SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                  --------------------------------------------
                                 F O R M  10-Q

 
                   Quarterly Report Under Section 13 or 15(d)
                     of the Securities Exchange Act of 1934
                  -------------------------------------------


For Quarter Ended March 31, 1998                   Commission File Number 0-7282
                   

                            COMPUTER HORIZONS CORP.
             ------------------------------------------------------
             (Exact name of registrant as specified in its charter)


           New York                                         13-2638902
-------------------------------                       ----------------------
(State or other jurisdiction of                          (I.R.S. Employer
incorporation or organization)                        Identification Number)

        49 Old Bloomfield Avenue, Mountain Lakes, New Jersey 07046-1495
--------------------------------------------------------------------------------
(Address of principal executive offices)                          (Zip code)

       Registrant's telephone number, including area code (973) 299-4000
                                                          --------------

                                 Not Applicable
            -------------------------------------------------------
            (Former name, former address and former fiscal year, if
                           changed since last report)

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  twelve 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.

                                X
                               ---              --
                               Yes              No

As  of  May  11,  1998,  the  issuer  had  28,942,078  shares  of  common  stock
outstanding.

<PAGE>

                             COMPUTER HORIZONS CORP.


                                      Index


                                                                 

Part I            Financial Information

                  Consolidated Balance Sheets
                  March 31, 1998 and December 31, 1997           

                  Consolidated Statements of Income
                  Three Months Ended
                  March 31, 1998 and 1997                        

                  Condensed Consolidated Statements of
                  Cash Flows  -  Three Months Ended
                  March 31, 1998 and 1997                        

                  Notes to Consolidated Financial Statements     

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

Part II           Other Information                              

                  Signatures                                     


<PAGE>
<TABLE>
<CAPTION>
COMPUTER HORIZONS CORP. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS                                 (Unaudited)

                                                                        March 31,       December 31,
                                                                          1998              1997
                                                                        --------          --------
                                                                         (dollars in thousands)
<S>                                                                     <C>               <C>     
ASSETS
CURRENT ASSETS:
  Cash and cash equivalents                                             $ 78,992          $ 88,633
  Short term investments                                                  22,199            13,165
  Accounts receivable, net of allowance for doubtful
    accounts of $1,859,000 and $1,742,000 at March 31, 1998
    and December 31, 1997, respectively                                   94,046            79,526
  Deferred income tax benefit                                              1,937             1,818
  Other                                                                    1,201             1,087
                                                                        --------          --------
          TOTAL CURRENT ASSETS                                           198,375           184,229
                                                                        --------          --------

PROPERTY AND EQUIPMENT                                                    16,294            12,479
  Less accumulated depreciation                                            8,031             7,101
                                                                        --------          --------
                                                                           8,263             5,378
                                                                        --------          --------

OTHER ASSETS - NET:
  Goodwill                                                                16,939            17,090
  Deferred income tax benefit                                                947               816
  Other                                                                    7,548             4,088
                                                                        --------          --------
          TOTAL OTHER ASSETS                                              25,434            21,994
                                                                        --------          --------

TOTAL ASSETS                                                            $232,072          $211,601
                                                                        ========          ========


LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES:
  Current portion of long-term debt                                     $  1,010          $  1,432
  Accrued payroll, payroll taxes and benefits                             17,502            17,526
  Accounts payable                                                         2,187             1,830
  Income taxes payable                                                     7,090             3,394
  Other accrued expenses                                                   4,493             2,634
                                                                        --------          --------
          TOTAL CURRENT LIABILITIES                                       32,282            26,816
                                                                        --------          --------

LONG-TERM DEBT                                                             1,000              --
                                                                        --------          --------

OTHER LIABILITIES                                                          3,395             2,253
                                                                        --------          --------
<PAGE>
<CAPTION>
COMPUTER HORIZONS CORP. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS                                 (Unaudited)

