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):

                                January 26, 1999


                               Saville Systems PLC
             (Exact name of registrant as specified in its charter)


                         Commission File Number 0-27176

                               Republic of Ireland
         (State or other jurisdiction of incorporation or organization)

                                 Not Applicable
                      (I.R.S. Employer Identification No.)

                   IDA Business Park, Dangan, Galway, Ireland
               (Address of principal executive offices, including
                                    zip code)


                               011-353-9-152-6611
              (Registrant's telephone number, including area code)


<PAGE>



Item 5.        Other Events

On January 26, 1999,  Saville  Systems Plc.  ("Saville")  issued a press release
which is attached hereto as Exhibit 99.



Item 7.  Financial Statements, Pro Forma Financial Information and Exhibits

         (a)  Financial Statements of Business Acquired:  not applicable.

         (b)  Pro Forma Financial Information:  not applicable.

         (c)  Exhibits.

              Exhibit 99:  Press Release of the Company, dated January 26, 1999



<PAGE>



                                   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.

                                SAVILLE SYSTEMS PLC
                                (Registrant)



Date:  January 26, 1999         By:  /s/ Christopher A. Hanson              
                                Christopher A. Hanson
                                Chief Financial Officer
                                (Principal Financial and Accounting Officer)




<PAGE>


                               SAVILLE SYSTEMS PLC
                                 FORM 8-K REPORT

                                INDEX TO EXHIBITS

Exhibit No.                Description

      99                   Press Release of the Company, dated January 26, 1999





<PAGE>


                                                                     Exhibit 99


Contacts: Chris Hanson              Vicki Nahrung         Winnie Loeffler
          Chief Financial Officer   Director of           Vice President
          Saville Systems           Investor Relations    Abernathy MacGregor 
                                    Saville Systems       Frank
          (781) 270-6500            (781) 270-6500        (212) 371-5999


                     SAVILLE CLOSES 1998 WITH RECORD RESULTS


              Fourth Quarter Revenue and Earnings at Record Levels

Burlington,  Mass.,  January 26, 1999 -- Saville Systems PLC (NASDAQ:  SAVLY), a
leading provider of convergent  billing and customer care software solutions for
the telecommunications  industry,  today announced record fourth quarter revenue
of $44.2 million,  representing a 35% increase over revenue of $32.8 million for
the same period in the previous year. Net income for the fourth quarter was also
a record at $10.1 million, or $0.25 per diluted share, compared to $7.8 million,
or $0.20 per diluted share for the fourth quarter of 1997.

Annual  revenue for 1998 was $167.7  million,  representing  a 57% increase over
1997 results of $107.0 million. Net income for 1998, excluding a one-time charge
for purchased  in-process research and development,  was $36.5 million, or $0.90
per diluted share, as compared to $23.9 million, or $0.61 per diluted share, for
1997.  Including the one-time  charge of $17.7 million (net of an associated tax
benefit  of $1.1  million)  taken in the  second  quarter  of 1998  for  certain
technology  under   development  at  the  time  of  acquisition  and  associated
acquisition costs and expenses,  net income for 1998 was $18.9 million, or $0.47
per diluted share. Cash and short-term  investment  balances increased 28% to an
all-time high of $87.8 million from $68.8 million at December 31, 1997.

Jack Boyle, Saville's Chairman and CEO, commented: "Looking back on 1998, we are
pleased with our international  expansion,  the introduction of our new products
and corporate  initiatives,  and our overall financial  performance.  Our fourth
quarter saw strong  growth in our  worldwide  customer  base with new  customers
licensing our products in Latin America,  Europe and North America. In addition,
non-U.S.  revenue  grew to  almost  40% of total  annual  revenue,  and new 1998
contracts represent a balanced mix of our AS/400 and Unix product offerings."

Boyle added, "In 1999, we look forward to continued international growth and the
release of new products which will  significantly  broaden our product suite. We
are committed to providing our customer base with the strategic and  competitive
advantages they require to succeed in this highly competitive marketplace and we
will  continue  to invest in our  products  and people in order to achieve  this
objective."

