FORM 10-Q
       
       SECURITIES AND EXCHANGE COMMISSION
       
       WASHINGTON, DC 20549
       
       (Mark One)
       
       (X)                 QUARTERLY REPORT PURSUANT TO SECTION 13 OR
       15(d) OF THE SECURITIES AND EXCHANGE ACT OF 1934
       
       For the quarterly period ended December 31, 1996
       
                                                       or
       
       ( )        TRANSITION REPORT PURSUANT TO SECTION 13 OR
       15(d) OF THE SECURITIES AND EXCHANGE ACT OF 1934
       
                  For the transition period from           to     
                    
       
                           Commission File Number 0-14926
       
                      JOULE' Inc.
       (Exact name of registrant as specified in its
       charter)
       
                 Delaware                               22-2735672     
       (State or other jurisdiction                    (IRS Employer
         of incorporation or             Identification  
       organization)                             No.)
                           
       
                  1245 Route 1 South,   Edison, New Jersey 08837  
                           (Address of principal executive officers
                          Zip Code)
       
                         (908) 548-5444                 
       (Registrant's telephone number including area
                          code)
       
       Indicate by check mark whether the Registrant (1)
       has filed all reports to be filed by Section 13 or
       15 (d) of the Securities Exchange Act of 1934
       during the preceding 12 months (or for such
       shorter period that the Registrant was required to
       file such reports), and (2) has been subject to
       such filing requirements for the past 90 days.
       
       Yes     X                                                 No             
       As of February 6, 1997 3,660,000 shares of the
       Registrant's common stock were outstanding.
       
       
       
       <PAGE>
       <TABLE>
       Part I - Financial Information
       Item 1. Financial Statements
       
       JOULE' Inc. And Subsidiaries
       Consolidated Balance Sheets
       <CAPTION>
                                                                       December 31,     September 30,
                                           ASSETS                       1996                    1996   
       <S>                                                       <S>     <S>    
       CURRENT ASSETS:
                                           Cash             $290,000     $175,000
                                           Accounts receivable, less allowance
                                                          for doubtful accounts of $243,000
                                                          and $217,000 respectively      7,003,000     8,128,000
                                           Prepaid expenses and other current assets       282,000     320,000
                                                          Total Current Assets      7,575,000     8,623,000
       PROPERTY AND EQUIPMENT, NET OF
       ACCUMULATED DEPRECIATION             1,954,000     2,019,000
       GOODWILL                               102,000     108,000
       OTHER ASSETS                            58,000     59,000
                                                                         $9,689,000     $10,809,000
       LIABILITIES AND STOCKHOLDERS' EQUITY
       CURRENT LIABLILITIES:
                                           Loans payable to bank         $2,298,000     $2,343,000
                                           Accounts payable and accrued expenses    1,211,000     1,817,000
                                           Accrued payroll and related taxes          537,000     1,094,000
                                           Current portion of long term debt           25,000     25,000
                                                          Total Current Liabilities      4,071,000     5,279,000
       LONG TERM DEBT                         425,000     431,000
                                                          Total Liabilities         4,496,000     5,710,000
       STOCKHOLDERS' EQUITY:
                                           Preferred stock, $.01 par value:
                                                          Authorized 500,000 shares, none outstanding         ---     ---
                                           Common stock, $.01 par value:
                                                          Authorized 10,000,000 shares-issued 3,807,000 
                                                             shares          38,000     38,000
                                           Paid-in capital                3,637,000     3,637,000
                                           Retained earnings              1,907,000     1,813,000
                                                                          5,582,000     5,488,000
                                           LESS: Cost of 146,400 shares of common 
                                                          stock held in treasury      389,000     389,000
                                           Total Stockholders' Equity     5,193,000     5,099,000
                                                                         $9,689,000     $10,809,000
       
