<ARTICLE> 5 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM FORM 10-Q FOR THE PERIOD ENDED JUNE 28, 1997 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <CIK> 0001002531 <NAME> TOLLGRADE COMMUNICATIONS, INC. <PERIOD-TYPE> 6-MOS <FISCAL-YEAR-END> DEC-31-1997 <PERIOD-START> JAN-01-1997 <PERIOD-END> JUN-28-1997 <CASH> 7,035,725 <SECURITIES> 13,556,808 <RECEIVABLES> 5,954,472 <ALLOWANCES> 50,000 <INVENTORY> 8,289,566 <CURRENT-ASSETS> 35,292,680 <PP&E> 4,805,490 <DEPRECIATION> 1,946,659 <TOTAL-ASSETS> 38,321,258 <CURRENT-LIABILITIES> 4,664,842 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 1,138,309 <OTHER-SE> 32,349,652 <TOTAL-LIABILITY-AND-EQUITY> 38,321,258 <SALES> 20,534,431 <TOTAL-REVENUES> 20,734,431 <CGS> 9,222,176 <TOTAL-COSTS> 9,243,766 <OTHER-EXPENSES> 0 <LOSS-PROVISION> 50,000 <INTEREST-EXPENSE> 0 <INCOME-PRETAX> 5,117,006 <INCOME-TAX> 1,904,252 <INCOME-CONTINUING> 0 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 3,212,754 <EPS-PRIMARY> 0.54 <EPS-DILUTED> 0.54