UNITED STATES
                   SECURITIES AND EXCHANGE COMMISSION
                          Washington, DC  20549

                      

                                FORM 10-Q

  (Mark One)
  [ X ]          QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
                 OF THE SECURITIES EXCHANGE ACT OF 1934
  For the quarterly period ended:  July 31, 1998

                                  OR
                               
  [    ]         TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
                 OF THE SECURITIES EXCHANGE ACT OF 1934
  For the transition period from _________ to ___________

  Commission file number
     0-12619
  Collins Industries, Inc.
  (Exact name of registrant as specified in its charter)
                               
  Missouri
  (State or other jurisdiction of incorporation)

  43-0985160
  (I.R.S. Employer Identification Number)

  15 Compound Drive
  Hutchinson, Kansas                           67502-4349
  (Address of principal executive offices)     (Zip Code)

  Registrant's telephone number including area code
  316-663-5551

  Indicate  by check mark whether the registrant (1) has filed
  all reports  required  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

                    APPLICABLE ONLY TO CORPORATE ISSUERS:

  Indicate the number of shares outstanding of each of the
  issuer's classes of common stock, as of the latest practicable
  date.

  Common Stock, $.10 par value                      7,478,381
          Class                        Outstanding at September 14, 1998

                   COLLINS INDUSTRIES, INC. AND SUBSIDIARIES
                              
                                   FORM 10-Q
                                 July 31, 1998

                                    INDEX

  PART I.   FINANCIAL INFORMATION                                PAGE NO

      Item 1.  Financial Statements:

         Consolidated Condensed Balance Sheets
            July 31, 1998 and October 31, l997                       3
 
         Consolidated Condensed Statements of Income -
            Three and Nine Months Ended July 31, 1998 and 1997       4

         Consolidated Condensed Statements of Cash Flow
            Nine Months Ended July 31, 1998 and 1997                 5

         Notes to Consolidated Condensed Financial Statements        6

      Item 2.

         Management's Discussion and Analysis of Financial
           Condition and Results of Operations                       9


  PART II.  OTHER INFORMATION

      Item 6.  Exhibits and Reports on Form 8-K                     12


  SIGNATURES                                                        13


                   Collins Industries, Inc. and Subsidiaries
                     CONSOLIDATED CONDENSED BALANCE SHEETS
              
                                             July 31,         October 31,
                                              1998                1997
                                           (Unaudited)
  ASSETS
  Current Assets:
     Cash                                   $   151,273        $   189,152
     Receivables, trade & other, net          4,171,539          6,745,973
     Inventories, lower of cost (FIFO) 
      or market (Note 2)                     27,137,502         25,686,022
     Prepaid expenses and other current
      assets                                    533,453          1,380,998
        Total current assets                 31,993,767         34,002,145

  Property and equipment, at cost            36,431,664         32,232,490
     Less:  accumulated depreciation         20,608,250         19,800,671
     Net property and equipment              15,823,414         12,431,819
  Other assets                                  699,325            729,166
        Total assets                        $48,516,506        $47,163,130

  LIABILITIES & SHAREHOLDERS' INVESTMENT
  Current liabilities:
     Current maturities of long-term
      debt & capitalized leases             $ 1,120,000        $ 1,094,948
     Accounts payable                        11,145,212         14,200,975
     Accrued expenses                         3,377,697          3,663,382
        Total current liabilities            15,642,909         18,959,305

  Long-term debt and capitalized leases      12,554,669          8,361,887

  Shareholders' investment:
     Common stock                               754,218           738,568
     Paid-in capital                         18,543,832        18,918,903
     Retained earnings                        1,235,268           184,467
     Treasury stock                            (214,390)               --
        Total shareholders' investment       20,318,928        19,841,938
        Total liabilities & shareholders'
         investment                         $48,516,506       $47,163,130
  
  (See accompanying notes)

                     Collins Industries, Inc. and Subsidiaries
                    CONSOLIDATED CONDENSED STATEMENTS OF INCOME
                                 (Unaudited)
                           
                          Three Months Ended         Nine Months Ended
                               July 31,                   July 31,
                          1998          1997         1998         1997

  Sales               $39,289,431  $42,202,842   $116,102,995  $118,895,578
  Cost of sales        33,549,606   34,226,943     99,459,158    98,842,817