As  mentioned  above,  the  Company  recorded  a one-time  charge for  purchased
in-process  research and development  ("IPRD") in its operating  results for the
second  quarter of 1998.  This one-time  charge was recorded in accordance  with
U.S. generally accepted accounting principles and established industry practice,
and was  supported by an  independent  third party  valuation.  Since that time,
however, the U.S. Securities and Exchange Commission ("SEC") has expressed views
on  valuation  methods for  purchased  IPRD,  which  differ from prior  industry
practice.  The  Company  has  been  advised  that  the SEC  and  the  accounting
profession are currently in a dialogue regarding  specific  guidelines and their
possible  retroactive  application.  The  Company  is working  closely  with its
independent  auditors to make a determination as to the application of the SEC's
recent  statements to the Company's IPRD valuation,  and the resulting effect on
the charge taken in the second quarter. An adjustment to the IPRD valuation,  if
any,  would have no effect upon the  financial  condition  or  liquidity  of the
Company.   The  Company  will  issue  a  press  release   announcing  its  final
determination and any resulting accounting adjustments.

Founded  in 1982,  Saville  is a leading  provider  of  convergent  billing  and
customer care solutions for the  telecommunications  industry.  Saville operates
globally with offices in the U.S., Canada, Ireland, Australia, U.K. and Germany,
and has more than 1,400 employees worldwide. Saville is a publicly held company,
traded on the Nasdaq  National  Market (US) market under the symbol  SAVLY.  For
more  information,  Saville can be reached at  www.savillesys.com,  or call (+1)
781-270-6500.

This press release contains forward-looking  statements, as that term is used in
Section 21E of the  Securities  Exchange  Act of 1934,  that involve a number of
risks and uncertainties.  These  forward-looking  statements include Mr. Boyle's
comments  on  expected  growth,  the release of new  products  and product  line
investments.  Important  factors  that  could  cause  actual  results  to differ
materially from those indicated by such forward-looking statements are set forth
in the company's  periodic  reports and  registration  statements filed with the
Securities  and  Exchange  Commission,  including  in  Item 2 of  the  company's
Quarterly  Report on Form 10-Q for the quarter ended  September 30, 1998,  which
risks include those associated with customer concentration, intense competition,
product development and market acceptance,  international  market  fluctuations,
the management of rapid  operations  expansion and the availability of favorable
tax treatment.


Note: Consolidated Statements of  Income and Consolidated Balance Sheets follow.


<PAGE>


Saville Systems PLC


CONSOLIDATED STATEMENTS OF INCOME

(unaudited)
(in thousands of U.S. dollars, except share and per share data)

<TABLE>

                                      Three months ended        Year ended
                                      Dec. 31   Dec. 31     Dec. 31    Dec. 31
                                        1998      1997       1998       1997
                                    (unaudited)(unaudited)(unaudited)
------------------------------------ ---------- -------- ----------- -----------
<S>                                  <C>        <C>      <C>         <C>  

REVENUE
Services                               $32,345  $25,678    $124,730     $84,856
License fees                            11,850    7,163      42,975      22,189
------------------------------------ ---------- -------- ----------- -----------
Total revenue                           44,195   32,841     167,705     107,045
------------------------------------ ---------- -------- ----------- -----------

EXPENSES
Cost of services                        15,972   11,266      61,588      39,603
Cost of license fees                       347      198       1,269         579
Sales and marketing                      2,366    1,942       8,668       6,266
Research and development                 6,128    3,330      21,389      10,146
General and administrative               7,642    6,297      30,816      20,444
Charge for purchased 
  in-process and development                 -        -      18,808           -
------------------------------------ ---------- -------- ----------- -----------
Total expenses                          32,455   23,033     142,538      77,038
------------------------------------ ---------- -------- ----------- -----------

Income from operations                  11,740    9,808      25,167      30,007
Other income, net                        1,173      645       3,364       2,154
------------------------------------ ---------- -------- ----------- -----------

Income before income taxes              12,913   10,453      28,531      32,161
Provision for income taxes               2,850    2,573       9,664       7,989
------------------------------------ ---------- -------- ----------- -----------

Income before minority interest         10,063    7,880      18,867      24,172
Minority interest share in 
subsidiaries'net income                      -       70           -         235
------------------------------------ ---------- -------- ----------- -----------
Net income                             $10,063   $7,810     $18,867     $23,937
------------------------------------ ---------- -------- ----------- -----------

Basic earnings per share                 $0.26    $0.21       $0.49       $0.65
Diluted earnings per share               $0.25    $0.20       $0.47       $0.61
------------------------------------ ---------- -------- ----------- -----------

(in thousands)
Ordinary shares                         38,827   37,356      38,471      36,745
Ordinary shares assuming dilution       39,794   40,012      40,545      39,323
------------------------------------ ---------- -------- ----------- -----------
</TABLE>


<PAGE>



Saville Systems PLC


CONSOLIDATED BALANCE SHEETS


(in thousands of U.S. dollars, except share data amounts)

