FORM 10-Q

                     SECURITIES AND EXCHANGE COMMISSION
                            Washington, D.C.  20549
rk one)
  [ 3 ]        QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF
                      THE SECURITIES EXCHANGE ACT OF 1934

                   For the quarterly period ended May 2, 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 1-7288 



                          THE BOMBAY COMPANY, INC.

             (Exact name of registrant as specified in its charter)

                               Delaware                       75-1475223

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

  550 Bailey Avenue, Fort Worth, Texas                          76107

(Address of principal executive offices)                      (Zip Code)
                                 (817) 347-8200

              (Registrant's telephone number, including area code)



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 ______

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

            Class                 Number of shares outstanding at May 2, 1998

  Common stock, $1 par value                       38,128,556

                   THE BOMBAY COMPANY, INC. AND SUBSIDIARIES

                                   Form 10-Q

                           Quarter Ended May 2, 1998



                               TABLE OF CONTENTS


                        PART I -- FINANCIAL INFORMATION
                                                                     Page No.


 Financial Statements...............................................      3-6

 Management's Discussion and Analysis of Financial
   Condition and Results of Operations..............................      7-8



                          PART II -- OTHER INFORMATION



 Exhibits and Reports on Form 8-K...................................        9

 Signatures.........................................................       10


<TABLE>
                THE BOMBAY COMPANY, INC. AND SUBSIDIARIES
                  Consolidated Statements of Operations
                 (In thousands, except per share amounts)
                               (Unaudited)
<CAPTION>
                                                         Three Months Ended

                                                          May 2,     May 3,   
                                                           1998       1997    
                                                                             
<S>                                                      <C>        <C>
Net Sales                                                 $68,343    $67,231

Costs and expenses:
     Cost of sales, buying and store                       52,634     52,399
     occupancy costs
     Selling, general and administrative                   22,738     23,214
     expenses
     Interest income, net                                   (617)      (737)


          Total costs and expenses                         74,755     74,876
Loss before income taxes                                  (6,412)    (7,645)
Benefit for income taxes                                  (2,531)    (3,020)



     Net loss                                            ($3,881)   ($4,625)



Basic earnings per share                                  ($0.10)    ($0.12)



Diluted earnings per share                                ($0.10)    ($0.12)



Average common shares outstanding and
     dilutive potential common shares.                     38,121     38,022




Cash dividends per common share                                --         --




<FN>
The accompanying notes are an integral part of these consolidated financial
statements.
</TABLE>

<TABLE>
              THE BOMBAY COMPANY, INC. AND SUBSIDIARIES
                     Consolidated Balance Sheets
                        (Dollars in thousands)
<CAPTION>
                                           May 2,    January 31,    May 3,
                                            1998        1998         1997

ASSETS                                  (Unaudited)               Unaudited)

<S>                                       <C>           <C>          <C>
Current assets:
  Cash and cash equivalents                $40,666       $56,110     $56,477
  Inventories                               87,787        85,861      65,843
  Deferred taxes                             3,400         3,400       3,428
  Other current  assets                     12,213         3,742      10,874


    Total current assets                   144,066       149,113      136,622

Property and equipment, net                 38,887        36,753      39,013
Goodwill, less amortization                    533           540         561
Other assets                                 9,415         9,056       8,729


    Total assets                          $192,901      $195,462     $184,925


<CAPTION>
LIABILITIES AND STOCKHOLDERS'EQUITY

<S>                                       <C>          <C>           <C>
Current liabilities:
  Accounts payable and accrued             $25,260      $23,019       $23,707
  expenses
  Accrued payroll and bonuses                3,371        4,390         3,504
  Gift certificates redeemable               2,737        3,008         2,103


    Total current liabilities               31,368       30,417        29,314


Accrued rent and other liabilities           6,904        6,807         6,347


Stockholders' equity:
  Preferred stock, $1 par value,
    1,000,000 shares authorized                 --           --            --
  Common stock, $1 par value,
  50,000,000
    shares authorized, 38,128,556;
    38,114,187
    and 38,042,509 shares issued,           38,129       38,114        38,043
    respectively
  Additional paid-in capital                75,960       75,904        75,624
  Retained earnings                         41,542       45,423        36,348
  Accumulated other comprehensive           (1,002)      (1,203)         (751)
  loss


    Total stockholders' equity             154,629      158,238       149,264


Total liabilities and stockholders'       $192,901     $195,462      $184,925
equity


