<ARTICLE> 5 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS IN THE QUARTERLY REPORT ON FORM 10-Q OF DIGITAL MICROWAVE CORPORATION FOR THE QUARTER ENDED SEPTEMBER 30, 1997 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <RESTATED> <MULTIPLIER> 1,000 <PERIOD-TYPE> 6-MOS <FISCAL-YEAR-END> MAR-31-1998 <PERIOD-START> APR-01-1997 <PERIOD-END> SEP-30-1997 <CASH> 40,625 <SECURITIES> 13,207 <RECEIVABLES> 71,819 <ALLOWANCES> 3,894 <INVENTORY> 56,037 <CURRENT-ASSETS> 181,903 <PP&E> 57,424 <DEPRECIATION> 34,637 <TOTAL-ASSETS> 223,116 <CURRENT-LIABILITIES> 50,652 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 381 <OTHER-SE> 171,904 <TOTAL-LIABILITY-AND-EQUITY> 223,116 <SALES> 144,856 <TOTAL-REVENUES> 144,856 <CGS> 92,350 <TOTAL-COSTS> 92,350 <OTHER-EXPENSES> 36,312 <LOSS-PROVISION> 592 <INTEREST-EXPENSE> 321 <INCOME-PRETAX> 18,166 <INCOME-TAX> 2,707 <INCOME-CONTINUING> 15,459 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 15,459 <EPS-PRIMARY> 0.35 <EPS-DILUTED> 0.33