U.S. SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549
                                   Form 10-QSB

(Mark One)

[X]  QUARTERLY  REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES  EXCHANGE ACT
     OF 1934 FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 1996

[ ]  TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES  EXCHANGE ACT
     OF 1934 FOR THE TRANSITION PERIOD FROM _________ TO __________

                         Commission file number 0-21809

                         HOME CITY FINANCIAL CORPORATION
        -----------------------------------------------------------------
        (Exact name of small business issuer as specified in its charter)

              OHIO                                       34-1839475
-------------------------------                      -------------------
(State or other jurisdiction of                       (I.R.S. Employer
 incorporation or organization)                      Identification No.)

         63 West Main Street
          Springfield, Ohio                                 45502
----------------------------------------                  ----------
(Address of principal executive offices)                  (Zip Code)

                                 (513) 324-5736
                           ---------------------------
                           (Issuer's telephone number)


Check  whether the issuer (1) filed all reports  required to be filed by Section
13 or 15(d) of the  Exchange  Act during the past 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 _____   No _X_*

As of December 20, 1996, 100 common shares, no par value, of the Registrant were
outstanding. There were no preferred shares outstanding.

* The Registrant's  Registration Statement on Form S-1 was declared effective on
November 12, 1996. The Registrant has conducted no business  except the offering
of its shares and  preparation  to acquire  Home City  Federal  Savings  Bank of
Springfield.  The  financial  information  contained  in this  Form  10-QSB  is,
therefore, that of Home City Federal Savings Bank of Springfield.



<PAGE>


                         HOME CITY FINANCIAL CORPORATION

                                SPRINGFIELD, OHIO

                                   FORM 10-QSB

                                      INDEX

================================================================================
                                                                     Page Number

PART I            FINANCIAL INFORMATION

Item. 1.          Financial Statements (Unaudited)

                  Condensed consolidated balance sheets --                   3
                  September 30, 1996 and June 30, 1996

                  Condensed consolidated statements of income --             4
                  Three months ended September 30, 1996 and 1995

                  Condensed consolidated statements of cash flows --         5
                  Three months ended September 30, 1996 and 1995

                  Notes to condensed consolidated financial                  6
                  statements -- September 30, 1996

Item 2.           Management's Discussion and Analysis of Financial          7
                  Condition and Results of Operations

PART II           OTHER INFORMATION

Item 1.           Legal Proceedings                                         11

Item 2.           Changes in Securities                                     11

Item 3.           Defaults Upon Senior Securities                           11

Item 4.           Submission of Matters to a Vote of Security Holders       11

Item 5.           Other Information                                         11

Item 6.           Exhibits and Reports on Form 8-K                          11

Signatures                                                                  12


                                      -2-
<PAGE>
<TABLE>

                  HOME CITY FEDERAL SAVINGS BANK OF SPRINGFIELD
                           CONSOLIDATED BALANCE SHEETS

                                                                  September 30,      June 30,
                                                                       1996            1996
                                                                  -------------      --------
                                                                          (In thousands)
<S>                                                                  <C>            <C>    
Assets
Cash and cash equivalents
         Cash and due from banks                                     $ 1,193        $   855
         Interest-bearing time deposits                                  535            588
         Federal funds sold                                              600            400
                                                                     -------        -------
                  Total cash and cash equivalents                      2,328          1,843

Time deposits with original maturities of 90 days or more                361          1,061
Investment securities available for sale, at fair value                2,189          2,188
Mortgage-backed securities available for sale, at fair value           2,873          2,975
Loans receivable, net                                                 47,762         45,225
Accrued interest receivable                                              281            273
Properties and equipment                                                 489            488
Investments required by law - stock in Federal Home Loan Bank            401            394
Deferred federal income taxes                                           --             --
Cash surrender value of life insurance policies                        1,057          1,044
Other assets                                                             234            237
                                                                     -------        -------
         Total assets                                                $57,975        $55,728
                                                                     =======        =======
Liabilities
Deposits
         Demand deposits                                                 592            302
         NOW accounts                                                    496            395
         Savings deposits                                              9,097          9,561
         Time deposits, $100,000 or over                               6,027          7,216
         Other time deposits                                          33,048         29,700
                                                                     -------        -------