<FN>
The accompanying notes are an integral part of these consolidated financial
statements.
</TABLE>

<TABLE>
               THE BOMBAY COMPANY, INC. AND SUBSIDIARIES
                 Consolidated Statements of Cash Flows
                        (Dollars in thousands)
                              (Unaudited)
<CAPTION>
                                                         Three Months Ended

                                                         May 2,        May 3,
                                                          1998          1997
<S>                                                     <C>          <C>
Cash flows from operating activities:
   Net loss                                             ($3,881)     ($4,625)
   Adjustments to reconcile net loss
      to net cash from operations:
         Depreciation and amortization                    2,350        2,554
         Deferred taxes and other                             7           68
         Noncash contributions to employee benefit plans     --          243
   Change in assets and liabilities:
         (Increase) decrease in inventories              (1,686)       3,710
         Increase in other current assets                (8,160)      (2,213)
         Increase (decrease) in current liabilities         586       (6,304)
         Increase in noncurrent assets                     (599)         (75)
         Increase (decrease) in noncurrent liabilities       82           (2)


   Net cash used by operations                          (11,301)      (6,644)


Cash flows from investing activities:
         Purchases of property and equipment             (4,262)        (397)
         Sales of property and equipment                    106           85


   Net cash used by investing activities                 (4,156)        (312)


Cash flows from financing activities:
         Sale of stock to employee benefit plans             50          186
         Proceeds from the exercise of employee stock        18           22
         options


   Net cash provided by financing activities                 68          208


Effect of exchange rate change on cash                      (55)          95


Net decrease in cash and cash equivalents               (15,444)      (6,653)

Cash and cash equivalents at beginning of period         56,110       63,130


Cash and cash equivalents at end of period              $40,666      $56,477


<CAPTION>
Supplemental disclosure of cash flow information:
<S>                                                       <C>          <C>
   Income taxes paid (refunded)                           $1,861       ($581)

<FN>
The accompanying notes are an integral part of these consolidated financial
statements.
</TABLE>


                   THE BOMBAY COMPANY, INC. AND SUBSIDIARIES

                   Notes to Consolidated Financial Statements


(1)Accounting Principles


   In the opinion of the Company, the accompanying consolidated financial
statements contain all adjustments (consisting of only normal recurring
adjustments) necessary to present fairly the financial position as of May 2,
1998 and May 3, 1997, and the results of operations and cash flows for the
three months then ended.  The results of operations for the three month
periods ended May 2, 1998 and May 3, 1997 are not necessarily indicative of
the results to be expected for the full fiscal year.  The consolidated
financial statements should be read in conjunction with the financial
statement disclosures contained in the Company's 1997 Annual Report to
Shareholders.


(2)  Financing Arrangements


  The Company has renewed its unsecured revolving credit agreements with banks,
aggregating $45,000,000, of which $30,000,000 is committed.  These credit
facilities, which expire April 13, 1999, are for working capital and letter of
credit purposes, primarily to fund seasonal merchandise purchases, and bear
interest at market rates based on prime.


(3)  Comprehensive Income


  Effective February 1, 1998, the Company adopted Statement of Financial
Accounting Standards No. 130, "Reporting Comprehensive Income" ("FAS 130").
Comprehensive income is defined as the change in equity (net assets) of a
business enterprise during a period from transactions and other events and
circumstances from non-owner sources.  It includes all changes in equity
during a period except those resulting from investments by owners and
distributions to owners.  Comprehensive loss for the three months ended
May 2, 1998 and May 3, 1997 was $3,680,000 and $4,873,000, respectively.



                   THE BOMBAY COMPANY, INC. AND SUBSIDIARIES


Item 2. Management's Discussion and Analysis of Financial Condition and Results
of Operations


Special Note Regarding Forward-Looking Statements


Certain statements in this Form 10-Q under "Management's Discussion and
Analysis of Financial Condition and Results of Operations" constitute
"forward-looking statements" within the meaning of the Private Securities
Litigation Reform Act of 1995.  Such forward-looking statements involve
known and unknown risks,uncertainties and other factors which may cause the
actual results, performance or achievements of The Bombay Company, Inc.
("Company") to be materially different from any future results, performance
or achievements expressed or implied by such forward-looking statements. 
Such factors include, among others, the following:  competition; seasonality;
success of operating initiatives; new product development and introduction
schedules; acceptance of new product offerings; advertising and promotional
efforts; adverse publicity; expansion of the store chain; availability,
locations and terms of sites for store development; changes in business
strategy or development plans; availability and terms of capital; labor and
employee benefit costs; changes in government regulations; risks associated
with international business; regional weather conditions; and other
factors referenced in the Company's 1997 Form 10-K Annual Report.