                                                                        March 31,       December 31,
                                                                          1998              1997
                                                                        --------          --------
                                                                         (dollars in thousands)
<S>                                                                     <C>               <C>     
SHAREHOLDERS' EQUITY:
  Preferred stock, $.10 par; authorized and unissued 200,000
    shares, including 50,000 Series A
  Common stock, $.10 par, authorized 60,000,000 shares; issued
    30,314,282 shares and 29,360,069 shares at March 31, 1998
    and December 31, 1997, respectively                                    3,031             2,936
  Additional paid-in capital                                             117,533           117,718
  Retained earnings                                                       86,531            75,750
                                                                        --------          --------
                                                                         207,095           196,404
  Less shares held in treasury, at cost; 1,427,198 shares and
    1,692,253 shares at March 31, 1998 and December 31, 1997,
    respectively                                                          11,700            13,872
                                                                        --------          --------
          TOTAL SHAREHOLDERS' EQUITY                                     195,395           182,532
                                                                        --------          --------


TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY                              $232,072          $211,601
                                                                        ========          ========
</TABLE>


See notes to consolidated financial statements.

<PAGE>
<TABLE>
<CAPTION>
COMPUTER HORIZONS CORP. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME                      (Unaudited)

                                                                                 THREE MONTHS ENDED
                                                           -----------------------------------------------------------
                                                                MARCH 31, 1998                        MARCH 31, 1997
                                                           --------------------                    -------------------
                                                                    (dollars in thousands, except per share data)
<S>                                                      <C>                                    <C>       
REVENUES:
    Services                                               $103,563        96.7%                   $73,940       100.0%
    Products                                                  3,538         3.3%                         -
                                                           --------------------                    -------------------

                                                            107,101       100.0%                    73,940       100.0%
                                                           --------------------                    -------------------
COSTS AND EXPENSES:
     Direct costs - Services                                 67,584        63.1%                    50,418        68.2%
     Direct costs - Products                                    593         0.6%                          -
     Selling, general and                                                   0.0%
        administrative                                       23,329        21.8%                    16,291        22.0%
    Merger-related expenses                                   1,328         1.2%                          -
                                                           --------------------                    -------------------
                                                             92,834        86.7%                    66,709        90.2%
                                                           --------------------                    -------------------
INCOME FROM OPERATIONS                                       14,267        13.3%                     7,231         9.8%
                                                           --------------------                    -------------------
OTHER INCOME (expense):
     Interest income                                          1,310         1.2%                       112         0.2%
     Interest expense                                           (41)        0.0%                       (80)       -0.1%
     Equity in Joint Venture net earnings (loss)                (90)       -0.1%                       150         0.2%
                                                           --------------------                    -------------------
                                                              1,179         1.1%                       182         0.2%
                                                           --------------------                    -------------------
INCOME BEFORE INCOME TAXES                                   15,446        14.4%                     7,413        10.0%
                                                           --------------------                    -------------------
INCOME TAXES:
     Current                                                  7,596         7.1%                     3,097         4.2%
     Deferred                                                  (324)       -0.3%                        51         0.1%
                                                           --------------------                    -------------------
                                                              7,272         6.8%                     3,148         4.3%
                                                           --------------------                    -------------------
NET INCOME                                                   $8,174         7.6%                    $4,265         5.8%
                                                           ====================                    ===================
EARNINGS PER SHARE:
    Basic                                                     $0.28                                  $0.17
                                                           =============                           ==============
    Diluted                                                   $0.27                                  $0.16
                                                           =============                           ==============
WEIGHTED AVERAGE NUMBER OF
SHARES OUTSTANDING:
    Basic                                                28,827,000                             24,848,000
    Diluted                                              30,367,000                             26,174,000
                                                       =============                         ==============
</TABLE>
See notes to consolidated financial statements.
<PAGE>
<TABLE>
<CAPTION>
COMPUTER HORIZONS CORP. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS                          (Unaudited)

                                                             Three Months Ended
                                                        ---------------------------
                                                        March 31,          March 31,
                                                          1998               1997
                                                        --------           --------
                                                               (in thousands)

