<TABLE> <S> <C>


<ARTICLE>                     5
<LEGEND>
         THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
         UNAUDITED  CONSOLIDATED  BALANCE  SHEET  AS OF MARCH  31,  1997 AND THE
         UNAUDITED  CONSOLIDATED  STATEMENT OF INCOME FOR THE THREE MONTHS ENDED
         MARCH 31, 1997 OF  TEL-SAVE  HOLDINGS,  INC.  AND  SUBSIDIARIES  AND IS
         QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER>                                                    1
<CURRENCY>                                           U.S. DOLLARS
       
<S>                                     <C>
<PERIOD-TYPE>                                               3-MOS
<FISCAL-YEAR-END>                                     DEC-31-1996
<PERIOD-START>                                        JAN-01-1997
<PERIOD-END>                                          MAR-31-1997
<EXCHANGE-RATE>                                                 1
<CASH>                                                $15,719,000
<SECURITIES>                                           24,459,000
<RECEIVABLES>                                          32,520,000
<ALLOWANCES>                                            1,348,000
<INVENTORY>                                                     0
<CURRENT-ASSETS>                                      101,849,000
<PP&E>                                                 36,297,000
<DEPRECIATION>                                            706,000
<TOTAL-ASSETS>                                        279,101,000
<CURRENT-LIABILITIES>                                  24,112,000
<BONDS>                                                         0
<PREFERRED-MANDATORY>                                           0
<PREFERRED>                                                     0
<COMMON>                                                  630,000
<OTHER-SE>                                            254,359,000
<TOTAL-LIABILITY-AND-EQUITY>                          279,101,000
<SALES>                                                         0
<TOTAL-REVENUES>                                       71,160,000
<CGS>                                                           0
<TOTAL-COSTS>                                          58,193,000
<OTHER-EXPENSES>                                                0
<LOSS-PROVISION>                                                0
<INTEREST-EXPENSE>                                              0
<INCOME-PRETAX>                                        12,493,000
<INCOME-TAX>                                            4,872,000
<INCOME-CONTINUING>                                     7,621,000
<DISCONTINUED>                                                  0
<EXTRAORDINARY>                                                 0
<CHANGES>                                                       0
<NET-INCOME>                                            7,621,000
<EPS-PRIMARY>                                                0.12
<EPS-DILUTED>                                                0.12
                                                               
                                                              

</TABLE>