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

                                   FORM 10-QSB

[ X ]             QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF
                  THE SECURITIES EXCHANGE ACT OF 1934

                  For the quarterly period ended June 30, 2000

                                       OR

[   ]             TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF
                  THE SECURITIES EXCHANGE ACT OF 1934

                  For the transition period from ____________ to ____________

                  Commission file number: 0-18271


                            MAGELLAN TECHNOLOGY, INC.
                           ---------------------------
             (Exact name of registrant as specified in its charter)



     Utah                                                         87-0467614
    -------                                                      ------------
(State or other jurisdiction of                               (I.R.S. Employer
incorporation or organization)                               Identification No.)



                12411 South 265 West, Suite F, Draper, Utah 84020
               ---------------------------------------------------
                    (Address of principal executive offices)
                                   (Zip Code)

                                 (801) 501-7517
                                 ---------------
              (Registrant's telephone number, including area code)


                -------------------------------------------------
              (Former Name, former address and former fiscal year,
                         if changed since last report)

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the  preceding 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 X No _____

State the number of shares outstanding of each of the issuer's classes of common
equity, as of the latest practicable date:

Number outstanding at June 30, 2000:              27,576,997 shares
Class:                                            Common Stock, $.0002 par value



<PAGE>


                                   FORM 10-QSB

                       Financial Statements and Schedules
                            Magellan Technology, Inc.

                       For the Quarter Ended June 30, 2000

The  following  financial  statements  and schedules of the  registrant  and its
consolidated subsidiaries are submitted herewith:


                         PART I - FINANCIAL INFORMATION
                        --------------------------------

Item 1.    Financial Statements

           Condensed consolidated balance sheet for June 30, 2000              3

           Condensed consolidated statement of operations for
           the three months and six months ended June 30, 2000
           and 1999                                                            4

           Condensed statement of cash flows for the six months ended
           June 30, 2000 and 1999                                              5

           Notes to condensed consolidated financial statements                7

Item 2.    Management's Discussion and Analysis of Financial
           Condition and Results of Operations                                 9


                           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(a)  Exhibits                                                           11

Item 6(b)  Reports on Form 8-K                                                11

                                       2
<PAGE>

                            MAGELLAN TECHNOLOGY, INC.
                                AND SUBSIDIARIES

                      Condensed Consolidated Balance Sheets
<TABLE>
<CAPTION>



                                                                             Jun 30, 2000
                                  ASSETS                                      (Unaudited)
                                                                            --------------
<S>                                                                         <C>

Current Assets:
 Cash                                                                       $       73,210
 Accounts Receivable                                                             1,363,956
 Notes Receivable
 Investment in Securities                                                        1,600,000
 Inventories                                                                        78,884
 Prepaid Expenses                                                                   23,761
 Other Current Assets                                                               36,867
                                                                            --------------
   Current Assets                                                                3,176,678
                                                                            --------------

 Property and Equipment, net                                                       196,001
 Goodwill, net                                                                     495,903
 Licenses & Technology, net                                                      1,199,609
                                                                            --------------
   Total Assets                                                             $    5,068,191
                                                                            ==============
                                LIABILITIES

Current Liabilities:
 Accounts Payable                                                           $      601,831
 Accrued Personnel Costs                                                           115,453
 Accrued Liabilities                                                               288,214
 Accrued Interest Payable                                                          245,179
 Line of Credit                                                                  1,396,158
 Related Party Notes Payable                                                     2,111,048
 Notes Payable                                                                     377,804
 Current Portion of long-term debt                                                   4,463
                                                                            --------------
   Current Liabilities                                                           5,140,150

 Long-Term Debt                                                                      9,185
                                                                            --------------
   Total Liabilities                                                             5,149,335
                                                                            --------------
                           STOCKHOLDERS' EQUITY