<S>                                                     <C>                <C>      
CASH FLOWS FROM OPERATING ACTIVITIES                    $  1,794           ($ 5,734)
                                                        --------           --------

CASH FLOWS FROM INVESTING ACTIVITIES
   Purchases of short-term investments                    (8,384)                 0
   Purchases of property and equipment                    (2,786)              (383)
   (Increase) decrease in other assets                      (465)               424
                                                        --------           --------
                                                         (11,635)                41
                                                        --------           --------

CASH FLOWS FROM FINANCING ACTIVITIES
   Repayment of long-term debt                            (1,432)                 0
   Stock options exercised                                 1,632                886
                                                        --------           --------
                                                             200                886
                                                        --------           --------

NET DECREASE IN CASH AND CASH EQUIVALENTS                 (9,641)            (4,807)

CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR            88,633             11,993
                                                        --------           --------

CASH AND CASH EQUIVALENTS AT END OF PERIOD              $ 78,992           $  7,186
                                                        ========           ========
</TABLE>

See notes to consolidated financial statements.
<PAGE>
                             COMPUTER HORIZONS CORP.

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

                 For the Quarters Ended March 31, 1998 and 1997



         The  information  furnished  reflects  all  adjustments  which,  in the
opinion  of the  Company,  are  necessary  to present  fairly  its  consolidated
financial  position and the results of its  operations  and changes in financial
position for the periods indicated.

         Reference is made to the Company's annual financial  statements for the
year ended  December 31, 1997,  for a description  of the  accounting  policies,
which have been continued without change. Also refer to the footnotes with those
annual statements for additional details of the Company's  financial  condition,
results of operations and changes in cash flows. The details in those notes have
not changed except as a result of normal transactions in the interim.

         The results of operations for 1997 have been retroactively  adjusted to
reflect  the  three-for-two  common  stock  split  in the  form  of a 50%  stock
distribution  declared by the Company on May 7, 1997, as well as the acquisition
of CG Computer  Services  Corp.,  which has been  accounted  for as a pooling of
interests.  The results of Princeton Softech, Inc., which is being accounted for
as an immaterial pooling of interests, are included from January 1, 1998.


         Earnings per Share:  Basic  earnings per share  ("EPS") is based on the
weighted average number of common shares  outstanding  without  consideration of
common stock  equivalents.  Diluted  earnings per share is based on the weighted
average  number  of  common  and  common  equivalent  shares  outstanding.   The
calculation  takes into  account the shares that may be issued upon  exercise of
stock  options,  reduced by the shares  that may be  repurchased  with the funds
received from the exercised, based on the average price during the year.

         In accordance with SFAS No.128, the table below presents both basic and
diluted earnings per share:
<TABLE>
<CAPTION>
                                                             Three Months
                                                            Ended March 31,
                                                     ---------------------------
                                                         1998            1997
                                                     -----------     -----------
<S>                                                  <C>             <C>        
Numerator:
     Net income                                      $     8,174     $     4,265

Denominator:
     Denominator for basic earnings per share
          Weighted average shares outstanding         28,827,000      24,848,000

Effect of stock options                                1,540,000       1,326,000

Dilutive potential earnings per share:
     Denominator for diluted earnings per share
          Adjusted weighted average shares
          outstanding and assumed conversions         30,367,000      26,174,000

Basic earnings per share                             $      0.28     $      0.17

Diluted earnings per share                           $      0.27     $      0.16
</TABLE>

<PAGE>
         The  computation of diluted  earnings per share  excludes  options with
exercise  prices greater than the average market price.  All options to purchase
shares of common stock were included in the computation of diluted  earnings per
share in 1998.  During 1997, there were 33,750 excluded  options  outstanding at
March 31, 1997, with an exercise price of $38.50 per share.


