U.S. SECURITIES AND EXCHANGE COMMISSION


                             Washington, D.C. 20549


                                  Form 10 - QSB


                   Quarterly Report Under Section 13 or 15 (d)
                     of the Securities Exchange Act of 1934

                For the Quarterly Period Ended September 30, 2003


                           Commission File No. 0-12968


                        INMEDICA DEVELOPMENT CORPORATION
        (Exact name of small business issuer as specified in its charter)



            Utah                                            87-0397815
-----------------------------                      -----------------------------
(State or other jurisdiction of                           (I.R.S. Employer
 incorporation or organization)                        Identification Number)

             825 N. 300 West, Suite N132, Salt Lake City, Utah 84103
                    (Address of principal executive offices)

Registrant's telephone number including area code  (801) 521-9300


Check  whether the issuer (1) filed all reports  required to be filed by section
13 or 15(d) of the 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


The number of shares outstanding of the registrant's only class of common stock,
par value $.001 per share, as of November 10, 2003 was 15,982,993 shares.





                                       1
<PAGE>



PART I - FINANCIAL INFORMATION

Item 1.  Financial Statements


                 INMEDICA DEVELOPMENT CORPORATION AND SUBSIDIARY
                           CONSOLIDATED BALANCE SHEET



                                     ASSETS

                                        As of
                                    September 30,
                                        2003
                                     (Unaudited)

CURRENT ASSETS:
   Cash                             $     11,982
   Securities available for sale               1
   Prepaid expenses and other                200
                                    ------------

        Total current assets              12,183

EQUIPMENT AND FURNITURE,
   at cost, less accumulated
   depreciation of $253,255                  619
                                    ------------






        Total assets                $     12,802
                                    ============








                 See notes to consolidated financial statements.

                                       2
<PAGE>


                  INMEDICA DEVELOPMENT CORPORATION AND SUBSIDIARY
                      CONSOLIDATED BALANCE SHEET(CONTINUED)


                      LIABILITIES AND STOCKHOLDERS' EQUITY

                                               As Of
                                            September 30,
                                               2003
                                            (Unaudited)

CURRENT LIABILITIES:
   Related party consulting fees payable     $   60,000
   Accounts payable                               7,560
   Preferred stock dividend payable              17,023
                                             ----------


        Total current liabilities                84,583
                                             ----------

MINORITY INTEREST                               119,742
                                             ----------


STOCKHOLDERS' EQUITY:
   Preferred stock,  10,000,000
    shares  authorized;  Series A
    preferred  stock, cumulative
    and convertible,  $4.50 par
    value,  1,000,000 shares
    designated, 21,016 shares
    outstanding                                  94,573
   Common stock, $.001 par value;
    40,000,000 shares authorized,
    15,982,993 issued and outstanding            15,983
   Additional paid-in capital                 8,024,260
   Accumulated deficit                       (8,326,339)
                                             ----------

        Total stockholders'
         equity                                (191,523)
                                             ----------
        Total liabilities and
         stockholders' equity                $   12,802
                                             ==========


                 See notes to consolidated financial statements.

                                       3
<PAGE>



                 INMEDICA DEVELOPMENT CORPORATION AND SUBSIDIARY
                      CONSOLIDATED STATEMENTS OF OPERATIONS

                                  For the Three            For the Nine
                                  Months Ended             Months Ended
                          September 30, September 30,
                                  2003         2002      2003         2002
                                     (Unaudited)           (Unaudited)


TOTAL ROYALTY REVENUES        $       -    $      -   $       -    $     -
                              -----------  ---------- -----------  ---------

OPERATING EXPENSES:
  General and
    administrative                 17,167     70,042      100,429    234,387
  Research and
    development                     3,581      5,953       10,306     11,359
                              -----------  ---------- -----------  ---------

  Total operating expenses         20,748     75,995      110,735    245,746
                              ------------ ---------- ------------ ---------

 LOSS FROM OPERATIONS              (20,748)   (75,995)    (110,735)  (245,746)
                               -----------  ---------  -----------  ---------

OTHER INCOME (EXPENSE):
  Other income, net                     7         32           46        107
  Interest expense                    -         (161)          -        (563)
                              -----------  ---------  -----------  ---------

  Total other expense, net              7       (129)          46       (456)
                              -----------  ---------  -----------  ---------


LOSS BEFORE MINORITY INTEREST     (20,741)   (76,124)    (110,689)  (246,202)

MINORITY INTEREST                   2,103     10,894       14,067     31,812
                              ----------- ----------  ----------- ----------

NET LOSS                          (18,638)   (65,230)     (96,622)  (214,390)

PREFERRED STOCK DIVIDENDS          (1,891)    (1,892)      (5,674)    (5,674)
                              ----------- ----------  ----------- ----------

NET LOSS APPLICABLE TO
  COMMON STOCKHOLDERS             (20,529)   (67,121)    (102,296)  (220,064)

NET LOSS PER COMMON SHARE
  (BASIC AND DILUTED)          $      -           -    $     (.01) $    (.01)
                              =========== ===========  =========== ==========

Weighed average number
  of common shares
  outstanding                  15,982,993  15,984,613   15,982,993 15,984,613

                 See notes to consolidated financial statements.

