September
30, 2005 and September 30, 2004 were as follows:

FISCAL YEAR ENDED FISCAL YEAR ENDED
SEPTEMBER 30, 2005 SEPTEMBER 30, 2004
------------------ ------------------
DISTRIBUTIONS PAID FROM:
Ordinary income
(inclusive of short-term
capital gains) .................. $188,894 $7,367
Net long-term capital gains ....... 33,451 --
-------- ------
Total distributions paid .......... $222,345 $7,367
======== ======

As of September 30, 2005, the components of accumulated earnings/(losses) on a
tax basis were as follows:

Undistributed long-term capital gains ......... $ 813,020
Net unrealized appreciation ................... 3,321,543
----------
Total accumulated earnings .................. $4,134,563
==========

The difference between book and tax basis unrealized appreciation is primarily
due to deferral of losses from wash sales for tax purposes.

THE GABELLI WOODLAND SMALL CAP VALUE FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------

The following summarizes the tax cost of investments and related unrealized
appreciation/depreciation at September, 30, 2005:

GROSS GROSS NET UNREALIZED
UNREALIZED UNREALIZED APPRECIATION/
COST APPRECIATION DEPRECIATION (DEPRECIATION)
---------- ---------- ---------- ----------
Investments .... $9,086,563 $3,526,665 $(205,122) $3,321,543

3. INVESTMENT ADVISORY AGREEMENT. The Fund has entered into an investment
advisory agreement (the "Advisory Agreement") with the Adviser which provides
that the Fund will pay the Adviser a fee, computed daily and paid monthly, at
the annual rate of 1.00% of the value of its average daily net assets. In
accordance with the Advisory Agreement, the Adviser provides a continuous
investment program for the Fund's portfolio, oversees the administration of all
aspects of the Fund's business and affairs and pays the compensation of all
Officers and Directors of the Fund who are affiliated persons of the Adviser.
The Adviser has agreed to waive its fees and reimburse expenses of the Fund to
the extent necessary to maintain the annualized total operating expenses at
2.00%, 2.00%, 2.75% and 2.75% of average daily net assets for Class AAA, Class
A, Class B and Class C Shares, respectively. For the fiscal year ended September
30, 2005, the Adviser reimbursed the Fund in the amount of $61,198. The Fund is
obliged to repay the Adviser for a period of two fiscal years following the
fiscal year in which the Adviser reimbursed the Fund only to the extent that the
operating expenses of the Fund fall below 2.00%, 2.00%, 2.75% and 2.75% on an
annualized basis of average daily net assets for Class AAA, Class A, Class B and
Class C, respectively. The cumulative amount for which the Fund may repay the
adviser is $176,216.

5. PORTFOLIO SECURITIES. Purchases and proceeds from the sales of securities for
the fiscal year ended September 30, 2005, other than short-term securities,
aggregated $2,195,520 and $2,470,369, respectively.

6. TRANSACTIONS WITH AFFILIATES. During the fiscal year ended September 30,
2005, the Fund paid brokerage commissions of $216 to Gabelli & Company.
Additionally, Gabelli & Company informed the Fund that it received $1,687 from
investors representing commissions (sales charges and underwriting fees) on
sales and redemptions of Fund shares.

7. LINE OF CREDIT. The Fund has access to an unsecured line of credit of up to
$25,000,000 from the custodian for temporary borrowing purposes. Borrowings
under this agreement bear interest at 0.75% above the Federal Funds rate on
outstanding balances. At September 30, 2005, there were no borrowings
outstanding from the line of credit.

The average daily amount of borrowings outstanding from the line of credit
within the fiscal year ended September 30, 2005 was $5,589 with a weighted
average interest rate of 4.02%. The maximum amount borrowed at any time during
the fiscal year ended September 30, 2005 was $231,000.