    Gross profit        5,739,825    7,975,899     16,643,837    20,052,761

  Selling, general and
   administrative
   expenses             4,116,855    3,842,542     11,852,080    11,327,941

    Income from 
     operations         1,622,970    4,133,357      4,791,757     8,724,820

  Other income
   (expense):
    Interest expense     (362,471)    (378,616)    (1,090,651)   (1,290,950)
    Other, net             96,236       18,101        297,413       187,533
                         (266,235)    (360,515)      (793,238)   (1,103,417)

  Income before provision
   for income taxes     1,356,735    3,772,842      3,998,519     7,621,403

  Provision for income
   taxes                  476,000       700,000     1,400,000     1,500,000

  Net income           $  880,735    $3,072,842    $2,598,519    $6,121,403

  Earnings per share
   (Note 6):
    Basic              $      .12    $      .42    $      .35    $      .83
    Diluted            $      .12    $      .40    $      .34    $      .80
  Dividends per share  $     .025    $     .025    $     .205    $     .050

  Weighted average and
   common equivilent shares
   outstanding:
    Basic               7,518,533     7,342,334     7,510,156     7,342,495
    Diluted             7,624,141     7,745,839     7,729,063     7,693,568

  (See accompanying notes)

                     Collins Industries, Inc. and Subsidiaries
                  CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOW
                                   (Unaudited)
                           
                                                     Nine Months Ended
                                                         July 31,
                                                    1998         1997
  Cash flow from operations:
    Cash received from customers               $118,677,429   $120,108,657
    Cash paid to suppliers and employees       (114,246,674)  (110,286,303)
    Interest paid                                (1,051,957)    (1,406,836)
    Income taxes paid                              (901,457)    (1,645,000)

        Cash provided by operations               2,477,341      6,770,518

  Cash flow from investing activities:
    Capital expenditures                         (4,657,208)    (1,055,140)
    Proceeds from sale of property and
     equipment                                      481,341         16,500
    Other, net                                     (435,658)       (82,141)

        Cash used in investing activities        (4,611,525)    (1,120,781)

  Cash flow from financing activities:
    Net increase (decrease) in other                  
     borrowings                                   6,196,375     (1,032,801)
    Principal payments of long-term debt
     and capitalized leases                      (1,978,541)    (3,216,153)
    Proceeds from exercise of stock    
     options                                         97,878        118,450
    Acquisition and retirement of         
     treasury stock                                (671,690)    (1,179,013)
    Payment of dividends                         (1,547,717)      (369,251)

        Cash provided by (used in)
         financing activities                     2,096,305     (5,678,768)

  Net decrease in cash                              (37,879)       (29,031)

  Cash at beginning of period                       189,152        255,405

  Cash at end of period                          $  151,273     $  226,374

  Reconciliation of net income to net cash
   provided by operations:

    Net income                                   $2,598,519     $6,121,403
    Depreciation and amortization                 1,322,051      1,358,014
    Decrease in receivables                       2,574,434      1,213,079
    Increase in inventories                      (1,451,480)    (2,240,268)
    Decrease (increase) in prepaid expenses
     and other current assets                       847,545        (25,252)
    Increase (decrease) in accounts payables
     and accrued expenses                        (3,341,448)       352,826
    Gain on sale of property and equipment          (72,280)        (9,284)

  Cash provided by operations                    $2,477,341      6,770,518

  (See accompanying notes)
  
                    COLLINS INDUSTRIES, INC. AND SUBSIDIARIES

             Notes to Consolidated Condensed Financial Statements
                                (Unaudited)

  (1)  General

  The  preparation  of  financial  statements  in  conformity
  with generally  accepted accounting principles requires
  management  to make  estimates and assumptions that affect the
  reported  amounts of assets and liabilities and disclosure of
  contingent assets and liabilities  at  the  date of the
  financial  statements  and  the reported  amounts of revenues
  and expenses during  the  reporting period.  Actual results
  could differ from those estimates.

  In   the   opinion  of  management,  the  accompanying
  unaudited consolidated   condensed   financial   statements   contain
  all adjustments (consisting of only normal recurring items)
  necessary to  summarize fairly the Company's financial position
  and results of  operations for the three and nine months ended
  July 31,  1998 and  1997, and the cash flows for the nine
  months ended July  31, 1998 and 1997.