                  Total deposits                                      49,260         47,174

Advances from Federal Home Loan Bank                                   2,673          2,903
Accrued interest payable                                                  53             49
Advance payments by borrowers for taxes and insurance                     45             20
Deferred income taxes                                                     43             68
Other liabilities                                                        483            116
                                                                     -------        -------
                  Total liabilities                                   52,557         50,330
                                                                     -------        -------
Members' equity
Retained earnings, substantially restricted                            5,271          5,255
Unrealized gain (loss) on securities available for sale,
   net of applicable deferred income taxes                               163            127
                                                                     -------        -------
                  Total members' equity                                5,418          5,398
                                                                     -------        -------
                  Total liabilities and members' equity              $57,975        $55,728
                                                                     =======        =======


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


                                      -3-
<PAGE>

                  HOME CITY FEDERAL SAVINGS BANK OF SPRINGFIELD
                        CONSOLIDATED STATEMENTS OF INCOME


                                                             3 Months Ended
                                                              September 30,
                                                          1996           1995
                                                        --------       --------
Interest income                                              (In thousands)

Interest and fees on loans                              $ 1,103         $  958
Interest on investment securities                            40             38
Interest on mortgage-backed securities                       49             55
Interest on deposits in banks and federal
    funds sold                                               27             18
                                                        -------         ------
                  Total interest income                   1,219          1,069
                                                        -------         ------

Interest expense
Interest on interest-bearing checking accounts                2           --
Interest on savings deposits                                 57             69
Interest on certificates of deposit                         591            486
Interest on advances from Federal Home Loan Bank             41             45
                                                        -------         ------
         Total interest expense                             691            600
                                                        -------         ------
         Net interest income                                528            469

Provision for loan losses                                     1           --
                                                        -------         ------
         Net interest income after provision for
            loan losses                                     527            469

Other income
Service charges on deposit accounts                           1              1
Life insurance                                               15           --
Other income                                                  1           --
                                                        -------         ------
         Total other income                                  17              1
                                                        -------         ------
Other expense
Salaries and employee benefits                              130            118
Supplies, telephone and postage                               9             10
Occupancy and equipment                                      25             28
FDIC deposit insurance                                      287             23
Data processing                                              14             16
Legal, accounting and examination                            23             30
Franchise tax                                                19             21
Other expense                                                50             49
                                                        -------         ------
         Total other expense                                557            295
                                                        -------         ------

Income (loss) before income taxes                           (13)           175

Federal income tax expense                                   (3)            57
                                                        -------         ------
                  Net income                            $   (10)        $  118
                                                        =======         ======
_______________________________________________________________________
Per share data:
         Net income per common share                        N/A            N/A
                                                        =======         ======
_______________________________________________________________________

The accompanying notes are an integral part of these financial statements.


<PAGE>
<TABLE>

                  HOME CITY FEDERAL SAVINGS BANK OF SPRINGFIELD
                      CONSOLIDATED STATEMENT OF CASH FLOWS


                                                                               3  Months Ended
                                                                                September 30,
                                                                            ---------------------
                                                                            1996             1995
Cash Flows From Operating Activities:                                         (In  thousands)
<S>                                                                       <C>             <C>    
         Net income                                                       $   (10)        $   118
         Adjustments to reconcile net income to net cash
            provided by operating activities:
                Premium amortization, net of discount accretion                 9               6
                Provision for loan losses                                       1            --
                Depreciation                                                   10               9
                Deferred income taxes                                         (48)             72
                Life insurance income, net of expenses                        (13)           --
                Changes in operating assets and liabilities:
                  Increase in accrued income receivable                        (8)            (46)
                  Increase (decrease) in other assets                           3            (229)
                  Increase in accrued interest payable                          4             151
                  Increase in other liabilities                               367              27
                                                                          -------         -------
         Net cash provided by operating activities                            315             108
                                                                          -------         -------
Cash Flows From Investing Activities:
         Net decrease in time deposits                                        700            --
         Proceeds from maturities of held-to-maturity securities             --               500
         Payments on available-for-sale mortgage-backed securities            145             128
         Net change in loans                                               (2,538)         (2,212)
         Purchases of premises and equipment                                  (11)             (1)
         Purchase of Federal Home Loan Bank stock                              (7)             (5)
         Purchase of life insurance contracts                                --            (1,020)
                                                                          -------         -------

