Childhood obesity is reaching epidemic proportions in both developed and developing countries. Reduced physical activity and increased energy intake both have major contribution to the establishment of childhood obesity. Psychological and social problems, increased plasma insulin, elevated blood lipid, lipoproteins and blood pressure are the various factors known to be associated with childhood obesity. Hence, the study was conducted to determine the energy balance, psychosocial problems and biochemical profile of selected obese children. Time utilization pattern of obese boys and girls (n=64) was studied to assess their physical activity and energy expenditure levels. The energy balance was calculated by finding the difference in the energy intake and energy expenditure of the children. Psychosocial and behavioural adjustment problems faced by obese children at school and home were studied for both the boys and girls. Biochemical parameters namely blood glucose, haemoglobin and lipid profile which included total cholesterol, serum triglycerides, HDL, LDL and VLDL cholesterol were determined using standard procedures. Both boys and girls exhibited a positive energy balance which was higher in obese boys than in obese girls. The mean total cholesterol level of obese boys (158.3 mg/dl) was within the normal range but in the case of obese girls the level (178.7 mg/dl) was found to be slightly higher than the normal. Overweight and obese children are likely to develop lifestyle diseases like diabetes mellitus and cardiovascular diseases at a younger age which are largely preventable. Strategies aimed at reducing caloric intake and increasing caloric expenditure through regular exercise are necessary to meet the challenges.