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 June 30, 1997

                                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 0-1055

                 FLORIDA PUBLIC UTILITIES COMPANY
      (Exact name of registrant as specified in its charter)

           Florida                                      59-0539080
(State or other jurisdiction of          (I.R.S. Employer Identification No.) 
  incorporation or organization)

401 South Dixie Highway, West Palm Beach, FL          33401
  (Address of principal executive offices)          (Zip Code)

(Registrant's telephone number, including area code)   (561)  832-2461

(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 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 ISSUERS INVOLVED IN BANKRUPTCY
           PROCEEDINGS DURING THE PRECEDING FIVE YEARS

  Indicate by check mark whether the registrant has filed all documents and
reports required to be filed by Sections 12, 13 or 15(d) of the Securities
Exchange Act of 1934 subsequent to the distribution of securities under a
plan confirmed by a court.  Yes    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.  At July 31, 1997 there were
1,486,355 shares of $1.50 par value common shares outstanding.










                 FLORIDA PUBLIC UTILITIES COMPANY
        CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
                          (in thousands)


                                               June 30,   December 31, 
                                                 1997         1996     

ASSETS

Utility Plant                                 $109,447       $106,684 
  Less accumulated depreciation and
    amortization                                38,062         36,808 
      Net utility plant                         71,385         69,876 
 
Current Assets
  Cash and overnight investments                   398            841 
  Accounts receivable - net                      6,645          8,062 
  Inventories and prepayments                    3,355          4,079 
      Total                                     10,398         12,982 

Investments Held in Escrow for
  Environmental Costs                            2,840          2,881 

Deferred Charges                                 1,185          2,430 

Deferred Income Taxes and 
  Regulatory Asset                               2,844          2,825 
  
      Total                                   $ 88,652       $ 90,994 


CAPITALIZATION AND LIABILITIES

Capitalization
  Common shareholders' equity                 $ 25,331       $ 24,511 
  Preferred stock                                  600            600 
  Long-term debt                                23,500         23,500 
      Total                                     49,431         48,611 

Current Liabilities
  Notes payable                                  6,100          7,900 
  Accounts payable                               5,393          7,564 
  Taxes accrued                                  1,169            308 
  Other                                          4,762          4,677 
  Customer deposits                              3,723          3,634 
      Total                                     21,147         24,083 

Deferred Credits                                 7,163          6,975 

Deferred Income Taxes and
  Regulatory Liability                          10,911         11,325 

      Total                                   $ 88,652       $ 90,994 











                  FLORIDA PUBLIC UTILITIES COMPANY
      CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
           (dollars in thousands, except per share data)



                                 Three Months Ended       Six Months Ended
                                       June 30,               June 30,    
                                    1997       1996        1997       1996

Revenues
  Natural gas                    $ 7,578    $ 6,862    $ 18,280    $17,898 
  Electric                         8,891      9,611      18,451     20,004 
  Water                              486        485         925        897 
  Propane gas                        923        960       2,365      2,638 
     Total revenues              $17,878     17,918      40,021     41,437 

Cost of Fuel and Taxes
 Based on Revenues                11,492     11,731      26,327     27,255 

Operating Margin                   6,386      6,187      13,694     14,182 

Operating Expenses
  Operations                       3,451      3,447       6,921      6,829 
  Depreciation                     1,003        964       1,997      1,923 
  Taxes other than income taxes      446        408         905        841 
  Income taxes                       256        228         837      1,183 
    Total operating expenses       5,156      5,047      10,660     10,776 

Operating Income                   1,230      1,140       3,034      3,406 

Interest Expense                    (723)      (716)     (1,482)    (1,426)
Other Income (Expense)                19         (6)         20          2 

Net Income                           526        418       1,572      1,982 
  
Preferred Stock Dividends              7          7          14         14 

Earnings For Common Stock        $   519    $   411     $ 1,558    $ 1,968 

Earnings Per Common Share        $   .35    $   .28     $  1.05    $  1.34 

Dividends Per Common Share       $   .30    $   .30     $   .60     $   .60 

Weighted Average Common Shares
  Outstanding                  1,481,297  1,466,475   1,480,034   1,465,477 







                 FLORIDA PUBLIC UTILITIES COMPANY
   CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
                          (in thousands)


                                                        Six Months Ended  
                                                             June 30,      
                                                        1997          1996 
Cash Flows from Operating Activities
  Net income                                         $ 1,572       $ 1,982 
  Adjustments to reconcile net income to net
    cash provided (used) by operating activities
    Depreciation                                       1,997         1,923 
    Deferred income taxes                               (432)          579 
    Other                                                132           142 
  Changes in operating assets and liabilities
    Accounts receivable                                1,335           269 
    Inventories and prepayments                          724          (372)
    Accounts payable and accrued expenses             (1,139)        1,003 
    Deferred credits                                     (28)           66      
    Over/(under) recovery of fuel costs                1,420        (1,224)

    Net cash provided by operating activities          5,581         4,368 

Cash Flows from Investing Activities
  Construction expenditures                           (3,591)       (3,485)
  Other                                                  117           120 