         Net cash used in investing activities                             (1,711)         (2,610)
                                                                          -------         -------

Cash Flows From Financing Activities:
         Net increase in deposits                                           2,086           1,457
         Proceeds from advances from Federal Home Loan Bank                   325             900
         Payments on advances from Federal Home Loan Bank                    (555)           (554)
         Net increase in advance payments by borrowers for tax and
             insurance                                                         25              14
                                                                          -------         -------

         Net cash provided by financing activities                          1,881           1,817
                                                                          -------         -------

         Net increase (decrease) in cash and cash equivalents                 485            (685)
         Cash and cash equivalents at beginning of year                     1,843           2,377
                                                                          -------         -------

         Cash and cash equivalents at end of year                         $ 2,328         $ 1,692
                                                                          =======         =======


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


<PAGE>

                  HOME CITY FEDERAL SAVINGS BANK OF SPRINGFIELD


              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS


================================================================================

     On September 3, 1996,  the Board of Directors of Home City Federal  Savings
Bank of Springfield (the "Bank") adopted a Plan of Conversion  pursuant to which
the Bank would convert from a mutual  savings bank to a permanent  capital stock
savings bank  chartered  under the laws of the United States (the  "Conversion")
and  become  a  wholly-owned  subsidiary  of  Home  City  Financial  Corporation
("HCFC").  Pursuant to the Plan of  Conversion,  HCFC will offer 952,200  common
shares (the  "Shares") to certain  depositors  and  borrowers of the Bank and to
members of the  public.  The costs of  offering  and  issuing the Shares will be
deferred  and  deducted  from the  proceeds  of the sale of the  Shares.  If the
Conversion is completed,  all deferred costs will be charged to operations.  The
consolidated  financial  statements contained herein are those of the Bank prior
to the completion of the Conversion.



NOTE 1.  BASIS OF PRESENTATION

     The accompanying unaudited condensed consolidated financial statements have
been  prepared in  accordance  with  generally  accepted  accounting  principles
("GAAP") for interim  financial  information  and with the  instructions to Form
10-QSB  and  Article  10 of  Regulation  S-X  and  Rule  310 of  Regulation  SB.
Accordingly,  they do not include all information and footnotes required by GAAP
for complete financial statements. In the opinion of management, all adjustments
considered  necessary  for a fair  presentation  have been  included.  Operating
results are not  necessarily  indicative of the results that may be expected for
the year ended June 30, 1997.



<PAGE>


                  HOME CITY FEDERAL SAVINGS BANK OF SPRINGFIELD


           MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION

                            AND RESULTS OF OPERATIONS

================================================================================

     The following focuses on the consolidated  financial  condition of the Bank
at September 30, 1996,  compared to June 30, 1996, and the results of operations
for the three-month period ended September 30, 1996, compared to the same period
in 1995. The purpose of this discussion is to provide a better  understanding of
the consolidated financial statements and footnotes included in the Form 10-QSB.
The  Bank  is  not  aware  of any  market  or  institutional  trend,  events  or
uncertainties  that will have or are reasonably likely to have a material effect
on liquidity,  capital resources or operations except as discussed herein. Other
than as discussed herein,  the Bank is not aware of any current  recommendations
by regulatory authorities which would have such effect if implemented.

Financial Condition

     Liquidity.  Liquidity relates to the Bank's ability to meet cash demands of
its  customers  and their  credit  needs.  Liquidity  is  provided by the Bank's
ability to readily  convert  assets to cash and readily  marketable,  short-term
assets such as federal funds sold and deposits in other banks.