Subsequent Events
         At the Company's  annual  meeting of  shareholders  on May 6, 1998, the
shareholders   approved  an   amendment   to  the   Company's   Certificate   of
Incorporation,  increasing  the number of shares of common stock  authorized for
issuance to  100,000,000  from  60,000,000.  At that same meeting,  shareholders
approved an amendment to the  Company's  1991  Director's  Stock Option Plan, as
amended, to decrease the number of options granted to a director upon his or her
initial  election  to the Board,  to 10,000  options  from 75,938  options.  The
amendment also eliminated the maximum number of Annual Grants that could be made
to a director, which had been five prior to the amendment.
<PAGE>
                     MANAGEMENT'S DISCUSSION AND ANALYSIS OF
                  FINANCIAL CONDITION AND RESULTS OF OPERATIONS

                 For the Quarters Ended March 31, 1998 and 1997

     Revenues. Revenues increased to $107.1 million in the first quarter of 1998
from $73.9 million in the first quarter of 1997, an increase of $33.2 million or
44.9%. Staffing revenues increased to $58.6 million in the first quarter of 1998
from $53.0 million in the first quarter of 1997 , an increase of $5.6 million or
10.6%.  Total  solutions  revenues,  including Year 2000 revenues,  increased to
$45.0  million  in the first  quarter  of 1998 from  $20.9  million in the first
quarter of 1997 , an increase  of $24.1  million or 115.3%.  Year 2000  services
revenues  increased  to $33.2  million  in the first  quarter of 1998 from $11.4
million  in the  first  quarter  of 1997,  an  increase  of $21.8  million.  The
Company's Year 2000 business  accounted for 31.0% of total revenues in the first
quarter of 1998 versus  15.4% of total  revenues  in the first  quarter of 1997.
Solutions revenues,  excluding Year 2000 services, increased to $11.8 million in
the first  quarter of 1998 from $9.5  million in the first  quarter of 1997,  an
increase of $2.3 million or 24.2%.  The Company's  product revenues totaled $3.5
million for the first quarter of 1998.

    Direct Costs.  Direct costs  increased to $68.2 million in the first quarter
of 1998 from $50.4 million in the first quarter of 1997.  Gross margin increased
to 36.3% in the first  quarter of 1998 from 31.8% in the first  quarter of 1997.
The  increase  in gross  margin  was  primarily  due to  stable  margins  in the
Company's  staffing business and an increase in the Company's higher margin Year
2000 business. The Company's margins are subject to fluctuations due to a number
of factors,  including the level of salary and other  compensation  necessary to
attract and retain qualified technical personnel, and the mix of staffing versus
solutions business during a particular quarter.

    Selling,  General and  Administrative.  Selling,  general and administrative
expenses (excluding  merger-related  expenses) increased to $23.3 million in the
first  quarter of 1998 from  $16.3  million  in the first  quarter  of 1997,  an
increase of $7.0 million or 42.9%. As a percentage of revenues, selling, general
and administrative expenses decreased slightly to 21.8% of revenues in the first
quarter  of 1998  from  22.0% of  revenues  in the first  quarter  of 1997 . The
increase  in  dollars  in  selling,  general  and  administrative  expenses  was
primarily  a result  of  salaries  and  commissions  for  additional  sales  and
recruiting  personnel and, to a lesser extent,  growth in the Company's  general
and  administrative  infrastructure.  In the first quarter of 1998,  the Company
incurred  merger-related  expenses of  approximately  $1.3  million,  or 1.2% of
revenues.
<PAGE>
Income  from  Operations.  Operating  margins  increased  to 13.3% in the  first
quarter of 1998 from 9.8% in the first  quarter of 1997.  These  increases  were
primarily  due to increases in the Company's  higher margin Year 2000  business,
partially  offset by  merger-related  expenses in the first quarter of 1998. The
Company's business is labor-intensive and, as such, is sensitive to inflationary
trends.  This sensitivity applies to client billing rates, as well as to payroll
costs.

