UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

_________________

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): May 7, 2007

	SPAR Group, Inc.
	(Exact Name of Registrant as Specified in Charter)
Delaware (State or Other Jurisdiction of Incorporation)	0-27824 (Commission File No.)	33-0684451 (IRS Employer Identification No.)

555 White Plains Road, Suite 250, Tarrytown, New York	10591
(Address of Principal Executive Offices)	(Zip Code)

Registrant's telephone number, including area code: (914) 332-4100

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

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Item 2.02.

Results of Operations and Financial Condition.

(a)    On May 7, 2007, SPAR Group, Inc. (the “Registrant”) issued the press release attached to this Current Report on Form 8-K (the “Report”) as Exhibit 99.1 reporting its financial results for the fiscal quarter ended March 31, 2007, which is incorporated herein by reference.

        The information in this Report, including the exhibit, shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section. It shall not be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such a filing.

Item 9.01.

Financial Statements and Exhibits.

(d)

Exhibits:

99.1

Press Release of the Registrant dated May 7, 2007.

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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.

	SPAR GROUP, INC.
Date:  May 11, 2007	By: /s/ Charles Cimitile
	Charles Cimitile
	Chief Financial Officer

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EXHIBIT INDEX

Exhibit
Number		Description
99.1		Press Release of the Registrant dated May 7, 2007.

EXHIBIT 99.1

CONTACTS:		Charles Cimitile
		Chief Financial Officer
		SPAR Group, Inc.
		(914) 332-4100
		Roger S. Pondel
		PondelWilkinson Inc.
		(310) 279-5980

SPAR GROUP REPORTS RESULTS

FOR 2007 FIRST QUARTER

        

        TARRYTOWN, NY—May 7, 2007—SPAR Group, Inc. (NASDAQ:SGRP) today reported results for the first quarter ended March 31, 2007.

        Net revenues for the 2007 first quarter amounted to $15.4 million, compared with $15.8 million a year ago. Last year included an additional one quarter of revenue, or approximately $1.3 million, from the company's Japan joint venture in connection with its change to a calendar reporting year, as well as approximately $770,000 from the termination of a customer service agreement.

        The company recorded a net loss of $509,000, equal to $0.03 per share, for the 2007 first quarter, compared with net income of $777,000, or $0.04 per share, a year ago. Net income for the prior year included two material items, approximately $770,000 from the termination of a customer service agreement and $175,000 in connection with settlement of a vendor lawsuit.

        Selling, general and administrative expenses for the 2007 first quarter increased to $5.2 million from $5.1 million last year. The prior year included an additional one quarter of expense, or approximately $544,000, from the company's Japan joint venture.

        Robert G. Brown, SPAR Group's chairman and chief executive officer, said, "Domestically, we continue to face a challenging environment. We are hopeful that with our new customers and our current business prospects, domestic results will improve by year end," Brown said. "Internationally, we will continue our efforts to expand, and we hope to improve our profits. We will continue to invest in technology such as RFID that we believe will have a positive impact on the company's long-term future. We are building a foundation and believe SPAR Group is well positioned in the markets we serve, both domestically and internationally."

        During the 2007 first quarter, SPAR Group announced the further expansion of its international presence, entering New Zealand to complement its existing operation in Australia, which was established in 2006.

        SPAR Group said international revenue for the 2007 first quarter rose to $7.0 million from $5.0 million last year. The $5.0 million included an additional one quarter of revenue, or approximately $1.3 million in 2006 from the company's Japan joint venture. SPAR Group reported a net loss from international operations of $118,000, compared with a net loss of $44,000 for first quarter of 2006.

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        Revenue in the U.S. amounted to $8.4 million, compared with $10.8 million a year ago, including approximately $770,000 from the termination of a customer service agreement. Net loss attributable to the company's U.S. operations amounted to $391,000 for the 2007 first quarter, compared with net income of $821,000 last year, that included $770,000 from the termination of a customer service agreement and $175,000 in connection with settlement of a vendor lawsuit.