  The  Company  suggests that the unaudited Consolidated
  Condensed Financial Statements for the three and nine months
  ended July 31, 1998 be read in conjunction with the Company's
  Annual Report  for the year ended October 31, 1997.

  (2)  Inventories

  Inventories,  which  include material, labor,  and
  manufacturing overhead, are stated at the lower of cost (FIFO)
  or market.

  Major classes of inventories as of July 31, 1998 and October
  31, 1997, consisted of the following:

                                   July 31,           October 31,
                                     1998                1997

     Chassis                     $  8,524,001        $  7,675,115
     Raw materials & components     9,935,533           8,673,308
     Work in process                2,898,556           4,173,173
     Finished goods                 5,779,412           5,164,426
                                  $27,137,502         $25,686,022
  (3)  Loan Agreement

  On  July  31, 1998, the Company entered into a new Loan
  Agreement with   NationsBank  (the  "Bank")  for  a  $22.1
  million  credit facility.  The Agreement provides for a
  revolving credit facility of $17.0 million and a long-term
  credit facility of $5.1 million. The  credit  facilities bear
  interest based on a  combination  of Eurodollar  and the Bank's
  prime rate.  The proceeds of  the  new credit facility were
  used to repay bank loans incurred under  its May 9, 1995, Loan
  Agreement.

  The  revolving  credit facility is collateralized by
  inventories and  receivables and the long-term facility is
  collateralized  by equipment  and  certain  real  property.
  Under  terms  of the Agreement, the Company is required to
  maintain certain financial ratios  and  other  financial
  conditions.   The Agreement  also prohibits the Company from incurring
  certain   additional indebtedness, limits certain investments,
  advances or  loans  and restricts substantial asset sales and
  capital expenditures.

  (4)  Contingencies and Litigation

  At  July  31, 1998, the Company had contingencies and
  litigation pending   which  arose  in  the  ordinary  course
  of   business. Litigation  is subject to many uncertainties
  and the  outcome of the  individual  matters is not presently
  determinable. It  is management's  opinion that this litigation
  would  not result  in liabilities  that  would have a material adverse
  effect  on  the Company's consolidated financial position.

  (5)  Income Taxes

  The  provision for income taxes for three and nine  months
  ended July  31,  1998 is calculated at statutory rates.  The
  Company's income  tax expense for the three and nine months
  ended July  31, 1997,  was  less than statutory rates due to
  the  impact  of  the utilization  of  net  operating loss
  carryforwards  and  general business tax credits.

  (6)  Earnings per Share

  In  1997, the Financial Accounting Standards Board (FASB)
  issued Statement  No. 128, Earnings per Share (EPS), which
  requires  the reporting  of basic and diluted earnings per
  share.  The  Company adopted  Statement 128 in the first
  quarter of 1998 as  required. Earnings  per  share and weighted
  average shares outstanding  for all  periods presented have
  been restated to conform to Statement 128.   Basic earnings per
  share excludes any dilutive effects  of stock  options  and  is
  computed by dividing net  income  by  the weighted  average
  shares  of common stock  outstanding  for  the period.
  Diluted earnings per share is computed by dividing  net income
  by the weighted average shares of common stock outstanding for
  the period plus the shares that would be outstanding assuming
  the  exercise of dilutive stock options.  The effect of
  dilutive stock  options on weighted average shares outstanding
  was 105,608 and  403,505  for  the quarters ended July  31,
  1998  and  1997, respectively.  The effect of dilutive stock
  options  on  weighted average  shares outstanding was 218,907
  and 351,073 for the  nine months ended July 31, 1998 and 1997,
  respectively.

  Options  to  purchase 279,000 shares of common stock at
  exercise prices  ranging  from $5.13 to $7.56 and 2,500 shares
  of  common stock  at an exercise price of $6.00 were
  outstanding during  the quarter   ended   July   31  of  1998
  and  1997,   respectively. Accordingly,  these  were  not
  included  in  the  computation  of diluted  EPS because the
  options exercise price was greater  than the average market
  price of common shares.