THE GABELLI WOODLAND SMALL CAP VALUE FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------

8. REORGANIZATION. On June 30, 2005, the Fund acquired all of the net assets of
the FMI Woodland Small Capitalization Value Fund pursuant to a Plan of
Reorganization approved by the FMI Woodland Small Capitalization Value Fund on
June 28, 2005. The acquisition was accomplished by a tax-free exchange of
507,152 Class AAA Shares of the Fund valued at $7,153,355 for the net assets of
the FMI Woodland Small Capitalization Value Fund on June 29, 2005. FMI Woodland
Small Capitalization Value Fund's net assets of $7,153,355, including $2,609,903
of unrealized appreciation, were combined with those of the Fund on June 30,
2005. The net assets of the Fund immediately before the acquisition were
$4,888,669.

9. CAPITAL STOCK TRANSACTIONS. The Fund currently offers four classes of
shares--Class AAA Shares, Class A Shares, Class B Shares and Class C Shares.
Class AAA Shares are offered only to investors who acquire them directly from
Gabelli & Company or through selected broker/dealers without a sales charge.
Class A Shares are subject to a maximum front-end sales charge of 5.75%. Class B
Shares are subject to a contingent deferred sales charge ("CDSC") upon
redemption within six years of purchase and automatically convert to Class A
Shares after eight years from the original purchase. The applicable CDSC is
equal to a declining percentage of the lesser of the net asset value per share
at the date of the original purchase or at the date of redemption, based on the
length of time held. Class C Shares are subject to a 1% CDSC for one year after
purchase. As of July 27, 2004, Class B Shares are available only through
exchange of Class B Shares of other Funds distributed by Gabelli & Company. The
Board has approved Class I Shares which have not been offered publicly.

THE GABELLI WOODLAND SMALL CAP VALUE FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- --------------------------------------------------------------------------------

Transactions in shares of capital stock were as follows:

YEAR ENDED YEAR ENDED
SEPTEMBER 30, 2005 SEPTEMBER 30, 2004
------------------------ ----------------------
SHARES AMOUNT SHARES AMOUNT
-------- ----------- ------- ----------
CLASS AAA CLASS AAA
------------------------ ----------------------

Shares sold ............................................... 171,431 $ 2,401,287 125,294 $1,550,393
Shares issued in connection with reorganization of
FMI Woodland Small Capitalization Value Fund ............ 507,152 7,153,355
Shares issued upon reinvestment of dividends .............. 15,770 212,423 579 6,880
Shares redeemed ........................................... (150,391) (2,149,041) (80,708) (983,623)
-------- ----------- ------- ----------
Net increase ............................................ 543,962 $ 7,618,024 45,165 $ 573,650
======== =========== ======= ==========
CLASS A CLASS A
------------------------ ----------------------
Shares sold ............................................... 3,409 $ 46,582 3,366 $ 41,607
Shares issued upon reinvestment of dividends .............. 256 3,450 2 29
Shares redeemed ........................................... -- -- -- --
-------- ----------- ------- ----------
Net increase ............................................ 3,665 $ 50,032 3,368 $ 41,636
======== =========== ======= ==========
CLASS B CLASS B
------------------------ ----------------------
Shares sold ............................................... -- -- -- --
Shares issued upon reinvestment of dividends .............. 0* $ 8 -- --
Shares redeemed ........................................... -- -- -- --
-------- ----------- ------- ----------
Net increase ............................................ 0 $ 8 -- --
======== =========== ======= ==========
CLASS C CLASS C
------------------------ ----------------------
Shares sold ............................................... 9,708 $ 138,179 31 $ 362
Shares issued upon reinvestment of dividends .............. 178 2,367 -- --
Shares redeemed ........................................... -- -- (7,997) (97,612)
-------- ----------- ------- ----------
Net increase / (decrease) ............................... 9,886 $ 140,546 (7,966) $ (97,250)
======== =========== ======= ==========

- ----------------
* Share rounded to less than 1.0 shares.