<TABLE>

                                                         As of December 31
                                                        1998           1997
                                                    (unaudited)
-------------------------------------------------- ------------- -------------
<S>                                                <C>           <C>  

ASSETS
Current
Cash and cash equivalents                               $40,330       $55,785
Short-term investments                                   47,492        13,015
Accounts receivable, less allowance
  for doubtful accounts of  $1,943 and                              
  $1,687, respectively                                   43,729        22,373
Prepaid expenses and other assets                         4,471         3,581
-------------------------------------------------- ------------- -------------
Total current assets                                    136,022        94,754
Property and equipment, net                              12,277        10,621
Other assets, net                                         5,915           -
-------------------------------------------------- ------------- -------------
Total assets                                           $154,214      $105,375
-------------------------------------------------- ------------- -------------

LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities
Accounts payable                                          5,377         5,336
Accrued compensation and related benefits                 7,128         5,248
Accrued expenses and other liabilities                    4,644         3,084
Income taxes payable                                      9,116         7,167
Deferred revenue                                            947         3,402
Current portion of long-term liabilities                  1,116           134
-------------------------------------------------- ------------- -------------
Total current liabilities                                28,328        24,371
Long-term liabilities                                     1,178           336
Minority interest                                           361           366
-------------------------------------------------- ------------- -------------
Total liabilities                                        29,867        25,073
-------------------------------------------------- ------------- -------------

Shareholders' equity
Ordinary Shares, nominal value $0.0025 per share
     Authorized:  75,000,000
     Issued and outstanding:  38,938,488                              
     and 37,504,596                                          97            94
Deferred Ordinary Shares, nominal value      
     IR(pound)1.00 per share
     Authorized, issued and outstanding:  30,000             48            48
Additional paid-in capital                               63,766        37,734
Retained earnings                                        61,617        42,750
Accumulated other comprehensive income                  (1,181)         (324)
-------------------------------------------------- ------------- -------------
Total shareholders' equity                              124,347        80,302
-------------------------------------------------- ------------- -------------
Total liabilities and shareholders' equity             $154,214      $105,375
-------------------------------------------------- ------------- -------------
</TABLE>
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{"company-data": {"conformed-name": "SAVILLE SYSTEMS PLC", "cik": "0001001635", "assigned-sic": "7371", "irs-number": "000000000", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "000-27176", "film-number": "99513445"}, "business-address": {"street1": "SAVILLE SYSTEMS", "street2": "I VAN DE GRAAFF DR", "city": "BURLINGTON", "state": "MA", "zip": "01803-5171", "phone": "6172706500"}, "mail-address": {"street1": "SAVILLE SYSTEMS", "street2": "I VAN DE GRAAFF DRIVE", "city": "BURLINGTON", "state": "MA", "zip": "01803"}, "former-company": {"former-conformed-name": "SAVILLE SYSTEMS IRELAND LTD", "date-changed": "19950930"}}
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):

                                January 26, 1999

                               Saville Systems PLC
             (Exact name of registrant as specified in its charter)

                         Commission File Number 0-27176

                               Republic of Ireland
         (State or other jurisdiction of incorporation or organization)

                                 Not Applicable
                      (I.R.S. Employer Identification No.)

                   IDA Business Park, Dangan, Galway, Ireland
               (Address of principal executive offices, including
                                    zip code)

                               011-353-9-152-6611
              (Registrant's telephone number, including area code)
Item 5.        Other Events

On January 26, 1999,  Saville  Systems Plc.  ("Saville")  issued a press release
which is attached hereto as Exhibit 99.

Item 7.  Financial Statements, Pro Forma Financial Information and Exhibits

         (a)  Financial Statements of Business Acquired:  not applicable.

         (b)  Pro Forma Financial Information:  not applicable.

         (c)  Exhibits.

              Exhibit 99:  Press Release of the Company, dated January 26, 1999
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.

                                SAVILLE SYSTEMS PLC
                                (Registrant)

Date:  January 26, 1999         By:  /s/ Christopher A. Hanson              
                                Christopher A. Hanson
                                Chief Financial Officer
                                (Principal Financial and Accounting Officer)
SAVILLE SYSTEMS PLC
                                 FORM 8-K REPORT

                                INDEX TO EXHIBITS

Exhibit No.                Description

      99                   Press Release of the Company, dated January 26, 1999
Exhibit 99

Contacts: Chris Hanson              Vicki Nahrung         Winnie Loeffler
          Chief Financial Officer   Director of           Vice President
          Saville Systems           Investor Relations    Abernathy MacGregor 
                                    Saville Systems       Frank
          (781) 270-6500            (781) 270-6500        (212) 371-5999

                     SAVILLE CLOSES 1998 WITH RECORD RESULTS

              Fourth Quarter Revenue and Earnings at Record Levels

Burlington,  Mass.,  January 26, 1999 -- Saville Systems PLC (NASDAQ:  SAVLY), a
leading provider of convergent  billing and customer care software solutions for
the telecommunications  industry,  today announced record fourth quarter revenue
of $44.2 million,  representing a 35% increase over revenue of $32.8 million for
the same period in the previous year. Net income for the fourth quarter was also
a record at $10.1 million, or $0.25 per diluted share, compared to $7.8 million,
or $0.20 per diluted share for the fourth quarter of 1997.

