<TABLE> <S> <C>

<PAGE>
 
 
<ARTICLE> 5
<LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
BLUE RHINO CORPORATION CONSOLIDATED BALANCE SHEETS AS OF JULY 31, 1998 (AUDITED)
AND JULY 31, 1997 (AUDITED) AND CONSOLIDATED STATEMENTS OF OPERATIONS FOR THE
FISCAL YEARS ENDED JULY 31, 1998 (AUDITED) AND JULY 31, 1997 (AUDITED) AND IS
QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1000
       
<S>                             <C>                          <C> 
<PERIOD-TYPE>                   YEAR                         YEAR
<FISCAL-YEAR-END>                         JUL-31-1998                JUL-31-1997
<PERIOD-START>                            AUG-01-1997                AUG-01-1996
<PERIOD-END>                              JUL-31-1998                JUL-31-1997
<CASH>                                          5,908                        325
<SECURITIES>                                        0                          0
<RECEIVABLES>                                   8,035                      3,264
<ALLOWANCES>                                      134                        154
<INVENTORY>                                     2,377                        220
<CURRENT-ASSETS>                               17,213                      4,153
<PP&E>                                         10,750                      5,751
<DEPRECIATION>                                  2,332                      1,313
<TOTAL-ASSETS>                                 30,470                      9,974
<CURRENT-LIABILITIES>                           5,394                      3,416
<BONDS>                                           104                          0
<PREFERRED-MANDATORY>                               0                      8,936
<PREFERRED>                                         0                          0
<COMMON>                                            8                          2
<OTHER-SE>                                     24,808                     18,490
<TOTAL-LIABILITY-AND-EQUITY>                   30,470                      9,974
<SALES>                                        27,372                     14,211
<TOTAL-REVENUES>                               27,372                     14,211
<CGS>                                          20,525                     11,644
<TOTAL-COSTS>                                  20,525                     11,644
<OTHER-EXPENSES>                                7,526                      6,672
<LOSS-PROVISION>                                  324                          0
<INTEREST-EXPENSE>                              1,707                      1,665
<INCOME-PRETAX>                               (2,476)                    (5,584)
<INCOME-TAX>                                        0                          0
<INCOME-CONTINUING>                           (2,476)                    (5,584)
<DISCONTINUED>                                      0                          0
<EXTRAORDINARY>                                     0                          0
<CHANGES>                                           0                          0
<NET-INCOME>                                  (2,476)                    (5,584)
<EPS-PRIMARY>                                  (1.04)                     (3.74)
<EPS-DILUTED>                                  (1.04)                     (3.74)
        


</TABLE>