THE GABELLI WOODLAND SMALL CAP VALUE FUND
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------

Selected data for a share of capital stock outstanding throughout each period:

INCOME
FROM INVESTMENT OPERATIONS DISTRIBUTIONS
--------------------------------------------------- --------------------------
Net
Net Asset Net Realized and Total Net
Period Value, Investment Unrealized from Realized
Ended Beginning Income/ Gain/(Loss) on Investment Gain on Total
September 30 of Period (Loss)(d) Investments Operations Investments Distributions
- ------------ --------- --------- ----------- ---------- ----------- -------------

CLASS AAA
2005 $12.79 $(0.11) $2.69 $2.58 $(0.73) $(0.73)
2004 10.58 (0.14) 2.38 2.24 (0.03) (0.03)
2003(a) 10.00 (0.07) 0.65 0.58 -- --
CLASS A
2005 $12.79 $(0.09) $2.68 $2.59 $(0.73) $(0.73)
2004 10.57 (0.14) 2.39 2.25 (0.03) (0.03)
2003(a) 10.00 (0.07) 0.64 0.57 -- --
CLASS B
2005 $12.98 $(0.21) $2.73 $2.52 $(0.73) $(0.73)
2004 10.59 0.02 2.40 2.42 (0.03) (0.03)
2003(a) 10.00 (0.12) 0.71 0.59 -- --
CLASS C
2005 $12.66 $(0.20) $2.66 $2.46 $(0.73) $(0.73)
2004 10.55 (0.23) 2.37 2.14 (0.03) (0.03)
2003(a) 10.00 (0.11) 0.66 0.55 -- --

RATIOS TO AVERAGE NET ASSETS/SUPPLEMENTAL DATA
-------------------------------------------------------------
Expenses Expenses
Net Asset Net Assets Net of Before
Period Value, End of Net Waivers/ Waivers/ Portfolio
Ended Redemption End of Total Period Investment Reimburse- Reimburse- Turnover
September 30 Fees(d) Period Return+ (in 000's) Income/(Loss) ments ments(c) Rate
- ------------ ---------- ------ ------- ---------- ------------- ---------- ---------- ---------

CLASS AAA
2005 $0.00(e) $14.64 20.67% $11,839 (0.78)% 2.01%(f) 2.99% 35%
2004 -- 12.79 21.22 3,388 (1.14) 2.00 5.94 45
2003(a) -- 10.58 5.80 2,323 (0.97)(b) 2.00(b) 15.05(b) 39
CLASS A
2005 $0.00(e) $14.65 20.76% $ 108 (0.68)% 2.01%(f) 3.17% 35%
2004 -- 12.79 21.34 47 (1.16) 2.00 5.94 45
2003(a) -- 10.57 5.70 3 (0.97)(b) 2.00(b) 15.05(b) 39
CLASS B
2005 $0.00(e) $14.77 19.86% $ 0.1 (1.50)% 2.75%(f) 3.87% 35%
2004 -- 12.98 22.91 0.1 0.18 2.75 6.69 45
2003(a) -- 10.59 5.90 0.1 (1.72)(b) 2.75(b) 15.80(b) 39
CLASS C
2005 $0.00(e) $14.39 19.91% $ 189 (1.46)% 2.76%(f) 3.87% 35%
2004 -- 12.66 20.33 41 (1.88) 2.75 6.69 45
2003(a) -- 10.55 5.50 118 (1.72)(b) 2.75(b) 15.80(b) 39

- -------------------
+ Total return represents aggregate total return of a hypothetical $1,000
investment at the beginning of the period and sold at the end of the period
including reinvestment of dividends and does not reflect applicable sales
charges. Total return for the period of less than one year is not
annualized.
(a) From commencement of investment operations on December 31, 2002 through
September 30, 2003.
(b) Annualized.
(c) During the period, expenses were voluntarily reduced and/or reimbursed.
If such fee reductions and/or reimbursements had not occurred, the ratio
would have been as shown.
(d) Per share amounts have been calculated using the average shares outstanding
method.
(e) Amount represents less than $0.005 per share.
(f) The ratios do not include a reduction of expenses for custodian fee credits
on cash balances maintained with the custodian. Including such custodian fee
credits, the expense ratios for the fiscal year ended September 30, 2005
would have been 2.00%, 2.00%, 2.75% and 2.75% for Class AAA, Class A, Class
B and Class C, respectively.