  Options  to  purchase 180,000 shares of common stock at
  exercise prices  ranging from $6.13 to $7.56 and 17,500 shares
  of  common stock  at  exercise  prices  ranging from  $5.64  to
  $6.00  were outstanding  during the nine months ended July  31
  of  1998  and 1997, respectively.  Accordingly, these were not
  included in  the computation of diluted EPS because the options
  exercise price was greater than the average market price of
  common shares.

  Item  2  -  Management's  Discussion and  Analysis  of
              Financial Condition and Results of Operations
  RESULTS OF OPERATIONS:

  Net Sales

  Sales  for  the quarter ended July 31, 1998, decreased 6.9%
  from the  same  period in fiscal 1997.  This decrease was
  principally due  to  lower sales of ambulances and terminal trucks,
  partially offset by higher sales of bus products.

  The  Company's consolidated sales backlog at July  31,  1998
  was $39.0  million compared to $45.5 million at October 31,
  1997  and $44.3 million at July 31, 1997.

  Cost of Sales

  Cost  of  sales for the quarter ended July 31, 1998 was 85.4%
  of sales compared to 81.1% for the same period in fiscal 1997.
  The percentage increase was principally due to program discounts
  and higher  sales incentives on closing out 1997 models over
  that  of the same period last year, and a one-time gain on the
  sale of the UVL  product line in the third quarter ended July
  31,  1997. The Company's cost of sales for the nine months ended
  July  31, 1998 was 85.7% of  sales compared to 83.1% of sales 
  for  the  same period  in  fiscal 1997.  Increases were principally
  due  to the same reasons discussed above.

  Selling, General and Administrative Expenses

  Selling,  general  and administrative expenses  for  the
  quarter ended July 31, 1998, was 10.5% of sales compared to
  9.1% for  the same  period  in  fiscal  1997.   The  percentage
  increase was principally  due to increased marketing expense.   The
  Company's selling, general and administrative expenses for the
  nine  months ended  July  31, 1998, was 10.2% of sales compared
  to 9.5%  of sales  for  the  same  period  in fiscal  1997.   Increases
  were principally due to the same reasons discussed above.

  Other Income (Expense)

  Interest  expense  decreased  principally  as  a  result  of
  the Company's  overall reduction of its effective interest
  rate.  The reduction   of the  Company's  effective  interest
  rate was principally  due  to additional IRB ("Industrial  Revenue
  Bond") debt of $3.2 million which bears interest at annual
  rates ranging from  4.75%  to 5.80%. The additional IRB debt was
  incurred  to construct and equip  an  addition  to   the   Company's
  bus manufacturing facilities.  Additionally, the Company negotiated
  a lower interest rate with the Bank prior to entering into the
  July 31, 1998, Loan Agreement.

  As  described  in  Note  3  to the July  31,  1998,
  Consolidated Condensed  Financial Statements (unaudited), the
  Company  entered into a new Loan Agreement with NationsBank.
  Under the Agreement, the  annual  rates of interest will be
  based on a combination  of the Eurodollar and the Bank's prime
  rate.  The Company's previous borrowing rates with the Bank
  were at prime plus one-half of  one percent.

  Income Taxes

  The  Company's income tax expense for the quarter ended July
  31, 1998  and  1997  was 35% and 19% of income before
  provisions  for income  taxes.  For  the  quarter  ended  July
  31,  1998, the provision for income taxes was calculated based
  on statutory income  tax rates.  For the quarter ended July 31,
  1997,  due  to the  utilization of net operating loss
  carryforwards and  general business  tax credits, the provision
  was less than the  statutory income  tax rate.  All
  carryforwards of net operating losses  and tax  credits  were
  utilized in the fiscal year ended October  31, 1997. Accordingly,
  the  Company  expects  future  income tax provisions to be based
  on statutory income tax rates.

  The  Company's income tax expense for the nine months ended
  July 31,  1998  and 1997 were 35% and 20% of income before
  provisions for  income  taxes.  Differences between 1998 and
  1997 provisions were  principally  due  to  the same  reasons
  discussed  in  the immediately preceding paragraph.

  Net Income
 
  The  Company's net income for the quarter ended July 31, 1998
  was $.9 million ($.12 per share-basic) compared to $3.1 million
  ($.42 per  share-basic)  for  the  same period  in  fiscal
  1997.   The decrease   in   the   Company's  net  earnings  was
  principally attributable to a decrease in ambulance and terminal truck
  sales, and an increase in the effective income tax rate, and offset
  by a one-time  gain  on  the  sale of the UVL product line  in
  the  third quarter ended July 31, 1997.

