<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
FINANCIAL STATEMENTS OF SERVICE EXPERTS, INC. FOR THE THREE MONTHS ENDED MARCH
31, 1997 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL
STATEMENTS.
</LEGEND>
<RESTATED> 
<MULTIPLIER> 1,000
       
                             
<PERIOD-TYPE>                   3-MOS
<FISCAL-YEAR-END>                          DEC-31-1997
<PERIOD-START>                             JAN-01-1997
<PERIOD-END>                               MAR-31-1997
<CASH>                                          33,542
<SECURITIES>                                         0
<RECEIVABLES>                                   19,175
<ALLOWANCES>                                       892
<INVENTORY>                                      7,400
<CURRENT-ASSETS>                                65,404
<PP&E>                                          21,076
<DEPRECIATION>                                   6,066
<TOTAL-ASSETS>                                 138,516
<CURRENT-LIABILITIES>                           26,407
<BONDS>                                          3,843
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                           142
<OTHER-SE>                                     107,533
<TOTAL-LIABILITY-AND-EQUITY>                   138,516
<SALES>                                         41,963     
<TOTAL-REVENUES>                                41,963
<CGS>                                           27,519
<TOTAL-COSTS>                                   27,519
<OTHER-EXPENSES>                                     0
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                                  90
<INCOME-PRETAX>                                  3,394
<INCOME-TAX>                                     1,217
<INCOME-CONTINUING>                              2,177
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                     2,177
<EPS-PRIMARY>                                      .18
<EPS-DILUTED>                                      .18