See accompanying notes to financial statements.

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
- --------------------------------------------------------------------------------

To the Shareholders and Board of Directors of
The Gabelli Woodland Small Cap Value Fund

We have audited the accompanying statement of assets and liabilities, including
the schedule of investments, of The Gabelli Woodland Small Cap Value Fund (the
"Fund"), a series of Gabelli Equity Series Funds, Inc., as of September 30,
2005, and the related statement of operations for the year then ended, the
statements of changes in net assets for each of the two years in the period then
ended, and the financial highlights for each of the periods indicated therein.
These financial statements and financial highlights are the responsibility of
the Fund's management. Our responsibility is to express an opinion on these
financial statements and financial highlights based on our audits.

In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of The
Gabelli Woodland Small Cap Value Fund, a series of Gabelli Equity Series Funds,
Inc., at September 30, 2005, the results of its operations for the year then
ended, the changes in its net assets for each of the two years in the period
then ended, and the financial highlights for each of the periods indicated
therein, in conformity with U.S. generally accepted accounting principles.

/s/ ERNST & YOUNG LLP

Philadelphia, Pennsylvania
November 11, 2005

THE GABELLI WOODLAND SMALL CAP VALUE FUND
ADDITIONAL FUND INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------

The business and affairs of the Fund are managed under the direction of the
Fund's Board of Directors. Information pertaining to the Directors and officers
of the Fund is set forth below. The Fund's Statement of Additional Information
includes additional information about The Gabelli Woodland Small Cap Value
Fund's Directors and is available, without charge, upon request, by calling
800-GABELLI (800-422-3554) or by writing to The Gabelli Woodland Small Cap Value
Fund at One Corporate Center, Rye, NY 10580-1422.

INTERESTED DIRECTORS 4:
- ----------------------
MARIO J. GABELLI Since 1991 24 Chairman of the Board and Chief Executive Director of Morgan Group
Director and Officer of GAMCO Investors, Inc. and Holdings, Inc.
Chief Investment Officer Chief Investment Officer-Value Portfolios (holding company)
Age: 63 of Gabelli Funds, LLC and GAMCO Asset
Management Inc.; Chairman and Chief
Executive Officer of Lynch Interactive
Corporation (multimedia and services)

JOHN D. GABELLI Since 1991 10 Senior Vice President of Gabelli & Company, --
Director Inc.; Director of Gabelli Advisers, Inc.
Age: 61

KARL OTTO POHL 5 Since 1992 35 Member of the Shareholder Committee of Sal Director of GAMCO Investors,
Director Oppenheim Jr. & Cie (private investment Inc. (investment management);
Age: 75 bank); Former President of the Chairman, InCentive Capital
Deutsche Bundesbank and Chairman of its and InCentive Asset Management
Central Bank Council (1980-1991) (Zurich); Director at Sal
Oppenheim Jr. & Cie, Zurich

NON-INTERESTED DIRECTORS:
- ------------------------
ANTHONY J. COLAVITA Since 1991 37 Partner in the law firm of --
Director Anthony J. Colavita, P.C.
Age: 69

ROBERT J. MORRISSEY Since 1991 10 Partner in the law firm of Morrissey, --
Director Hawkins & Lynch
Age: 66

ANTHONY R. PUSTORINO Since 1991 17 Certified Public Accountant; Professor Director of Lynch Corporation
Director Emeritus, Pace University (diversified manufacturing)
Age: 80

ANTHONIE C. VAN EKRIS Since 1991 21 Chairman of BALMAC International, Inc. Director of Aurado
Director (commodities and futures trading) Energy Inc. (oil and
Age: 71 gas operations)

SALVATORE J. ZIZZA Since 2001 25 Chairman, Hallmark Electrical Director of Hollis Eden
Director Supplies Corp. Pharmaceuticals; Director
Age: 59 of Earl Scheib, Inc.
(automotive services)