 Common Stock, par value $.0002 per share;
   50,000,000 shares authorized, 27,576,997 shares
   issued and outstanding as of June 30, 2000.                                       5,515
 Additional Paid-in Capital                                                     14,248,204
 Accumulated Deficit                                                           (14,195,505)
 Current Earnings/(Loss)                                                          (139,358)
                                                                            --------------
   Total Stockholders' equity                                                      (81,144)
                                                                            --------------
     Total Liabilities and Stockholders' Equity                             $    5,068,191
                                                                            ==============
</TABLE>
                                       3
<PAGE>

                            MAGELLAN TECHNOLOGY, INC.
                                AND SUBSIDIARIES

                 Condensed Consolidated Statements of Operations
                                   (Unaudited)
<TABLE>
<CAPTION>



                                                                          Three Months                      Six Months
                                                                          Ended June 30                    Ended June 30
                                                                      2000             1999            2000             1999
                                                                 -------------    -------------   -------------    -------------

<S>                                                              <C>              <C>             <C>              <C>
 Net Sales                                                       $   1,538,335    $   1,999,553   $   3,332,280    $   3,672,922
 Cost of Sales                                                         228,327          377,638         497,182          675,059
                                                                 -------------    -------------   -------------    -------------
   Gross Margin                                                      1,310,008        1,621,915       2,835,098        2,997,863

 Variable Selling Costs                                                194,128          277,668         437,360          573,014
                                                                 -------------    -------------   -------------    -------------
   Contribution Margin                                               1,115,880        1,344,247       2,397,738        2,424,849

Operating Expenses:
 Administration & Finance                                              375,802          295,888         730,780          641,005
 Customer Support                                                       36,453           69,457          73,688          104,619
 Marketing                                                              73,552           82,935          84,071           82,935
 Operations & Engineering                                              100,528           96,071         209,217          242,172
 Sales - Domestic                                                      242,372          437,811         506,072        1,089,146
 Sales - International                                                  55,158           86,792         112,484          108,100
 Training & Education                                                  122,507          306,515         251,458          552,702
 Depreciation Expense                                                   15,782           14,235          31,056           27,573
 Amortization of Licenses & Goodwill                                   156,073          156,073         312,145          308,630
                                                                 -------------    -------------   -------------    -------------
    Total Operating Expenses                                         1,178,227        1,545,777       2,310,971        3,156,882
                                                                 -------------    -------------   -------------    -------------
 Income/(Loss) from Operations                                         (62,347)        (201,530)         86,767         (732,033)

 Other (Income)/Expense:
 Other (Income)/Expense                                                   (328)          (8,254)        (14,194)          (8,254)
 Interest Expense                                                      116,927          143,959         240,319          318,209
                                                                 -------------    -------------   -------------    -------------
    Net Income/(Loss) before Discontinued Operations                  (178,946)        (337,235)       (139,358)      (1,041,988)
 Loss from Discontinued Operations                                                      274,670                          477,176
                                                                 -------------    -------------   -------------    -------------
    Net Income/(Loss) before Income Taxes                             (178,946)        (611,905)       (139,358)      (1,519,164)
 Provision for Income Taxes
                                                                 -------------    -------------   -------------    -------------
    Net Income/(Loss)                                            $    (178,946)   $    (611,905)  $    (139,358)   $  (1,519,164)
                                                                 =============    =============   =============    =============

    Net Income/(Loss) per share                                  $       (0.01)   $       (0.03)  $       (0.01)   $       (0.07)
                                                                 =============    =============   =============    =============

 Weighted average shares outstanding                                27,510,459       22,329,973      27,510,459       22,329,973
                                                                 =============    =============   =============    =============

</TABLE>

                                       4
<PAGE>

                            MAGELLAN TECHNOLOGY, INC.
                                AND SUBSIDIARIES

                 Condensed Consolidated Statements of Cash Flows
                                   (Unaudited)
<TABLE>
<CAPTION>


                                                                               Six Months
                                                                             Ended June 30
                                                                         2000             1999
                                                                    -------------    -------------
<S>                                                                 <C>              <C>

