<ARTICLE>                     5
<LEGEND>
     This schedule contains mandatory financial  information  extracted from the
     August 31, 1997 Form 10-Q and is  qualified in its entirety by reference to
     such financial statements.
</LEGEND>
<CIK>                            0000806151
<NAME>                           HORIZON/CMS HEALTHCARE CORPORATION
<MULTIPLIER>                                    1,000
<CURRENCY>                                 US Dollars
       
                                
<PERIOD-TYPE>                    3-MOS
<FISCAL-YEAR-END>                          MAY-31-1998
<PERIOD-START>                             JUN-01-1997
<PERIOD-END>                               AUG-31-1997
<EXCHANGE-RATE>                                      1
<CASH>                                          54,170
<SECURITIES>                                         0
<RECEIVABLES>                                  384,231
<ALLOWANCES>                                    55,515
<INVENTORY>                                          0
<CURRENT-ASSETS>                               505,327
<PP&E>                                         783,030
<DEPRECIATION>                                (152,647)
<TOTAL-ASSETS>                               1,612,982
<CURRENT-LIABILITIES>                          203,736
<BONDS>                                        733,876
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                            53
<OTHER-SE>                                     635,404
<TOTAL-LIABILITY-AND-EQUITY>                 1,612,982
<SALES>                                              0
<TOTAL-REVENUES>                               444,566
<CGS>                                                0
<TOTAL-COSTS>                                  428,300
<OTHER-EXPENSES>                                     0
<LOSS-PROVISION>                                 9,687
<INTEREST-EXPENSE>                              14,404
<INCOME-PRETAX>                                 15,292
<INCOME-TAX>                                     6,455
<INCOME-CONTINUING>                              8,837
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                     8,837
<EPS-PRIMARY>                                     0.17
<EPS-DILUTED>                                     0.17