THE GABELLI WOODLAND SMALL CAP VALUE FUND
ADDITIONAL FUND INFORMATION (UNAUDITED) (CONTINUED)
- --------------------------------------------------------------------------------

- ------------------
1 Address: One Corporate Center, Rye, NY 10580-1422, unless otherwise noted.
2 Each Director will hold office for an indefinite term until the earliest of
(i) the next meeting of shareholders, if any, called for the purpose of
considering the election or re-election of such Director and until the
election and qualification of his or her successor, if any, elected at such
meeting, or (ii) the date a Director resigns or retires, or a Director is
removed by the Board of Directors or shareholders, in accordance with the
Fund's By-Laws and Articles of Incorporation. The Gabelli Woodland Small Cap
Value Fund is a series of Gabelli Equity Series Funds, Inc., which was
organized on July 25, 1991.The Fund commenced investment operations on
December 31, 2002. Each officer will hold office for an indefinite term until
the date he or she resigns or retires or until his or her successor is
elected and qualified.
3 This column includes only directorships of companies required to report to
the SEC under the Securities Exchange Act of 1934 (i.e. public companies) or
other investment companies registered under the 1940 Act.
4 "Interested person" of the Fund as defined in the Investment Company Act of
1940. Messrs. Gabelli, Gabelli and Pohl are each considered an "interested
person" because of their affiliation with Gabelli Funds, LLC which acts as
each Fund's investment adviser. Mario J. Gabelli and John D. Gabelli are
brothers.
5 Effective November 15, 2005, Mr. Pohl resigned from the Board of Directors
and now serves as Director Emeritus.

- --------------------------------------------------------------------------------
2005 TAX NOTICE TO SHAREHOLDERS (Unaudited)

For the fiscal year ended September 30, 2005, the Fund paid to Class AAA,
Class A, Class B and Class C shareholders, on December 20, 2004 an ordinary
income dividend (comprised of short-term capital gains) totaling $0.6208 and
long-term capital gains totaling $0.1099 per share. For the fiscal year ended
September 30, 2005, 0.00% of the ordinary income dividend qualifies for the
dividend received deduction available to corporations and 35.15% of the
ordinary income distribution was qualifying dividend income. An estimate of
qualified dividend income of $66,403 was received by the Fund through
September 30, 2005 that qualifies for a reduced tax rate pursuant to the Jobs
and Growth Tax Relief Reconciliation Act of 2003.
- --------------------------------------------------------------------------------

- --------------------------------------------------------------------------------
GABELLI FUNDS AND YOUR PERSONAL PRIVACY
- --------------------------------------------------------------------------------
WHO ARE WE?
The Gabelli Funds are investment companies registered with the Securities
and Exchange Commission under the Investment Company Act of 1940. We are
managed by Gabelli Funds, LLC, and Gabelli Advisers, Inc. which are
affiliated with GAMCO Investors, Inc. GAMCO Investors, Inc. is a
publicly-held company that has subsidiaries that provide investment
advisory or brokerage services for a variety of clients.

WHAT KIND OF NON-PUBLIC INFORMATION DO WE COLLECT ABOUT YOU IF YOU BECOME A
GABELLI CUSTOMER?
If you apply to open an account directly with us, you will be giving us
some non-public information about yourself. The non-public information we
collect about you is:
o INFORMATION YOU GIVE US ON YOUR APPLICATION FORM. This could include
your name, address, telephone number, social security number, bank
account number, and other information.

o INFORMATION ABOUT YOUR TRANSACTIONS WITH US, ANY TRANSACTIONS WITH OUR
AFFILIATES AND TRANSACTIONS WITH THE ENTITIES WE HIRE TO PROVIDE
SERVICES TO YOU. This would include information about the shares that
you buy or redeem, and the deposits and withdrawals that you make. If
we hire someone else to provide services--like a transfer agent--we
will also have information about the transactions that you conduct
through them.