Cash Flows from Operating Activities:
 Net Income/(Loss)                             s                     $    (139,358)   $  (1,519,164)
 Adjustments to Reconcile Net Income/(Loss)
   to Net Cash used in Operating Activities:
     Provision for Bad Debt                                                15,000            9,400
     Issusance of common stock for services                                51,000           30,242
     Depreciation Expense                                                  31,056           27,573
     Amortization of Licenses & Goodwill                                  312,145          308,630
     (Gain)/Loss on sale of assets                                                          (1,013)
     Net assets of discontinued operations                                                (209,824)
 (Increase)/Decrease in:
   Accounts Receivable                                                   (255,581)        (496,120)
   Inventory                                                               56,847          107,122
   Prepaid Expenses                                                         2,545          (39,252)
   Other Current Assets                                                   (16,900)          18,006
 Increase/(Decrease) in:
   Accounts Payable                                                      (214,782)         132,730
   Accrued Personnel Costs                                                 30,066          (75,987)
   Accrued Liabilities                                                     36,737          127,969
   Accrued Interest Payable                                                24,638           97,886
                                                                    -------------    -------------
 Net Cash Provided by/(Used in) Operating Activities                      (66,587)      (1,481,802)
                                                                    -------------    -------------
Cash Flows from Investing Activities:
 Purchase of Property & Equipment                                         (21,219)         (37,277)
 Notes Receivable                                                         900,000
 Sale of Property & Equipment                                                                3,804
                                                                    -------------    -------------
 Net Cash Provided by/(Used in) Investing Activities                      878,781          (33,473)
                                                                    -------------    -------------
Cash Flows from Financing Activities:
 Issuance of Common Stock                                                                  308,338
 Proceeds from Related Party Notes                                      1,032,899          595,000
 Principal Payments on Related Party Notes                               (604,899)        (345,000)
 Proceeds from Notes Payable                                                               925,000
 Principal Payments on Notes Payable                                     (344,950)         (25,000)
 Proceeds from Line of Credit                                                               13,843
 Principal Payments on Line of Credit                                  (1,100,000)         (50,000)
 Proceeds from Long-term Debt                                                               18,798
 Principal Payments on Long-term Debt                                      (2,233)         (59,622)
                                                                    -------------    -------------
 Net Cash Provided by/(Used in) Financing Activities:                  (1,019,183)       1,381,357
                                                                    -------------    -------------
 Net Decrease in cash                                                    (206,989)        (133,918)

 Cash, Beginning of Period                                                280,199          155,617
                                                                    -------------    -------------
 Cash, End of Period                                                $      73,210    $      21,699
                                                                    =============    =============
</TABLE>
                                       5
<PAGE>


                            MAGELLAN TECHNOLOGY, INC.
                                AND SUBSIDIARIES

                 Condensed Consolidated Statements of Cash Flows
                                   (Unaudited)

<TABLE>
<CAPTION>

                                                                                             Six Months
                                                                                            Ended June 30
                                                                                       2000                 1999
                                                                                 -------------       -------------
<S>                                                                              <C>                 <C>


Cash paid during the period for:
 Interest                                                                        $     215,682       $     236,079
                                                                                 =============       =============

 Income Taxes                                                                    $          -        $          -
                                                                                 =============       =============

</TABLE>

Non-cash Financing and Investing Activities:

         During the quarter ended March 31, 2000, the company  converted accrued
interest  payable to a shareholder  and director to a note payable in the amount
of $98,048.

         During the quarter ended June 30, 2000,  the company issued 100,000 and
2,000 shares of common stock for services to individuals.

         During  the  quarter  ended  March  31,  1999,  the  Company  converted
$1,900,000 of notes payable and $11,033 of accrued  interest payable into common
stock.

         During the quarter  ended March 31, 1999,  the Company  issued  250,000
shares of common stock in exchange for the rights to certain technology known as
the P.I.C.E. Technology. The value of this transaction was $140,625.

         During the quarter ended June 30, 1999, the Company  converted  certain
accounts  payable  balances  to certain  vendors to a note  payable.  The amount
converted was $23,769.

         During the  quarter  ended June 30,  1999,  the  Company  converted  an
accounts payable balance to a certain vendor to common stock and a note payable.
The amount converted was $25,000 and 39,313 respectively.