    Net cash used by investing activities             (3,474)       (3,365)

Cash Flows from Financing Activities
  Net change in short-term borrowings                 (1,800)          100 
  Dividends paid                                        (900)         (877)
  Other                                                  150           163 

    Net cash used by financing activities             (2,550)         (614)

Net Increase in Cash and Cash Equivalents               (443)          389 

Cash and Overnight Investments at Beginning
  of Period                                              841           270 

Cash and Overnight Investments at 
  End of Period                                      $   398       $   659 






                  FLORIDA PUBLIC UTILITIES COMPANY
       NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
                          JUNE 30, 1997

1.   In the opinion of the Company, the accompanying condensed consolidated
     financial statements contain all adjustments (consisting only of normal
     recurring accruals) necessary to present fairly the financial
     information contained therein.  The results of operations are not
     necessarily indicative of the results expected for the full year.

2.   The First Mortgage Bond Indentures provide for restrictions on the
     payment of cash dividends.  At June 30, 1997 under the most restrictive
     provision, approximately $4,200,000 of retained earnings were
     unrestricted.










                 FLORIDA PUBLIC UTILITIES COMPANY
             MANAGEMENT'S DISCUSSION AND ANALYSIS OF
          FINANCIAL CONDITION AND RESULTS OF OPERATIONS
                          JUNE 30, 1997



Financial Condition  The Company has a $15,000,000 line of credit with its
primary bank of which $6,100,000 is outstanding at June 30, 1997.  The line
provides for interest at LIBOR plus 50 basis points.  The Company is approved
by the Florida Public Service Commission to borrow up to $15,000,000 on a line
of credit basis, $14,000,000 of which is available for general corporate
purposes with the remaining $1,000,000 reserved as a contingency for major
storm repairs in the Marianna electric division.

Overview  The Company is organized into three regulated business segments,
natural gas, electric and water and one non-regulated segment, propane gas. 
The gas and electric segments aggregate approximately 94% of total operating
margin.

Contributing to variations in operating margins are the effects of seasonal
weather conditions, the timing of rate increases and the migration of winter
residents and tourists to central and southern Florida during the winter
season.

Summary of Operating Margins
  (in thousands)
                                               Six Months Ended June 30,    
                                             1997        1996        1995      
Natural and Propane Gas
  Operating margin                        $ 8,237     $ 8,749     $ 7,804 
  Less propane gas                          1,286       1,518       1,440 
  Remainder                               $ 6,951     $ 7,231     $ 6,364 

Electric
  Operating margin                        $ 4,617     $ 4,616     $ 4,365 
  Less industrial                             281         264         308 
  Remainder                               $ 4,336     $ 4,352     $ 4,057 

                                              Three Months Ended June 30,   
                                             1997        1996        1995 
Natural and Propane Gas
  Operating margin                        $ 3,651     $ 3,476     $ 3,259 
  Less propane gas                            526         578         548 
  Remainder                               $ 3,125     $ 2,898     $ 2,711 

Electric
  Operating margin                        $ 2,294     $ 2,269     $ 2,206 
  Less industrial                             148         139         147 
  Remainder                               $ 2,146     $ 2,130     $ 2,059 

Operating Margin  Operating margin, defined as gross operating revenues less
cost of fuel and taxes passed-through to customers which are based on
revenues, provides a more meaningful basis for evaluating utility operations
since fuel costs and taxes passed-through to customers have no effect on
results of operations.

Six Months Ended June 30, 1997 Compared With Six Months Ended June 30, 1996

Natural and Propane Gas Service.  Total natural and propane gas service
operating margin decreased $512,000 or about 6% in 1997 as compared with 1996.
Excluding propane gas operating margin from total gas operating margin,
remaining operating margin decreased $280,000 or about 4% in 1997 as compared
with 1996.  The decrease in natural gas operating margin is due principally to
a 60% decrease in heating degree days early in 1997.  Propane gas operating
margin decreased $232,000, or about 15%.  Similarly, the decrease in propane
gas operating margin is due principally to the warmer weather early in 1997.

Total natural and propane gas service operating margin increased $945,000 or
about 12% in 1996 as compared with 1995.  Excluding propane gas operating
margin from total gas operating margin, remaining operating margin increased
$867,000, or about 14% as compared with 1995.  The increase in natural gas
operating margin is due primarily to an approximate 45% increase in heating
degree days from the comparable period in 1995 and the effect of an approved
final increase in base rates of $1,282,000 annually, which commenced last May
(approved lesser interim rates were in effect for the year until May 5th of
1995).  Propane gas operating margin increased $78,000, or about 5%. 
Similarly, the increase in propane gas operating margin is due principally to
the colder weather in 1996. 

Electric Service.  Total electric service operating margin remained unchanged
in 1997 as compared with 1996.  Affecting the comparison of operating margin
are two industrial customers.  Excluding these customers, operating margin
decreased $16,000.  The effect on consumption of the warmer weather early in
1997 was greater than the 2.5% increase in customer growth.