WHAT INFORMATION DO WE DISCLOSE AND TO WHOM DO WE DISCLOSE IT?
We do not disclose any non-public personal information about our customers
or former customers to anyone, other than our affiliates, our service
providers who need to know such information and as otherwise permitted by
law. If you want to find out what the law permits, you can read the privacy
rules adopted by the Securities and Exchange Commission. They are in volume
17 of the Code of Federal Regulations, Part 248. The Commission often posts
information about its regulations on its web site, www.sec.gov.

WHAT DO WE DO TO PROTECT YOUR PERSONAL INFORMATION?
We restrict access to non-public personal information about you to the
people who need to know that information in order to provide services to
you or the Fund and to ensure that we are complying with the laws governing
the securities business. We maintain physical, electronic, and procedural
safeguards to keep your personal information confidential.
- --------------------------------------------------------------------------------

GABELLI FAMILY OF FUNDS

GABELLI UTILITIES FUND
Seeks to provide a high level of total return through a combination of capital
appreciation and current income. (MULTICLASS) TEAM MANAGED

COMSTOCK CAPITAL VALUE FUND
Seeks capital appreciation and current income. The Fund may use either long or
short positions to achieve its objective.
(MULTICLASS) PORTFOLIO MANAGER: MARTIN WEINER, CFA

THE GLOBAL FUNDS INVEST IN FOREIGN SECURITIES WHICH INVOLVE RISKS NOT ORDINARILY
ASSOCIATED WITH INVESTMENTS IN DOMESTIC ISSUES, INCLUDING CURRENCY FLUCTUATION,
ECONOMIC AND POLITICAL RISKS.

Gabelli Equity Series Funds, Inc.
THE GABELLI WOODLAND SMALL CAP VALUE FUND
One Corporate Center
Rye, New York 10580-1422
800-GABELLI
800-422-3554
FAX: 914-921-5118
WEBSITE: WWW.GABELLI.COM
E-MAIL: INFO@GABELLI.COM
Net Asset Value available daily by calling
800-GABELLI after 6:00 P.M.

BOARD OF DIRECTORS
Mario J. Gabelli, CFA Karl Otto Pohl
CHAIRMAN AND CHIEF FORMER PRESIDENT
EXECUTIVE OFFICER DEUTSCHE BUNDESBANK
GAMCO INVESTORS, INC.

Anthony J. Colavita Anthony R. Pustorino
ATTORNEY-AT-LAW CERTIFIED PUBLIC ACCOUNTANT
ANTHONY J. COLAVITA, P.C. PROFESSOR EMERITUS
PACE UNIVERSITY

Vincent D. Enright Anthonie C. van Ekris
FORMER SENIOR VICE PRESIDENT CHAIRMAN
AND CHIEF FINANCIAL OFFICER BALMAC INTERNATIONAL, INC.
KEYSPAN ENERGY CORP.

John D. Gabelli Salvatore J. Zizza
SENIOR VICE PRESIDENT CHAIRMAN
GABELLI & COMPANY, INC. HALLMARK ELECTRICAL
SUPPLIES CORP.

Robert J. Morrissey
ATTORNEY-AT-LAW
MORRISSEY, HAWKINS & LYNCH

OFFICERS AND PORTFOLIO MANAGER
Elizabeth M. Lilly, CFA Bruce N. Alpert
PORTFOLIO MANAGER PRESIDENT AND TREASURER

James E. McKee Peter D.Goldstein
SECRETARY CHIEF COMPLIANCE OFFICER

DISTRIBUTOR
Gabelli & Company, Inc.

CUSTODIAN, TRANSFER AGENT AND DIVIDEND AGENT
State Street Bank and Trust Company

LEGAL COUNSEL
Skadden, Arps, Slate, Meagher & Flom LLP

- --------------------------------------------------------------------------------
This report is submitted for the general information of the shareholders of The
Gabelli Woodland Small Cap Value Fund. It is not authorized for distribution to
prospective investors unless preceded or accompanied by an effective prospectus.
- --------------------------------------------------------------------------------

GAB840Q305SR

[GRAPHIC OMITTED]
PICTURE OF MARIO GABELLI

THE
GABELLI
WOODLAND
SMALL CAP
VALUE
FUND
ANNUAL REPORT
SEPTEMBER 30, 2005

ITEM 2. CODE OF ETHICS.