  The  Company's  net earnings were $2.6 million ($.35  per  share
  basic) for the nine months ended July 31, 1998, compared to
  $6.1 million ($.83 per share-basic) for the nine months ended
  July 31, 1997.   The  net  income change is principally due  to
  the  same reasons discussed in the immediately preceding paragraph.

  LIQUIDITY AND CAPITAL RESOURCES:

  The  Company  used  existing credit lines,  internally
  generated funds  and  supplier  financing and financing  from
  issuance  of Industrial  Revenue  Bonds  to fund its  operations
  and  capital expenditures for the three and nine months ended
  July 31, 1998.

  Cash  provided by operations was $2.5 million for the nine
  months ended  July 31, 1998 compared to $6.8 million for the
  nine months ended  July  31,  1997.  Cash provided by operations
  principally resulted from   the  Company's  net  income   ($2.6
  million), depreciation  ($1.3  million) and a decrease in  prepaid
  expense ($.8   million)  and  was  partially  offset  by
  increases   in inventories ($1.5 million), during the nine
  months ended July 31, 1998.

  Cash  used in investing activities was $4.6 million for the
  nine months ended July 31, 1998 compared to $1.1 million for the
  nine months ended July 31, 1997.  The increase was principally
  due  to higher  capital expenditures for the expansion of  the
  Company's bus manufacturing facilities.
 
  Cash  flow provided by financing activities was $2.1 million
  for the  nine  months ended July 31, 1998 compared to  cash
  used  in financing  activities of $5.7 million for the nine
  months  ended July  31,  1997.  This change principally resulted
  from increases in  borrowings  for the nine months ended July
  31,  1998. This increase  was  partially  offset by  the  payment
  of  four cash dividends  totaling  $1.5 million.  The Company  paid  a
  regular quarterly  cash  dividend of $.025 per share  in
  December  1997, March 1998 and June 1998, and a special cash
  dividend of $.13 per share in January, 1998.

  The Company believes that its cash flows from operations and
  bank credit  lines  will be sufficient to satisfy its  future
  working capital and capital expenditure requirements.

  At  July  31,  1998,  the  Company had entered  into
  contractual commitments  for the purchase of certain
  manufacturing  equipment of  approximately  $1.0 million. Except
  as previously  noted,  at July  31,  1998,  there  were  no
  other  significant  or  unusual contractual commitments or
  capital expenditure commitments.

  SAFE  HARBOR  STATEMENT  UNDER THE PRIVATE SECURITIES
  LITIGATION REFORM ACT OF 1995

  Except  for the historical information contained herein,
  certain matters   discussed   in  this  Form  10-Q  are
  forward-looking statements  which involve risks and
  uncertainties, including  but not   limited   to   economic,
  competitive,   governmental   and technological   factors
  affecting  the  Company's   operations,
  markets, products, services, prices and other factors.
 

  PART II - OTHER INFORMATION
  
  Item 1 - Legal Proceedings
         Not applicable

  Item 2 - Changes in Securities
         Not applicable

  Item 3 - Defaults on Senior Securities
         Not applicable

  Item 4 - Submission of Matters to a Vote of Security-Holders
         Not applicable
     
  Item 5 - Other Information
         Not applicable

  Item 6 - Exhibits and Reports on Form 8-K

         (a)  Exhibits:
                    27.0 - EDGAR Financial Data Schedule
                               
         (b)  Reports on Form 8-K - No reports on Form 8-K were
              filed during the quarter ended July 31, 1998.



                                 SIGNATURE
                               
                               
  Pursuant  to the requirements of the Securities Exchange  Act
  of  1934,  the registrant has duly caused this report  to  be
  signed  on  its  behalf  by  the undersigned  thereunto  duly
  authorized.


                                         COLLINS INDUSTRIES, INC.
                                         (REGISTRANT)
                              
                              
                              
  DATE         September 14, 1998         /s/ Larry W. Sayre
                                          LARRY W. SAYRE
                                          VICE PRESIDENT - FINANCE AND
                                          CHIEF FINANCIAL OFFICER
                                          (Principal Accounting Officer)