       <FN>                                     
       See accompanying notes to consolidated financial statements.
       </FN>
       </TABLE>
       <PAGE>
       JOULE' Inc. And Subsidiaries
       <TABLE>
       Consolidated Statements of Income
       <CAPTION>                                          
                                                   Three
       Months Ended
                                                                       December 31,     December 31,
                                                         1996                    1995      
       <S>                                                       <C>     <C>
       REVENUES                           $10,943,000     $13,400,000
       COSTS, EXPENSES, AND OTHER:                        
                                           Cost of services               9,087,000     11,029,000
                                           Selling, general &
                                                          administrative expenses   1,638,000     1,659,000
                                           Interest Expense                  62,000     112,000
                                           Other             (1,000)     6,000
       INCOME BEFORE INCOME TAX PROVISION     157,000     594,000
       INCOME TAX PROVISION                    63,000     238,000
       NET INCOME                             $94,000     $356,000
       NET INCOME PER COMMON SHARE              $0.03     $0.10
       AVERAGE NUMBER OF SHARES AND 
       EQUIVALENTS OUTSTANDING             $3,663,000     $3,643,000
       <FN>
       See accompanying notes to consolidated financial
       statements.
       </FN>
       </TABLE>
       <PAGE>
       JOULE' Inc. and Subsidiaries
       <TABLE>
       <CAPTION>
       Consolidated Statements of Cash Flows
       
                                                     Three Months Ended
                                                 December 31,     December 31,
                                                   1996               1995      
       <S>                                         <C>                <C>
       CASH FLOWS FROM OPERATING ACTIVITIES:
         Net Income                                $94,000         $356,000
         Adjustments to reconcile net income to 
          net cash flows provided by (used in) 
          operating activities:
          Depreciation and amortization            118,000           90,000
          Provision for losses on accounts 
             receivable                             18,000           18,000              
         Changes in operating assets and 
             liabilities:
          Accounts receivable                    1,107,000           56,000
          Prepaid expenses and other assets         26,000          154,000
          Accounts payable and accrued expenses   (606,000)        (257,000)
          Accrued payroll and related taxes       (557,000)         (48,000)
          Income taxes                              12,000          (35,000)
           Net cash flows provided by operating
               activities                          212,000          334,000 
       
       CASH FLOWS FROM INVESTING ACTIVITIES:
         Acquisitions of property and equipment    (46,000)        (162,000)
          Net cash flows used in investing 
            activities                             (46,000)        (162,000)
       
       CASH FLOWS FROM FINANCING ACTIVITIES:
         Decrease in loans payable to bank         (45,000)        (157,000)
         Payment of long term debt                  (6,000)          (6,000)
          Net cash flows used in financing 
            activities                             (51,000)        (163,000)
       
       NET CHANGE IN CASH                          115,000            9,000 
       
       CASH, BEGINNING OF PERIOD                   175,000           70,000
       
       CASH, END OF PERIOD                        $290,000          $79,000 
       
       SUPPLEMENTAL CASH FLOW INFORMATION:
          Interest paid                            $62,000          $89,000
       
          Income taxes paid                        $53,000         $274,000
       
       <FN>
       See accompanying notes to consolidated financial statements.
       </FN>
       </TABLE>
       <PAGE>
JOULE' INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED
FINANCIAL STATEMENTS
(UNAUDITED)
       
(1)             The consolidated balance sheet at the end of the preceding 
fiscal year has been derived from the audited consolidated balance sheet 
contained in the Company's Form 10-K and is presented for comparative 
purposes.  All other financial statements are unaudited.  All unaudited amounts
are subject to year end adjustments and audit, but the Company believes all 
adjustments, consisting only of normal and recurring adjustments, necessary 
to present fairly the financial position, results of operations and changes in
cash flows for all interim periods presented, have been made.  The results of
operations for interim periods are not necessarily indicative of the
operating results for the full year.
       
Footnote disclosures normally included in financial statements prepared in 
accordance with generally accepted accounting principals have been omitted in 
accordance with the published rules and regulations of the Securities and 
Exchange Commission.  These consolidated financial statements should be read 
in conjunction with the financial statements and notes thereto included in
the Company's Form 10-K and Annual Report to Stockholders for the most recent 
fiscal year.
<PAGE>
JOULE' INC. AND SUBSIDIARIES
       
Item 2. Management's Discussion and Analysis of Financial
           Condition and Results of Operations
       