Total electric service operating margin increased $251,000, or about 6% as
compared with 1995.  Affecting the comparison of operating margins are two
industrial customers.  Excluding these customers, operating margin increased
$295,000, about 7%.  Other than industrial customers, the increase in
operating margin is due principally to a 2% growth in customers and a 4%
increase in average consumption per customer.  A portion of the increase in
average consumption per customer is attributable to the colder weather in 1996
as compared with 1995.

Operating Expenses.  In 1997, operating expenses, excluding cost of fuel and
taxes passed-through to customers, increased $229,000, or almost 2% in
relation to operating margin.  Operating expenses increased marginally in all
classifications of expense due primarily to inflationary effects. 

In 1996, operating expenses, excluding cost of fuel and taxes passed-through
to customers, increased $331,000, or 2% in relation to operating margin. 
Operating expenses have generally increased in all classifications of expense
due primarily to inflationary pressures.

Income taxes were provided for at approximately the same rate in both six-month 
periods.  The difference between the periods in the apparent rate is due
principally to amortization of investment tax credits.

Interest expense increased in 1997 versus 1996 due primarily to greater
weighted average amounts outstanding at slightly greater rates in 1997 as
compared with 1996.

Cash Flows.  Net cash provided by operating activities increased $1,213,000
due to major changes in almost every component of cash provided by operating
activities.  The most significant of the changes occurred in over/under
recovery of fuel costs, a change of $2,644,000, due to increased natural gas
prices in 1996 that were not recovered from customers until 1997.  Also, a
change of $2,142,000 occurred in accounts payable and accrued expenses, due
principally to increased off-system sales and increased gas and electric fuel
costs.  The change in deferred taxes resulted from the changes in over/under
recovery of fuel costs.

Three Months Ended June 30, 1997 Compared with Three Months Ended June 30, 1996

Natural and Propane Gas Service.  Total natural and propane gas service
operating margin increased $175,000 or about 5% in 1997 as compared with 1996. 
Excluding propane gas operating margin from total gas operating margin,
remaining operating margin decreased $227,000 or about 8% in 1997 as compared
with 1996.  The increase in natural gas operating margin is due principally to
an approximate 2% increase in customers and a 5% increase in average
consumption per customer.  Propane gas operating margin decreased $52,000, or
about 9%, due primarily to a 2% decrease in customers (some of which were
converted to natural gas) and an 8% decrease in average consumption per
customer.

Total natural and propane gas service operating margin increased $217,000 or
about 7% as compared with 1995.  Excluding propane gas operating margin from
total gas operating margin, remaining operating margin increased $187,000, or
about 7% as compared to 1995.  The increase in natural gas operating margin is
due primarily to cooler weather in 1996 as compared with 1995 and the effect
of an  approved final increase in base rates in the natural gas divisions,
which commenced last May (approved lesser interim rates were in effect for the
1995 year until May 5th).  Propane gas operating margin increased $30,000,
about 5%.  Similarly, the increase in propane gas operating margin is due
principally to the cooler weather in 1996.

Electric Service.  Total electric service operating margin increased $25,000
or 1% in 1997 as compared with 1996.  Affecting the comparison of operating
margin are two industrial customers.  Excluding these customers, operating
margin increased $16,000 or less than 1%. 

Total electric service operating margin increased $63,000, about 3% in 1996,
as compared with 1995.  Affecting the comparison of operating margins are two
industrial customers.  Excluding these customers, operating margin increased
$71,000, about 3%.  Other than industrial customers, the increase in operating
margin is due primarily to a 2% growth in customers.

Operating Expenses.  In 1997, operating expenses, excluding cost of fuel and
taxes passed-through to customers, increased $81,000, or about 1% in relation
to operating margin.  Operating expenses increased marginally in all
classifications of expense, due primarily to inflationary pressures.

In 1996, operating expenses, excluding cost of fuel and taxes passed-through
to customers, increased $147,000, about 2% in relation to operating margin. 
Operating expenses have increased in all classifications of expense due
primarily to inflationary pressures.

Income taxes were provided for at approximately the same rate in both three-
month periods.  The difference between the periods in the apparent rate is due
mainly to amortization of investment tax credits.

Interest expense increased in 1997 versus 1996 due primarily to greater
weighted average amounts outstanding at slightly greater rates in 1997 as
compared with 1996. 

PART II.

                        OTHER INFORMATION



Item 6. Exhibits and reports on Form 8-K.

        (a)  None.

        (b)  Reports on Form 8-K:
             There were no reports on Form 8-K filed for the quarter ending    
             June 30, 1997.

                            SIGNATURES

     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.

                                                         
                                   FLORIDA PUBLIC UTILITIES COMPANY
                                   (Registrant)




                                   

                                   By    /s/ Jack R. Brown            
                                   Jack R. Brown
                                   Treasurer
                                   (DULY AUTHORIZED OFFICER
                                   AND
                                   CHIEF FINANCIAL OFFICER)


Date: August 13, 1997