         During the quarter ended June 30, 1999, the Company applied an accounts
receivable  balance from a customer in the amount of $47,600 to the  outstanding
amount of a note payable to this same individual.

         During the quarter  ended June 30, 1999,  the Company  converted a note
receivable  balance  from a certain  entity in the  amount of  $1,600,000  to an
investment of 290,909 shares of convertible preferred stock in the same entity.

                                       6
<PAGE>

                            MAGELLAN TECHNOLOGY, INC.
                                AND SUBSIDIARIES

              Notes to Condensed Consolidated Financial Statements

(1)      The unaudited condensed  consolidated  financial statements include the
         accounts of Magellan Technology, Inc. ("Magellan") and its wholly owned
         subsidiaries,  BioMeridian  Corporation  [formerly  known as ProHealth,
         Inc. and prior to that known as Satellite  Image  Systems,  Inc.  (SIS,
         Inc.) and SIS Jamaica, LTD (SIS Jamaica)],  BioMeridian  International,
         Inc.  ("BioMeridian")  (formerly  known  as  BioSource,  Inc.)  and BTI
         Acquisition  Corp ("BTI").  On February 16, 1999, the Company  acquired
         certain assets known as the P.I.C.E.  technology  from an individual in
         exchange for 250,000  shares of common  stock.  In  September  1999 the
         Company   completed  the   acquisition   of   Biological   Technologies
         International,   Inc.  (BTI)  which  the  Company  acquired   effective
         September 17, 1999 through its wholly-owned  subsidiary BTI Acquisition
         Corp. The acquisition of BTI included the issuance of 3,024,024  shares
         of  Magellan  common  stock  for all of the  outstanding  shares of BTI
         common  stock.  The  acquisition  was  accounted  for as a "pooling  of
         interests" transaction.

(2)      The unaudited condensed  consolidated  financial statements include all
         adjustments,  consisting of normal recurring  items,  which are, in the
         opinion  of  management,  necessary  to present  fairly  the  financial
         position  of the  company  as of  June  30,  2000  and the  results  of
         operations  for the three months and six months ended June 30, 2000 and
         1999 and cash  flows for the six months  ended June 30,  2000 and 1999.
         The results of operations  for the three months ended June 30, 2000 are
         not necessarily  indicative of quarterly results to be expected for the
         remainder of the year.

(3)      The  amount  of the loss per  share  is based on the  weighted  average
         number of shares outstanding at June 30, 2000 and 1999, respectively.

(4)      In October  1996,  the Company  completed  the  acquisition  of SkyHook
         Technologies,  Inc., a Utah Corporation  ("SkyHook")  organized in 1995
         and engaged in development of proprietary, cargo-management systems for
         use with helicopters. SkyHook's initial cargo-management product is the
         SkyHook   External  Cargo   Management   System  ("ECMS")  which  is  a
         computer-controlled,  multiple-hook cargo carrying device that attaches
         to a long line beneath the helicopter. The acquisition was accomplished
         with the exchange of 4,874,936  shares of Magellan Common Stock for all
         issued and  outstanding  shares of SkyHook  Common Stock.  SkyHook then
         became a wholly owned subsidiary of the Company.

         Effective  December 31, 1999, the Company completed the disposition and
         sale of SkyHook to Envirofoam  Technologies,  Inc. (EFT).  The sale was
         completed  in exchange  for  $3,000,000.  Of this sale  amount,  a note
         payable was issued by EFT in the amount of $2,500,000  and a management
         fee for  services  rendered in the amount of  $500,000  will be paid to
         Magellan.  On the closing date of this sale  transaction,  $500,000 was