     Cash,  amounts due from banks and federal  funds sold totaled $2.33 million
at September 30, 1996.  Time deposits  (with  original  maturities of 90 days or
more), investments and mortgage-backed  securities available for sale were $5.42
million at  September  30,  1996,  a decrease  of $801,000  from June 30,  1996,
balances.  Such decrease was  attributable  to maturity of such  instruments and
time deposits and the shifting of such assets into loans receivable.

     Liability  liquidity  relates  to the  Bank's  ability  to retain  existing
deposits,  obtain new deposits  and borrow in the  marketplace.  Total  deposits
increased $2.09 million for the three months ended September 30, 1996,  compared
to June 30, 1996. The Bank has not experienced any significant  loss of deposits
during the first three months of fiscal 1997.  This is evidenced by the decrease
of $73,000 in demand deposit and negotiable order of withdrawal  ("NOW") account
and savings  account  balances  being offset by the increase of $2.16 million in
time account balances.

     Access to funds from the Federal Home Loan Bank (the "FHLB") in the form of
short- and long-term advances is a supplemental source of cash to meet liquidity
needs.

     Capital  Resources.  Members' equity totaled $5.42 million at September 30,
1996,  compared to $5.40  million at June 30, 1996.  This increase was primarily
due to a net unrealized gain on securities  available-for-sale of $36,000. As of
September 30, 1996, the ratio of members'  equity to assets was 9.53%,  compared
to 9.69% at June 30, 1996.

     Regulatory Capital Requirements. The Bank is required by applicable law and
regulation to meet certain minimum capital requirements. These requirements call
for tangible  capital of 1.5% of adjusted total assets,  core capital (which for
Home City is equal to  tangible  capital) of 3% of adjusted  total  assets,  and
risk-based  capital  (which for Home City  consists of core  capital and general
valuation  allowances) equal to 8% of risk-weighted  assets.  Assets and certain
off-balance-sheet  items are weighted at  percentage  levels  ranging from 0% to
100% depending on their relative risk.


<PAGE>


     The following table summarizes the Bank's regulatory  capital  requirements
and actual capital at September 30, 1996.

<TABLE>
                                                                               Excess of actual capital over
                           Actual Capital            Current requirements           current requirements         Applicable
                     Amount         Percent         Amount         Percent         Amount         Percent       asset total
                     ------         -------         ------         -------         ------         -------       -----------
                                                            (Dollars in thousands)
<S>                  <C>             <C>            <C>              <C>            <C>             <C>           <C>    
Tangible
capital              $5,201          8.94%          $  872           1.50%          $4,329          7.44%         $58,164

Core
capital               5,201          8.94            1,744           3.00            3,457          5.94           58,164

Risk-based
capital               5,565         17.36            2,564           8.00            3,001          9.36           32,052

</TABLE>

     General.  The Bank's  consolidated  total  assets  were  $57.98  million at
September 30, 1996,  reflecting an increase of $2.25 million, or 4.03%, over the
$47.17 million at June 30, 1996.  This growth was primarily  attributable  to an
increase in loans  outstanding,  funded by a similar  increase in time  deposits
under $100,000.

     Cash  and  Cash   Equivalents,   Time  Deposits,   Investment   Securities,
Mortgage-Backed  Securities  and FHLB  Stock.  Cash and cash  equivalents,  time
deposits with original  maturities  of 90 days or more,  investment  securities,
mortgage-backed  securities and Federal Home Loan Bank ("FHLB") stock  increased
by $309,000  between June 30 and September 30, 1996. The primary changes were an
increase in cash and cash  equivalents  from $1.84  million at June 30, 1996, to
$2.33  million at  September  30,  1996,  and a decrease in time  deposits  with
original  maturities  of 90 days or more from $1.06 million at June 30, 1996, to
$361,000 at September 30, 1996.

