<ARTICLE> 5 <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> MAY-31-1998 <PERIOD-END> AUG-31-1997 <CASH> 7,370,825 <SECURITIES> 0 <RECEIVABLES> 2,586,298 <ALLOWANCES> 0 <INVENTORY> 1,439,701 <CURRENT-ASSETS> 13,689,034 <PP&E> 296,186 <DEPRECIATION> 158,442 <TOTAL-ASSETS> 16,025,380 <CURRENT-LIABILITIES> 518,344 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 233,105 <COMMON> 28,403 <OTHER-SE> 0 <TOTAL-LIABILITY-AND-EQUITY> 16,025,380 <SALES> 3,192,396 <TOTAL-REVENUES> 3,340,842 <CGS> 1,103,001 <TOTAL-COSTS> 2,245,312 <OTHER-EXPENSES> 0 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 0 <INCOME-PRETAX> 1,095,530 <INCOME-TAX> 372,480 <INCOME-CONTINUING> 0 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 723,050 <EPS-PRIMARY> 0 <EPS-DILUTED> .26