About SPAR Group

        SPAR Group, Inc., a diversified international marketing services company, provides a broad array of services to help manufacturers and retailers improve their sales, operating efficiency and profits at retail worldwide. Services include in-store merchandising and event staffing, RFID and other technology and research, covering all product classifications and all classes of trade, including mass market, drug store, electronic store, convenience store and grocery chains. The company operates throughout the United States and internationally in Japan, Canada, Turkey, South Africa, India, Romania, China, Lithuania, Australia, Latvia and New Zealand. For more information, visit SPAR Group's Web site, www.sparinc.com.

        Certain statements in this news release are forward-looking, including, but not limited to, improving business prospects during the year, customer response to new services and the success of the company's Australian joint venture. The company's actual results, performance and trends could differ materially from those indicated or implied by such statements as a result of various factors, including (without limitation) the continued strengthening of SPAR Group's selling and marketing functions, continued customer satisfaction and contract renewal, new product development, continued availability of capable dedicated personnel, continued cost management, the success of its international efforts, success and availability of acquisitions, availability of financing and other factors, as well as by factors applicable to most companies such as general economic, competitive and other business and civil conditions. Information regarding certain of these and other factors that could affect future results, performance or trends are discussed in SPAR Group's annual report on Form 10-K, quarterly reports on Form 10-Q, and other filings made with the Securities and Exchange Commission from time to time.

# # #
(Tables follow)

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SPAR Group, Inc.
Consolidated Statements of Operations
(unaudited)
(in thousands, except per share data)

		Three Months Ended
		March 31, 2007		March 31, 2006
Net Revenues		$ 15,413		$ 15,850
Cost of revenues		10,294		9,854
Gross profit		5,119		5,996
Selling, general and administrative expenses		5,209		5,071
Depreciation and amortization		197		213
Operating (loss) income		(287	)	712
Interest expense		89		51
Other expense (income)		21		(178	)
(Loss) income before provision for income taxes and minority interest		(397	)	839
Provision for income taxes		67		45
(Loss) income before minority interest		(464	)	794
Minority interest		45		17
Net (loss) income		$    (509	)	$      777
Basic/diluted net (loss) income per common share:
Net (loss) income - basic/diluted		$  (0.03	)	$     0.04
Weighted average common shares - basic		18,934		18,918
Weighted average common shares - diluted		18,934		19,071

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SPAR Group, Inc.
Consolidated Balance Sheets
(unaudited)
(in thousands, except share and per share data)

		March 31, 2007		March 31, 2006
Assets
Current Assets:
Cash and cash equivalents		$   2,132		$   1,148
Accounts receivable, net		11,500		12,982
Prepaid expenses and other current assets		522		553
Total current assets		14,154		14,683
Property and equipment, net		1,296		901
Goodwill		798		798
Other assets		1,446		1,695
Total assets		$ 17,694		$ 18,077
Liabilities and stockholders' equity
Current liabilities:
Accounts payable		$   3,320		$   2,551
Accrued expenses and other current liabilities		2,828		2,864
Accrued expense due to affiliates		2,521		1,752
Customer deposits		550		560
Lines of credit		3,609		5,318
Total current liabilities		12,828		13,045
Other long-term liabilities		252		6
Minority Interest		542		498
Total liabilities		13,622		13,549
Stockholders' equity:
Preferred stock, $.01 par value:
Authorized shares - 3,000,000
Issued and outstanding shares-none		-		-
Common stock, $.01 par value:
Authorized shares - 47,000,000
Issued and outstanding shares -
18,934,182 - March 31, 2007
18,934,182 - December 31, 2006		189		189
Treasury Stock		(1	)	(1	)
Additional paid-in capital		11,542		11,484
Accumulated other comprehensive loss		(114	)	(109	)
Accumulated deficit		(7,544	)	(7,035	)
Total stockholders' equity		4,072		4,528
Total liabilities and stockholders' equity		$ 17,694		$ 18,077