                                       7
<PAGE>

         paid and received against the note payable and the remaining $2,000,000
         was  originally  intended  to be paid in four  consecutive  payments of
         $500,000  over the next four months,  with the first  payment due on or
         before  January 31, 2000.  On March 9, 2000,  the terms of repayment of
         the note were amended. The January 31, 2000 payment was received in the
         amount  of  $500,000  and the  remaining  balance  was  intended  to be
         received over 3 monthly  payments in the amounts of $100,000,  $500,000
         and $900,000,  respectively,  beginning  March 31, 2000. The management
         fee of $500,000  remained due and payable on or before May 31, 2000. On
         May 5, 2000, the terms of repayment of the note were again amended. The
         March 31,  2000  payment was  received in the amount of $100,000  and a
         payment  in the  amount of  $300,000  was  received  on April 30,  2000
         leaving a total remaining balance due of $1,600,000. Effective June 30,
         2000, this remaining balance due was converted to 290,909 shares of EFT
         Series B Convertible  Preferred Stock. As interest payments,  EFT shall
         issue to Magellan a specified  number of additional  shares of Series B
         Convertible  Preferred  Stock  at the end of each  of the  next  eleven
         months beginning on July 31, 2000 if all of these preferred shares have
         not been sold by Magellan.

(5)      On May 19, 1998 the company entered into a $3,000,000 revolving line of
         credit  agreement.  Obligations  under  prior  separate  line of credit
         agreements  for $750,000 and $745,000  were retired with  proceeds from
         the new revolving line of credit.  During the six months ended June 30,
         1999 the Company made no  additional  borrowings  under this  revolving
         line of  credit.  This  revolving  line of  credit  is  secured  by the
         Company's  inventory and receivables and by the personal  guarantees of
         the  Company's  Chief  Executive  Officer,  a  Director,  and  a  major
         shareholder. On December 15, 1999, this line of credit was converted to
         a term loan  whereby  5  monthly  payments  in the  amount of  $500,000
         commencing  December 31, 1999 and concluding on April 30, 2000 followed
         by a final  payment  of  $496,158  on May 31,  2000  will be  made.  On
         February 29, 2000, a  modification  agreement  was entered into whereby
         the monthly  payments  to be  received  pursuant to this term loan were
         changed.  Under the new agreement,  monthly  payments in the amounts of
         $100,000, 100,000, $500,000 and $1,296,158 commencing February 29, 2000
         would replace the monthly payments under the previous agreement. On May
         22, 2000,  a new  modification  agreement  was entered into whereby the
         monthly  payments  to be  received  pursuant  to this  term  loan  were
         changed.  Under the new  agreement,  three  payments  in the  amount of
         $100,000 each  followed by one in the amount of  $1,196,158  commencing
         May 31,  2000 would  replace the monthly  payments  under the  previous
         agreement.  As of June 30, 2000 the Company had an outstanding  balance
         of $1,396,158 under this revolving line of credit.

(6)      During the six months ended June 30, 2000,  the Company  borrowed a net
         amount of $840,000 from the Company's Chief Executive Officer,  or from
         entities  controlled by this individual,  under three separate $100,000
         unsecured note payable  agreements,  one $40,000 unsecured note payable
         agreement, two $50,000 unsecured note payable agreements,  one $150,000
         unsecured  note  payable  agreement,  and one $250,000  unsecured  note
         payable  agreement.  Each note  payable  bears  interest  at 12% and is
         payable upon demand.

                                       8
<PAGE>


                         PART I - FINANCIAL INFORMATION


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

Six-month period ended June 30, 2000 compared to the six-month period ended June
30, 1999.

BioMeridian  manufactures  and sells the MSA/IMAG and BEST systems to healthcare
practitioners  throughout the world. This equipment is used to assess stress and
assist  healthcare  practitioners  in the  analysis  and  treatment  of  certain
conditions.  If stress or imbalance is detected in a patient, the systems assist
the  practitioner  in recommending a course of treatment or therapy to alleviate
the stress or to restore  balance to the body's  meridian  systems.  BioMeridian
also   provides   training   classes  and  support   services  for  health  care
practitioners that utilize these systems. The MSA/IMAG system is registered with
the U.S. Food and Drug Administration as a stress-monitoring device.