Annual  revenue for 1998 was $167.7  million,  representing  a 57% increase over
1997 results of $107.0 million. Net income for 1998, excluding a one-time charge
for purchased  in-process research and development,  was $36.5 million, or $0.90
per diluted share, as compared to $23.9 million, or $0.61 per diluted share, for
1997.  Including the one-time  charge of $17.7 million (net of an associated tax
benefit  of $1.1  million)  taken in the  second  quarter  of 1998  for  certain
technology  under   development  at  the  time  of  acquisition  and  associated
acquisition costs and expenses,  net income for 1998 was $18.9 million, or $0.47
per diluted share. Cash and short-term  investment  balances increased 28% to an
all-time high of $87.8 million from $68.8 million at December 31, 1997.

Jack Boyle, Saville's Chairman and CEO, commented: "Looking back on 1998, we are
pleased with our international  expansion,  the introduction of our new products
and corporate  initiatives,  and our overall financial  performance.  Our fourth
quarter saw strong  growth in our  worldwide  customer  base with new  customers
licensing our products in Latin America,  Europe and North America. In addition,
non-U.S.  revenue  grew to  almost  40% of total  annual  revenue,  and new 1998
contracts represent a balanced mix of our AS/400 and Unix product offerings."

Boyle added, "In 1999, we look forward to continued international growth and the
release of new products which will  significantly  broaden our product suite. We
are committed to providing our customer base with the strategic and  competitive
advantages they require to succeed in this highly competitive marketplace and we
will  continue  to invest in our  products  and people in order to achieve  this
objective."

As  mentioned  above,  the  Company  recorded  a one-time  charge for  purchased
in-process  research and development  ("IPRD") in its operating  results for the
second  quarter of 1998.  This one-time  charge was recorded in accordance  with
U.S. generally accepted accounting principles and established industry practice,
and was  supported by an  independent  third party  valuation.  Since that time,
however, the U.S. Securities and Exchange Commission ("SEC") has expressed views
on  valuation  methods for  purchased  IPRD,  which  differ from prior  industry
practice.  The  Company  has  been  advised  that  the SEC  and  the  accounting
profession are currently in a dialogue regarding  specific  guidelines and their
possible  retroactive  application.  The  Company  is working  closely  with its
independent  auditors to make a determination as to the application of the SEC's
recent  statements to the Company's IPRD valuation,  and the resulting effect on
the charge taken in the second quarter. An adjustment to the IPRD valuation,  if
any,  would have no effect upon the  financial  condition  or  liquidity  of the
Company.   The  Company  will  issue  a  press  release   announcing  its  final
determination and any resulting accounting adjustments.

Founded  in 1982,  Saville  is a leading  provider  of  convergent  billing  and
customer care solutions for the  telecommunications  industry.  Saville operates
globally with offices in the U.S., Canada, Ireland, Australia, U.K. and Germany,
and has more than 1,400 employees worldwide. Saville is a publicly held company,
traded on the Nasdaq  National  Market (US) market under the symbol  SAVLY.  For
more  information,  Saville can be reached at  www.savillesys.com,  or call (+1)
781-270-6500.

This press release contains forward-looking  statements, as that term is used in
Section 21E of the  Securities  Exchange  Act of 1934,  that involve a number of
risks and uncertainties.  These  forward-looking  statements include Mr. Boyle's
comments  on  expected  growth,  the release of new  products  and product  line
investments.  Important  factors  that  could  cause  actual  results  to differ
materially from those indicated by such forward-looking statements are set forth
in the company's  periodic  reports and  registration  statements filed with the
Securities  and  Exchange  Commission,  including  in  Item 2 of  the  company's
Quarterly  Report on Form 10-Q for the quarter ended  September 30, 1998,  which
risks include those associated with customer concentration, intense competition,
product development and market acceptance,  international  market  fluctuations,
the management of rapid  operations  expansion and the availability of favorable
tax treatment.

