<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
FINANCIAL STATEMENTS OF LHS GROUP, INC. FOR THE THREE MONTH PERIOD ENDED MARCH
31, 1999 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL
STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000
       
                        
<PERIOD-TYPE>              3-MOS
<FISCAL-YEAR-END>                          DEC-31-1999
<PERIOD-END>                               MAR-31-1999
<CASH>                                          41,651
<SECURITIES>                                    58,813
<RECEIVABLES>                                   76,120
<ALLOWANCES>                                     3,433
<INVENTORY>                                          0
<CURRENT-ASSETS>                               179,737
<PP&E>                                          27,589
<DEPRECIATION>                                  11,929
<TOTAL-ASSETS>                                 203,202
<CURRENT-LIABILITIES>                           52,658
<BONDS>                                              0
<PREFERRED-MANDATORY>                              529
<PREFERRED>                                          0
<COMMON>                                             0
<OTHER-SE>                                     149,871
<TOTAL-LIABILITY-AND-EQUITY>                   203,202
<SALES>                                              0
<TOTAL-REVENUES>                                49,328
<CGS>                                                0
<TOTAL-COSTS>                                   16,895
<OTHER-EXPENSES>                                21,087
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                              (1,136)
<INCOME-PRETAX>                                 12,482
<INCOME-TAX>                                     4,494
<INCOME-CONTINUING>                              7,988
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                     7,988
<EPS-PRIMARY>                                      .15
<EPS-DILUTED>                                      .15