Beginning  January 1, 2000, the operations of BioMeridian  and BTI were combined
and  integrated  into  BioMeridian.  For the six  months  ended  June 30,  2000,
BioMeridian  achieved sales  revenues of $3,332,280  which resulted in operating
income of $86,767  compared with sales revenues of $3,672,922  which resulted in
an  operating  loss of  $732,033  for the six months  ended June 30,  1999.  The
decrease in sales is the result of the transition process from independent sales
representatives  to hiring and training  several new sales personnel  within the
company.  The increase in  operating  profit is  primarily  due to  management's
continuous  focus  on  the  healthcare  industry  and  commitment  to  efficient
operations.

Three-month  period ended June 30, 2000 compared to the three-month period ended
June 30, 1999.

Beginning  January 1, 2000, the operations of BioMeridian  and BTI were combined
and  integrated  into  BioMeridian.  For the three  months  ended June 30, 2000,
BioMeridian achieved sales revenues of $1,538,335 which resulted in an operating
loss of $62,347  compared with sales revenues of $1,999,553 which resulted in an
operating  loss of  $201,530  for the three  months  ended  June 30,  1999.  The
decrease in sales is the result of the transition process from independent sales
representatives  to hiring and training  several new sales personnel  within the
company.  The increase in  operating  profit is  primarily  due to  management's
continuous  focus  on  the  healthcare  industry  and  commitment  to  efficient
operations.

Liquidity and Capital Resources

On May 19, 1998 the company  entered into a $3,000,000  revolving line of credit
agreement.  Obligations  under  prior  separate  line of credit  agreements  for
$750,000 and $745,000 were retired with proceeds from the new revolving  line of
credit. During the six months ended June 30, 1999 the Company made no additional
borrowings under this revolving line of credit. This revolving line of credit is
secured  by  the  Company's  inventory  and  receivables  and  by  the  personal
guarantees of the Company's Chief  Executive  Officer,  a Director,  and a major
shareholder.  On December 15, 1999,  this line of credit was converted to a term
loan whereby 5 monthly  payments in the amount of $500,000  commencing  December
31,  1999 and  concluding  on April 30,  2000  followed  by a final  payment  of
$496,158 on May 31, 2000 will be made.  On February  29,  2000,  a  modification
agreement was entered into whereby the monthly payments to be received  pursuant
to this term loan were changed. Under the new agreement, monthly payments in the
amounts of $100,000,  100,000,  $500,000 and $1,296,158  commencing February 29,

                                       9
<PAGE>

2000 would replace the monthly payments under the previous agreement. On May 22,
2000, a new modification agreement was entered into whereby the monthly payments
to be received pursuant to this term loan were changed. Under the new agreement,
three  payments in the amount of $100,000  each followed by one in the amount of
$1,196,158  commencing May 31, 2000 would replace the monthly payments under the
previous  agreement.  As of June 30, 2000 the Company had an outstanding balance
of $1,396,158 under this revolving line of credit.

During the six months ended June 30, 2000, the Company  borrowed a net amount of
$840,000 from the Company's Chief Executive Officer, or from entities controlled
by this  individual,  under  three  separate  $100,000  unsecured  note  payable
agreements,  one $40,000 unsecured note payable agreement, two $50,000 unsecured
note payable agreements,  one $150,000 unsecured note payable agreement, and one
$250,000 unsecured note payable  agreement.  Each note payable bears interest at
12% and is payable upon demand.

                                       10
<PAGE>


                           PART II - OTHER INFORMATION

Item 1.  Legal proceedings:

         The  Company  is  party  to one  proceeding,  which  is  considered  by
         Management to be routine  litigation  incidental  to the business,  and
         which is not product related.

Item 2.  Changes in Securities:     None.

Item 3.  Defaults upon Senior Securities:   None.

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

         A report  on Form  8-K,  which  reported  the sale and  disposition  of
         Magellan's  wholly owned  subsidiary  SkyHook  Technologies,  Inc., was
         filed on January 14, 2000.

                                       11
<PAGE>


SIGNATURES

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


                            MAGELLAN TECHNOLOGY, INC.
                            -------------------------
                                  (Registrant)




\s\William A. Fresh                                            August 21, 2000
------------------------                                      -----------------
William A. Fresh                                                   Date
Chairman and Chief Executive Office

                                       12