     Loans Receivable.  Net loans receivable equaled $47.76 million at September
30,  1996,  compared  to  $45.23  million  at June 30,  1996,  a 5.6%  increase,
attributable to the continued  demand for mortgage loans coupled with the growth
of the consumer  loan product  line,  which was  introduced  in January of 1996.
Management is continuing to emphasize single-family residential lending.

     Deposits.  Total deposits increased by $2.09 million,  or 4.42%, during the
first three months of fiscal 1997. Time deposits increased by $2.16 million,  or
5.84%,  while demand and savings  deposits  decreased  only  $73,000,  or 0.71%,
during the three months ended September 30, 1996.

     Other  liabilities  increased by  $367,000.  Such  increase  was  primarily
attributable to the accrual of $265,000 for the one-time  assessment on deposits
insured  by the  Savings  Association  Insurance  Fund  ("SAIF")  to be  paid on
November  27,  1996.  The  one-time  SAIF  assessment  was levied by the Federal
Deposit Insurance  Corporation in order to bring the reserves of the SAIF to the
level required by law and to correct a significant  disparity between the amount
of deposit insurance  premiums paid by institutions with deposits insured by the
Bank  Insurance  Fund (the "BIF") and the amount paid in premiums for  insurance
under the SAIF. The  legislation  providing for the special SAIF assessment also
provides that the cost of prior thrift  failures will be shared by both the SAIF
and the BIF, which will increase BIF assessments  and decrease SAIF  assessments
in 1997. The recapitalization  plan also provides for the merger of the SAIF and
the BIF effective  January 1, 1999,  assuming there are no savings  associations
under federal law. Under separate proposed legislation,  Congress is considering
the  elimination  of  the  federal  thrift  charter  and  the  separate  federal
regulation  of  thrifts.  As a  result,  the Bank  would  have to  convert  to a
different financial institution charter and would be regulated under federal law
as a bank,  including being subject to the more restrictive activity limitations
imposed on  national  banks.  In  addition,  HCFC might  become  subject to more
restrictive holding company requirements.  HCFC cannot predict the impact of the
conversion  of the Bank to,  or  regulation  of the  Bank as, a bank  until  the
legislation requiring such change in enacted.

     Advances  from the FHLB  decreased  $230,000,  or 7.9%,  during  the  first
quarter of fiscal year 1997,  due to repayment of short-term  borrowings  during
the quarter.


<PAGE>


Comparison of Results of Operations

     General. The Bank recorded a consolidated net loss of $10,000 for the three
months ended  September  30,  1996,  compared to income of $125,000 for the same
period in 1995.  Such loss  resulted  primarily  from the  accrual of a $265,000
expense due to the one-time SAIF assessment,  which was recorded as of September
30,  1996.  If not for such  assessment,  the Bank would have had  approximately
$165,000 of net income for the three months ended September 30, 1996.

     Net Interest  Income.  The Bank's net interest  income for the three months
ended  September 30, 1996,  increased by $59,000,  to $528,000,  compared to the
same period in 1995.  The net interest  margin,  which  consists of net interest
income as a percentage of average  interest-earning  assets, decreased slightly,
from 3.63% for the three months ended  September 30, 1995, to 3.53% for the same
period  in 1996,  primarily  as a result of the  growth  in the  higher-yielding
deposits of the Bank.  During the same period,  the net interest  spread,  which
reflects  average  yield  on  interest-earning  assets  less  average  costs  of
interest-bearing liabilities, increased from 3.03% to 3.30%.

     Provision for Loan Losses.  The  allowance for loan losses was  established
and is  maintained  by  periodic  charges to the  provision  for loan  loss,  an
operating  expense,  in order to provide  for the risk of loss  inherent  in the
Bank's loan  portfolio.  Loan  losses and  recoveries  are charged or  credited,
respectively, to the allowance for loan losses as they occur.