General

The Bombay Company, Inc. is a specialty retailer which markets traditional and
classic furniture, prints and accessories through its 409 locations of The
Bombay Company ("Bombay") retail stores in 42 states in the United States and
nine Canadian provinces.  To accommodate the increasing number of products,
the Company introduced a large format Bombay store in late fiscal 1992. 
The large format stores average 4,000 square feet, while the regular stores
average 1,800 square feet.  Presently, the Company's store opening program
calls for large format stores ranging in size from 2,500 to 3,500 square
feet.  At May 2, 1998, 228 large format Bombay stores were in operation,
including 141 stores that have been converted from regular stores since
fiscal 1992.

The largest percentage of the Company's sales and operating income is realized
in the fiscal quarter that includes December (Christmas season).  Although the
precise effect of inflation on operations cannot be accurately determined,
management does not believe inflation has a material impact on sales or results
of operations.



Results of Operations

Quarters ended May 2, 1998 and May 3, 1997

Net sales were $68,343,000 for the quarter ended May 2, 1998 compared to
$67,231,000 for the same period last year, an increase of 1.7%.  The increase is
primarily attributable to a 3% same store sales increase slightly offset by
there being 15 fewer stores than at May 3, 1997.

Cost of sales, including buying and occupancy costs, was $52,634,000 for the
first fiscal quarter compared to $52,399,000 for the same period last year. 
As a percentage of sales, cost of sales decreased to 77.0% for the quarter
compared to 77.9% for the prior year period.  The 90 basis point improvement
is due to higher product margin (30 basis points) as well as lower buying and
occupancy costs relative to sales (60 basis points).  The higher product
margins reflect stronger margins in the non furniture merchandise
particularly for gift oriented product as the Company focused on the
Spring gift giving season. The percentage decrease in buying and occupancy
costs reflects their relatively fixed nature measured against sales increases.

Selling, general and administrative expenses were $22,738,000 or 33.3% of
sales for the quarter compared to $23,214,000 or 34.5% of sales for the
comparable prior year period.  The decreases are the result of on-going
expense control efforts and are primarily related to reduced payroll expenses.


Liquidity and Capital Resources


The primary sources of liquidity and capital resources are cash flows from
operations and bank lines of credit.  Bank borrowings are utilized to fund
seasonal inventory purchases.  In addition, the bank credit lines are used
for overseas merchandise purchases.  Letters of credit totaling $14,575,000
were outstanding at May 2, 1998.  Bank lines total $45,000,000, of which
$30,000,000 is committed, under revolving credit agreements expiring
April 13, 1999.  Based upon available cash balances at May 2, 1998 of over
$40,000,000 and cash forecasts for the year, the Company does not presently
expect to be in a borrowing position at any time during fiscal 1998.  The
bank credit lines are,however, being utilized to support inventory purchases
under letters of credit.

The store expansion program for the remainder of the fiscal year anticipates
approximately 19 new stores and 14 conversions.  New stores and conversions in
fiscal 1998 are in a new design which includes customer-friendly merchandise
displays and updated styling.  The Company also intends to retrofit a number
of its existing larger format stores with certain of the more successful
elements of the new design.  Capital expenditures for the quarter, totaling
$4,262,000,included two store conversions and eleven retrofit projects as
well as routine purchases of machinery and equipment.  The total estimated
capital expenditures for fiscal 1998 are $22,000,000.  The Company believes
that its current cash position, cash flow from operations and credit line
facilities will be sufficient to fund current operations and its capital
expenditure program.


                   THE BOMBAY COMPANY, INC. AND SUBSIDIARIES
                          PART II - OTHER INFORMATION



Item 6.  Exhibits and Reports on Form 8-K


No reports on Form 8-K have been filed during the quarter ended May 2, 1998.
No exhibits have been filed as a part of this report.





                   THE BOMBAY COMPANY, INC. AND SUBSIDIARIES


                                   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.

                                          THE BOMBAY COMPANY, INC.
                                          (Registrant)



                                            /s/  Robert S. Jackson

                                          Robert S. Jackson
                                          Chief Executive Officer





                                            /s/  Elaine D. Crowley

                                          Elaine D. Crowley
                                          Vice President, Finance
                                          and Treasurer


Date:  June 15, 1998