Note: Consolidated Statements of  Income and Consolidated Balance Sheets follow.
Saville Systems PLC

CONSOLIDATED STATEMENTS OF INCOME

(unaudited)
(in thousands of U.S. dollars, except share and per share data)

                                      Three months ended        Year ended
                                      Dec. 31   Dec. 31     Dec. 31    Dec. 31
                                        1998      1997       1998       1997
                                    (unaudited)(unaudited)(unaudited)
------------------------------------ ---------- -------- ----------- -----------
REVENUE
Services                               $32,345  $25,678    $124,730     $84,856
License fees                            11,850    7,163      42,975      22,189
------------------------------------ ---------- -------- ----------- -----------
Total revenue                           44,195   32,841     167,705     107,045
------------------------------------ ---------- -------- ----------- -----------

EXPENSES
Cost of services                        15,972   11,266      61,588      39,603
Cost of license fees                       347      198       1,269         579
Sales and marketing                      2,366    1,942       8,668       6,266
Research and development                 6,128    3,330      21,389      10,146
General and administrative               7,642    6,297      30,816      20,444
Charge for purchased 
  in-process and development                 -        -      18,808           -
------------------------------------ ---------- -------- ----------- -----------
Total expenses                          32,455   23,033     142,538      77,038
------------------------------------ ---------- -------- ----------- -----------

Income from operations                  11,740    9,808      25,167      30,007
Other income, net                        1,173      645       3,364       2,154
------------------------------------ ---------- -------- ----------- -----------

Income before income taxes              12,913   10,453      28,531      32,161
Provision for income taxes               2,850    2,573       9,664       7,989
------------------------------------ ---------- -------- ----------- -----------

Income before minority interest         10,063    7,880      18,867      24,172
Minority interest share in 
subsidiaries'net income                      -       70           -         235
------------------------------------ ---------- -------- ----------- -----------
Net income                             $10,063   $7,810     $18,867     $23,937
------------------------------------ ---------- -------- ----------- -----------

Basic earnings per share                 $0.26    $0.21       $0.49       $0.65
Diluted earnings per share               $0.25    $0.20       $0.47       $0.61
------------------------------------ ---------- -------- ----------- -----------

(in thousands)
Ordinary shares                         38,827   37,356      38,471      36,745
Ordinary shares assuming dilution       39,794   40,012      40,545      39,323
------------------------------------ ---------- -------- ----------- -----------
Saville Systems PLC

CONSOLIDATED BALANCE SHEETS

(in thousands of U.S. dollars, except share data amounts)

                                                         As of December 31
                                                        1998           1997
                                                    (unaudited)
-------------------------------------------------- ------------- -------------
ASSETS
Current
Cash and cash equivalents                               $40,330       $55,785
Short-term investments                                   47,492        13,015
Accounts receivable, less allowance
  for doubtful accounts of  $1,943 and                              
  $1,687, respectively                                   43,729        22,373
Prepaid expenses and other assets                         4,471         3,581
-------------------------------------------------- ------------- -------------
Total current assets                                    136,022        94,754
Property and equipment, net                              12,277        10,621
Other assets, net                                         5,915           -
-------------------------------------------------- ------------- -------------
Total assets                                           $154,214      $105,375
-------------------------------------------------- ------------- -------------

LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities
Accounts payable                                          5,377         5,336
Accrued compensation and related benefits                 7,128         5,248
Accrued expenses and other liabilities                    4,644         3,084
Income taxes payable                                      9,116         7,167
Deferred revenue                                            947         3,402
Current portion of long-term liabilities                  1,116           134
-------------------------------------------------- ------------- -------------
Total current liabilities                                28,328        24,371
Long-term liabilities                                     1,178           336
Minority interest                                           361           366
-------------------------------------------------- ------------- -------------
Total liabilities                                        29,867        25,073
-------------------------------------------------- ------------- -------------

Shareholders' equity
Ordinary Shares, nominal value $0.0025 per share
     Authorized:  75,000,000
     Issued and outstanding:  38,938,488                              
     and 37,504,596                                          97            94
Deferred Ordinary Shares, nominal value      
     IR(pound)1.00 per share
     Authorized, issued and outstanding:  30,000             48            48
Additional paid-in capital                               63,766        37,734
Retained earnings                                        61,617        42,750
Accumulated other comprehensive income                  (1,181)         (324)
-------------------------------------------------- ------------- -------------
Total shareholders' equity                              124,347        80,302
-------------------------------------------------- ------------- -------------
Total liabilities and shareholders' equity             $154,214      $105,375
-------------------------------------------------- ------------- -------------