     The  allowance  and  provision  for loan losses is determined by management
upon  consideration  of such  factors  as the  size  and  character  of the loan
portfolio,  loan loss experience,  problem loans and economic  conditions in the
Bank's market area.  Management  attempts to minimize the risk  associated  with
each loan by  evaluating  each loan  independently  based  upon  criteria  which
include,  but are not limited  to, (a) the  purpose of the loan,  (b) the credit
history of the borrower,  (c) the borrower's  financial standing and trends, (d)
the market value of the collateral involved,  and (e) the down payment received.
Quarterly  reviews of the loan portfolio are conducted to identify problem loans
and to determine  appropriate  courses of action on a loan-by-loan  basis. While
management believes that it uses the best information available to determine the
allowance for loan losses, unforeseen market conditions could result in material
adjustments,  and net earnings could be  significantly  adversely  affected,  if
circumstances differ substantially from the assumptions used in making the final
determination.  Loans not secured by one- to four-family residential real estate
are generally  considered to involve  greater risk of loss than loans secured by
one- to  four-family  residential  real estate  due, in part,  to the effects of
general  economic  conditions.  The  repayment of  multifamily  residential  and
nonresidential  real estate loans generally  depends upon the cash flow from the
operation  of the  property,  which may be  negatively  affected by national and
local economic conditions that cause leases not to be renewed or that negatively
affect the operations of a commercial  borrower.  Construction loans may also be
negatively  affected by such  economic  conditions,  particularly  loans made to
developers  who do not have a buyer for a property  before the loan is made. The
risk of default on consumer loans  increases  during periods of recession,  high
unemployment and other adverse economic conditions.  When consumers have trouble
paying their bills,  they are more likely to pay  mortgage  loans than  consumer
loans,  and the  collateral  securing such loans,  if any, may decrease in value
more rapidly than the outstanding  balance of the loan. In August 1996, Congress
passed  legislation  repealing  the reserve  method of  accounting  used by many
thrifts to calculate  their bad debt reserve for federal income tax purposes and
requiring  any bad debt  reserves  taken after  1987,  using the  percentage  of
taxable income method,  be included in future taxable income of the  association
over a six-year period,  although a two-year delay is permitted for institutions
meeting a  residential  mortgage loan  origination  test. At September 30, 1996,
First Federal has  approximately  $1.1 million in bad debt  reserves  subject to
recapture for federal income tax purposes. The deferred tax liability related to
the recapture was  established in prior years, so the Bank's net income will not
be negatively affected by this legislation.

     During the three  months ended  September  30,  1996,  provisions  for loan
losses were made  totaling  $800,  representing  provisions  of $400 each in the
months of August and September, 1996. Management determined that such provisions
were appropriate in light of the steady growth in Home City's loan portfolio and
the recent addition of consumer installment loan products, which present greater
risk to lenders than mortgage loans.

     Noninterest  Income and  Expense.  Noninterest  income was  $17,000 for the
three months ended September 30, 1996, compared to $1,000 for the same period in
1995.  The increase was a result of an increase in the cash  surrender  value of
life insurance  policies the Bank holds on four directors.  Noninterest  expense
increased by $262,000 for the three months ended September 30, 1996, compared to
the same period in 1995. The increase was  attributable to the provision for the
special SAIF assessment.

<PAGE>


                  HOME CITY FEDERAL SAVINGS BANK OF SPRINGFIELD


                                     PART II



         ITEM 1 - LEGAL PROCEEDINGS

                     None


         ITEM 2 - CHANGES IN SECURITIES

                     Not Applicable


         ITEM 3 - DEFAULTS UPON SENIOR SECURITIES

                     Not Applicable


         ITEM 4 - SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

                     None


         ITEM 5 - OTHER INFORMATION

                     None


         ITEM 6 - EXHIBITS AND REPORTS ON FORM 8-K

                     None



<PAGE>



                                   SIGNATURES


     In accordance with the requirements of the Securities Exchange Act of 1933,
the  registrant  has duly  caused  this report to be signed on its behalf by the
undersigned, thereunto duly authorized.





                                            HOME CITY FINANCIAL CORPORATION


Date  December 26, 1996                     Douglas L. Ulery
                                            ____________________________________
                                            Douglas L. Ulery
                                            President



Date  December 26, 1996                     Gary E. Brown
                                            ____________________________________
                                            Gary E. Brown
                                            Treasurer