Results of Operations
       
The Company's revenues are derived from providing staffing services to its 
customers. Such services include providing office and light industrial 
workers, engineering and technical personnel, and skilled craft industrial 
plant and facility maintenance labor.  Over 90% of revenue in each period was 
billed on a direct cost plus markup basis.  Revenues decreased approximately
18% to $10.9 million during the first three months of fiscal 1997 from $13.4 
million in 1996.  Office and light industrial revenue approximated $4.0
million in both three month periods, while engineering and technical staffing 
revenue approximated $2.8 million in both three month periods.  Skilled craft 
sales decreased 36% to $4.2 million largely due to the adverse impact on
the current period from the conclusion of certain long term contracts which 
the Company is seeking to replace with new business.  Cost of services as
a percentage of revenue was 83.0% in the 1997 first quarter compared to 82.3% 
for the 1996 quarter.  These expenses consist primarily of compensation to 
employees on assignment to clients and related costs, including social 
security, unemployment taxes, general liability and workers' compensation 
insurance, and other costs of services.  
       
Selling, general and administrative expenses were approximately $1.6 million 
in both three month periods, which represented 15.0% and 12.4% of revenues in 
the respective 1997 and 1996 periods.  Selling, general and administrative
expenses principally include staff employees' salaries and related costs, 
advertising, professional fees, depreciation, provision for the allowance for 
doubtful accounts and other costs related to maintaining the Company's branch
offices.  The 1997 percentage increases in selling, general and administrative 
expenses reflect the anticipation of higher sales levels, which have not yet 
materialized.  Interest expense decreased to $62,000 in 1997 from $112,000 in 
1996 as average borrowings, as well as interest rates, decreased.  The 
effective tax rate approximated 40% in both periods.  As a result of the above,
net income declined to $94,000 or $0.03 per share in 1997 compared with net 
income of $356,000 or $0.10 per share for the 1996 period.
<PAGE>
JOULE' INC. AND SUBSIDIARIES
       
Management's Discussion and Analysis of Financial
   Condition and Results of Operations (continued)
       
       
Liquidity and Capital Resources
       
Current assets at December 31, 1996 were $7,575,000 as compared to $8,623,000 
at September 30, 1996 and current liabilities were $4,071,000 compared to 
$5,279,000 as of September 30, 1996. Employees typically are paid on a weekly 
basis. Clients generally are billed on a weekly basis. The Company has 
generally utilized bank borrowings to meet its working capital needs.  The 
Company has a $4,500,000 bank line of credit; loans thereunder are secured 
principally by receivables and bear interest at LIBOR plus two and one
quarter percent or the bank's base rate, at the Company's option; $2,298,000 
was outstanding under this line as of December 31, 1996.
       
The Company believes that internally generated funds and available borrowings 
will provide sufficient cash flow to meet its requirements for the next 12 
months.
<PAGE>
JOULE' INC. AND SUBSIDIARIES
PART II - OTHER INFORMATION
       
Item 4.    Submission of Matters to a Vote of Security Holders
 (a)       The Annual Meeting of Stockholders was held on February 5, 1997.
       
 (b)       The following directors were elected at the annual meeting with 
           the votes as indicated:
       
                                        VOTES FOR              VOTES WITHHELD
            Richard Barnitt             3,588,513                   2,710
            Paul DeBacco                3,588,513                   2,710
            Anthony Grillo              3,588,713                   2,510
            Robert W. Howard            3,588,713                   2,510
            Emanuel N. Logothetis       3,588,713                   2,510
            Nick M. Logothetis          3,588,713                   2,510
            Steven Logothetis           3,588,513                   2,710
       
Item 6.        Exhibits and Reports on Form 8-K
       
 (a)           Exhibits: None
 (b)           Reports on Form 8-K
       
               No reports on Form 8-K have been filed during the quarter for 
                which this report is filed.
       
                       SIGNATURES
                            
Pursuant to the requirements of the Securities and Exchange Act of 1934, the 
registrant has duly caused this report to be signed on its behalf by the 
undersigned there unto duly authorized.
       
                       JOULE' INC.
                      (Registrant)
                            
 February 11, 1997                          E. N. Logothetis             
                                      E. N. Logothetis, Chairman
                                    (Principal Executive Officer)
       
       
       
February 11, 1997                           Bernard G. Clarkin                 
                                     Bernard G. Clarkin, Vice President and 
                                     Chief Financial Officer
                                     (Principal Financial Officer)