(a) The registrant, as of the end of the period covered by this report, has
adopted a code of ethics that applies to the registrant's principal
executive officer, principal financial officer, principal accounting
officer or controller, or persons performing similar functions,
regardless of whether these individuals are employed by the registrant
or a third party.

(c) There have been no amendments, during the period covered by this
report, to a provision of the code of ethics that applies to the
registrant's principal executive officer, principal financial officer,
principal accounting officer or controller, or persons performing
similar functions, regardless of whether these individuals are employed
by the registrant or a third party, and that relates to any element of
the code of ethics description.

(d) The registrant has not granted any waivers, including an implicit
waiver, from a provision of the code of ethics that applies to the
registrant's principal executive officer, principal financial officer,
principal accounting officer or controller, or persons performing
similar functions, regardless of whether these individuals are employed
by the registrant or a third party, that relates to one or more of the
items set forth in paragraph (b) of this item's instructions.

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

As of the end of the period covered by the report, the registrant's board of
directors has determined that Anthony R. Pustorino is qualified to serve as an
audit committee financial expert serving on its audit committee and that he is
"independent."

ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

AUDIT FEES

(a) The aggregate fees billed for each of the last two fiscal years for
professional services rendered by the principal accountant for the
audit of the registrant's annual financial statements or services that
are normally provided by the accountant in connection with statutory
and regulatory filings or engagements for those fiscal years are
$97,800 in 2005 and $90,639 in 2004.

AUDIT-RELATED FEES

(b) The aggregate fees billed in each of the last two fiscal years for
assurance and related services by the principal accountant that are
reasonably related to the performance of the audit of the registrant's
financial statements and are not reported under paragraph (a) of this
Item are $0 in 2005 and $0 in 2004.

TAX FEES

(c) The aggregate fees billed in each of the last two fiscal years for
professional services rendered by the principal accountant for tax
compliance, tax advice, and tax planning are $10,800 in 2005 and
$10,200 in 2004.

Tax fees represent tax compliance services provided in connection with
the review of the Registrant's tax returns.

ALL OTHER FEES

(d) The aggregate fees billed in each of the last two fiscal years for
products and services provided by the principal accountant, other than
the services reported in paragraphs (a) through (c) of this Item are $0
in 2005 and $0 in 2004.

(e)(1) Disclose the audit committee's pre-approval policies and
procedures described in paragraph (c)(7) of Rule 2-01 of
Regulation S-X.

Pre-Approval Policies and Procedures. The Audit Committee
("Committee") of the registrant is responsible for pre-approving
(i) all audit and permissible non-audit services to be provided by
the independent auditors to the registrant and (ii) all
permissible non-audit services to be provided by the independent
auditors to the Adviser, Gabelli Funds, LLC, and any affiliate of
Gabelli Funds, LLC ("Gabelli") that provides services to the
registrant (a "Covered Services Provider") if the independent
auditors' engagement is related directly to the operations and
financial reporting of the registrant. The Committee may delegate
its responsibility to pre-approve any such audit and permissible
non-audit services to the Chairperson of the Committee, and the
Chairperson must report to the Committee, at its next regularly
scheduled meeting after the Chairperson's pre-approval of such
services, his or her decision(s). The Committee may also establish
detailed pre-approval policies and procedures for pre-approval of
such services in accordance with applicable laws, including the
delegation of some or all of the Committee's pre-approval
responsibilities to the other persons (other than Gabelli or the
registrant's officers). Pre-approval by the Committee of any
permissible non-audit services is not required so long as: (i) the
aggregate amount of all such permissible non-audit services
provided to the registrant, Gabelli and any Covered Services
Provider constitutes not more than 5% of the total amount of
revenues paid by the registrant to its independent auditors during
the fiscal year in which the permissible non-audit services are
provided; (ii) the permissible non-audit services were not
recognized by the registrant at the time of the engagement to be
non-audit services; and (iii) such services are promptly brought
to the attention of the Committee and approved by the Committee or
Chairperson prior to the completion of the audit.

