<ARTICLE> 5 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE CONSOLIDATED BALANCE SHEET AND THE CONSOLIDATED STATEMENT OF OPERATIONS FILED AS PART OF THE QUARTERLY REPORT ON FORM 10-Q AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH QUARTERLY REPORT ON FORM 10-Q. </LEGEND> <CIK> 0001011028 <NAME> NETSMART TECHNOLOGIES, INC. <PERIOD-TYPE> YEAR <FISCAL-YEAR-END> DEC-31-1997 <PERIOD-START> JAN-1-1997 <PERIOD-END> DEC-31-1997 <CASH> 854,979 <SECURITIES> 0 <RECEIVABLES> 2,182,418 <ALLOWANCES> 0 <INVENTORY> 0 <CURRENT-ASSETS> 3,663,491 <PP&E> 746,542 <DEPRECIATION> 437,959 <TOTAL-ASSETS> 7,339,803 <CURRENT-LIABILITIES> 4,200,285 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 12 <COMMON> 83,339 <OTHER-SE> 0 <TOTAL-LIABILITY-AND-EQUITY> 7,339,803 <SALES> 7,881,680 <TOTAL-REVENUES> 7,881,680 <CGS> 6,154,847 <TOTAL-COSTS> 10,745,105 <OTHER-EXPENSES> 287,131 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 308,169 <INCOME-PRETAX> 3,458,725 <INCOME-TAX> 0 <INCOME-CONTINUING> 3,458,725 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 3,458,725 <EPS-PRIMARY> (.48) <EPS-DILUTED> (.48)