     Other Income.  Other income  increased to $1.2 in the first quarter of 1998
from $0.2  million in the first  quarter of 1997,  an increase of $1.0  million.
This increase was primarily the result of increased  interest  income  resulting
from the follow-on  offering of approximately $84 million completed in the third
quarter of 1997.  This increase was  partially  offset by a decrease in earnings
from the Company's Birla Horizons Joint Venture.  The Joint Venture's  decreased
earnings  in  1998  were  primarily  due  to  costs  associated  with  increased
headcount,  particularly  in marketing  and project  management  personnel as it
expanded its solutions business.

     Provision for Income Taxes.  The effective tax rate for Federal,  state and
local income  taxes was 47.1% and 42.5% for the first  quarter of 1998 and 1997,
respectively.  The  increase  in the 1998  rate  was  primarily  due to  certain
non-deductible merger-related expenses incurred during the quarter.

    Net Income.  Net income  increased to $8.2 million for the first  quarter of
1998 from $4.3  million  for the first  quarter  of 1997,  an  increase  of $3.9
million or 90.7%.  Net income per share (diluted) was $0.27 versus $0.16 for the
first quarter of 1998 and 1997, respectively.

    Liquidity and Capital  Resources.  At March 31, 1998, the Company had $166.1
million in working  capital,  of which $101.2 million was cash, cash equivalents
and  short-term  investments.  There were no borrowings  under its bank lines of
credit.

         Net cash provided by operating  activities in the first three months of
1998 was $1.8 million,  consisting primarily of net income, offset in part by an
increase in accounts receivable. During the first three months of 1997, net cash
used in  operating  activities  was $5.8  million,  primarily  as a result of an
increase  in  accounts  receivable,  largely  due to  growth  in  the  Company's
solutions business.

         Net cash used in investing activities in the first three months of 1998
was  $11.6  million,   consisting   primarily  of  the  purchase  of  short-term
investments, as well as purchases of equipment. During the first three months of
1997, cash used in investing activities consisted of equipment purchases, offset
by a decrease in other assets.
<PAGE>
         Net cash  provided by  financing  activities  was $0.2  million for the
first three months of 1998, with proceeds  received from stock option  exercises
exceeding the amount of repayment of long-term  debt. For the first three months
of 1997, net cash provided by financing activities was $0.9 million,  consisting
of proceeds received from stock option exercises.

         At March 31, 1998,  the Company had a current ratio  position of 6.1 to
1,  approximately  $1.0 million of long-term debt and no outstanding  borrowings
under its two unsecured lines of credit.  The Company believes that its cash and
cash  equivalents  and  short-term  investments,  lines of credit and internally
generated  funds will be  sufficient  to meet its working  capital needs through
1998.

     Certain   Disclosures.   This  report  contains   certain   forward-looking
statements  for  purposes  of  the  "safe  harbor"  provisions  of  the  Private
Securities  Litigation  Reform Act of 1995 that involve risks and  uncertainties
that could cause actual results to differ materially.  Such statements are based
upon,  among  other  things,  assumptions  made by,  and  information  currently
available to management,  including  management's own knowledge and assesment of
the Company's industry and competition.
<PAGE>
                            PART II Other Information

Item 6.

         b) Two reports on Form 8-K have been filed during the quarter for which
this report is filed. One form was filed on March 17, 1998,  consistent with the
Company's  acquisition  of Princeton  Softech,  Inc. The other form was filed on
February 24, 1998,  reporting  the Company's  earnings for the period  January 1
through January 31, 1998, in connection with meeting the requirements for ending
the pooling restrictions on resales of stock.


                                   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 thereunto duly authorized.


                             COMPUTER HORIZONS CORP.
                                  (Registrant)



DATE:       May 11, 1998            /s/John J. Cassese
         -----------------         --------------------------------------
                                   John J. Cassese, Chairman of the Board
                                   and President


DATE:       May 11, 1998            /s/William J. Murphy
         -----------------         --------------------------------------
                                   William J. Murphy, Executive Vice President
                                   and Chief Financial Officer
                                   (Principal Financial Officer)


DATE:       May 11, 1998           /s/Michael J. Shea
         -----------------         --------------------------------------
                                   Michael J. Shea
                                   Vice President and Controller
                                   (Principal Accounting Officer)