<ARTICLE> 5 <LEGEND> </LEGEND> <CIK> 0000909724 <NAME> THE LEATHER FACTORY, INC. <MULTIPLIER> 1 <CURRENCY> US DOLLARS <PERIOD-TYPE> 6-MOS <FISCAL-YEAR-END> DEC-31-1999 <PERIOD-START> JAN-01-1999 <PERIOD-END> JUN-30-1999 <EXCHANGE-RATE> 1 <CASH> 743,006 <SECURITIES> 0 <RECEIVABLES> 1,907,173 <ALLOWANCES> 92,000 <INVENTORY> 7,323,505 <CURRENT-ASSETS> 10,652,543 <PP&E> 3,065,078 <DEPRECIATION> 1,980,193 <TOTAL-ASSETS> 16,799,961 <CURRENT-LIABILITIES> 8,414,048 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 23,648 <OTHER-SE> 8,081,570 <TOTAL-LIABILITY-AND-EQUITY> 16,799,961 <SALES> 12,052,950 <TOTAL-REVENUES> 12,052,950 <CGS> 6,880,292 <TOTAL-COSTS> 6,880,292 <OTHER-EXPENSES> 4,822,555 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 397,894 <INCOME-PRETAX> (33,410) <INCOME-TAX> 52,073 <INCOME-CONTINUING> (84,483) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (85,483) <EPS-BASIC> (0.01) <EPS-DILUTED> (0.01)