(e)(2) The percentage of services described in each of paragraphs (b)
through (d) of this Item that were approved by the audit committee
pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X
are as follows:

(b) N/A

(d) N/A

(f) The percentage of hours expended on the principal accountant's
engagement to audit the registrant's financial statements for the most
recent fiscal year that were attributed to work performed by persons
other than the principal accountant's full-time, permanent employees
was zero percent (0%).

(g) The aggregate non-audit fees billed by the registrant's accountant for
services rendered to the registrant, and rendered to the registrant's
investment adviser (not including any sub-adviser whose role is
primarily portfolio management and is subcontracted with or overseen by
another investment adviser), and any entity controlling, controlled by,
or under common control with the adviser that provides ongoing services
to the registrant for each of the last two fiscal years of the
registrant was $10,800 in 2005 and $10,200 in 2004.

(h) The registrant's audit committee of the board of directors has
considered whether the provision of non-audit services that were
rendered to the registrant's investment adviser (not including any
sub-adviser whose role is primarily portfolio management and is
subcontracted with or overseen by another investment adviser), and any
entity controlling, controlled by, or under common control with the
investment adviser that provides ongoing services to the registrant
that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule
2-01 of Regulation S-X is compatible with maintaining the principal
accountant's independence.

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.

Not applicable.

ITEM 6. SCHEDULE OF INVESTMENTS.

Schedule of Investments in securities of unaffiliated issuers as of the close of
the reporting period is included as part of the report to shareholders filed
under Item 1 of this form.

ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.

Not applicable.

ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable.

ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT
COMPANY AND AFFILIATED PURCHASERS.

Not applicable.

ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

There have been no material changes to the procedures by which the shareholders
may recommend nominees to the registrant's board of directors, where those
changes were implemented after the registrant last provided disclosure in
response to the requirements of Item 7(d)(2)(ii)(G) of Schedule 14A (17 CFR
240.14a-101), or this Item.

ITEM 11. CONTROLS AND PROCEDURES.

(a) The registrant's principal executive and principal financial officers,
or persons performing similar functions, have concluded that the
registrant's disclosure controls and procedures (as defined in Rule
30a-3(c) under the Investment Company Act of 1940, as amended (the
"1940 Act") (17 CFR 270.30a-3(c))) are effective, as of a date within
90 days of the filing date of the report that includes the disclosure
required by this paragraph, based on their evaluation of these controls
and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR
270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities
Exchange Act of 1934, as amended (17 CFR 240.13a-15(b) or
240.15d-15(b)).

(b) There were no changes in the registrant's internal control over
financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17
CFR 270.30a-3(d)) that occurred during the registrant's second fiscal
quarter of the period covered by this report that has materially
affected, or is reasonably likely to materially affect, the
registrant's internal control over financial reporting.

ITEM 12. EXHIBITS.

(a)(1) Code of ethics, or any amendment thereto, that is the subject of
disclosure required by Item 2 is attached hereto.

(a)(2) Certifications pursuant to Rule 30a-2(a) under the 1940 Act and
Section 302 of the Sarbanes-Oxley Act of 2002 are attached hereto.

(a)(3) Not applicable.

(b) Certifications pursuant to Rule 30a-2(b) under the 1940 Act and
Section 906 of the Sarbanes-Oxley Act of 2002 are attached hereto.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.

(registrant) Gabelli Equity Series Funds, Inc.
-------------------------------------------------------------------

By (Signature and Title)* /s/ Bruce N. Alpert
-------------------------------------------------------
Bruce N. Alpert, Principal Executive Officer

Date December 8, 2005
----------------------------------------------------------------------------

Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.

By (Signature and Title)* /s/ Bruce N. Alpert
-------------------------------------------------------
Bruce N. Alpert,
Principal Executive Officer and
Principal Financial Officer

Date December 8, 2005
----------------------------------------------------------------------------

* Print the name and title of each signing officer under his or her signature.