                                       4
<PAGE>


                 INMEDICA DEVELOPMENT CORPORATION AND SUBSIDIARY
                      CONSOLIDATED STATEMENTS OF CASH FLOWS



                                           For the Nine Months Ended
                                               September 30,
                                             2003             2002
                                            -----            -------
                                                  (Unaudited)

CASH FLOWS FROM OPERATING ACTIVITIES:

  Net loss                               $   (96,622)    $  (214,390)
  Adjustments to reconcile net
    loss to net cash used in
    operating activities-
      Depreciation and amortization              133              87
      Issuance of stock for
          consulting fees                         -               -
      Minority interest in losses            (14,067)        (31,812)
      Change in assets and liabilities-
        Prepaid expenses and other             1,250          16,875
        Related party consulting fee payable  18,000          18,000
        Accounts payable                       5,857          (2,629)
        Accrued payroll                           -           (4,292)
        Note payable                              -          (14,000)
                                           ---------       ---------
          Net cash used in
           operating activities              (85,449)       (232,161)
                                           ---------       ---------


CASH FLOWS USED IN INVESTING ACTIVITIES -
  Purchase of equipment and furniture             -             (884)
                                           ---------        --------











             See notes to consolidated financial statements.

                                       5
<PAGE>




                 INMEDICA DEVELOPMENT CORPORATION AND SUBSIDIARY
                CONSOLIDATED STATEMENTS OF CASH FLOWS (CONTINUED)

                                        For the Nine Months Ended
                                              September  30,
                                               2003        2002
                                                  (Unaudited)



CASH FLOWS FROM FINANCING ACTIVITIES:

 Proceeds from stock subscription receivable       -     100,000
 Proceeds from note receivable from Chi Lin        -     100,000
 Preferred stock dividend                          -      (3,783)
                                            ---------    -------


       Net cash provided by
         financing activities                      -     196,217
                                           ----------  ---------



NET INCREASE (DECREASE)IN CASH               (85,449)    (36,828)

CASH AT BEGINNING OF THE PERIOD               97,431      106,739
                                            --------    ---------

CASH AT END OF THE PERIOD                   $ 11,982      $69,911
                                            =========    ========













                See notes to consolidated financial statements.


                                       6
<PAGE>



INMEDICA DEVELOPMENT CORPORATION AND SUBSIDIARY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)


1.       Basis of Presentation

The  accompanying   unaudited  consolidated  financial  statements  of  InMedica
Development  Corporation  and its  majority  owned  subsidiary,  MicroCor,  Inc.
(collectively  the "Company")  have been prepared on a going concern basis which
contemplates  the  realization of assets and  satisfaction  of liabilities  that
might be necessary  should the Company be unable to continue as a going concern.
The  Company  generated  net losses of $96,622 and  $214,390  for the nine month
periods ended September 30, 2003 and 2002, respectively, and negative cash flows
from  operations  of  $85,449  and  $232,161  for the nine month  periods  ended
September 30, 2003 and 2002, respectively. As of September 30, 2003, the Company
had an accumulated deficit of $8,326,339. At September 30, 2003, the Company had
a stockholders' deficit of $(191,523).  These conditions raise substantial doubt
as to the  Company's  ability to  continue  as a going  concern.  The  Company's
continued  existence is dependent upon its ability to execute its operating plan
and to obtain  additional  debt or equity  financing.  There can be no assurance
that the  necessary  debt or  equity  financing  will be  available,  or will be
available  on terms  acceptable  to the  Company.  Management's  operating  plan
includes pursuing additional strategic alliances and licensing  agreements,  and
if warranted,  preparation for the clinical trials that will be required for FDA
approval for the medical products that are currently under development, pursuant
to the Chi Lin  development  agreement,  utilizing the  Non-invasive  Hematocrit
Technology.

The accompanying consolidated financial statements of the Company are unaudited.
However,  in management's  opinion,  all adjustments,  consisting only of normal
recurring adjustments necessary for fair presentation of results for the interim
periods shown,  have been made.  Results for interim periods are not necessarily
indicative  of  those  to be  expected  for the full  year.  These  consolidated
financial statements should be read in conjunction with the audited consolidated
financial statements and notes to consolidated  financial statements included in
the Company's annual report on form 10-KSB for the year ended December 31, 2002.


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<PAGE>


2.       Summary of Significant Accounting Policies

Principles of Consolidation - The consolidated  financial statements include the
accounts of InMedica  and  MicroCor.  All  material  inter-company  accounts and
transactions have been eliminated.

Use of Estimates - The  preparation of financial  statements in conformity  with
accounting  principles  generally  accepted  in the  United  States  of  America
requires  management to make estimates and assumptions  that affect the reported
amounts  of assets and  liabilities  and  disclosure  of  contingent  assets and
liabilities at the date of the financial  statements and the reported amounts of
revenues and expenses during the reporting  period.  Actual results could differ
from those estimates.


























                                       8

<PAGE>



Item 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
         CONDITION AND PLAN OF OPERATION

Plan of Operation.

        The remaining funds of the Company are expected to satisfy the Company's
        cash needs only  through  the end of  December  31,  2003.  The  Company
        continues  to search  for  strategic  partners  or sources of funding in
        order to continue  future  research and  development  on its  hematocrit
        technology  and  pay   administrative   costs.   Ongoing   research  and
        development has been funded by Chi Lin Technologies,  Inc., although the
        Company continues to seek funding from other sources. The Company has no
        present assurance that additional  funding will be obtained.  If funding
        should be obtained, the Company plans to use those funds to complete the
        ongoing work on the engineering  prototype  currently under  development
        and to test the  prototype  in  order  to  assess  its  performance.  If
        satisfactory  test results are  obtained,  the Company then plans to use
        the   engineering   prototype   as  a  model  to  produce  a  number  of
        manufacturing  prototypes  which  could be used in  clinical  trials and
        submissions  that the  Company  anticipates  would be required to obtain
        approval  for  marketing  by  the  FDA.  The  Company  currently  has no
        commitments for funding to complete this work.

        For the three month period ended June 30, 2003 the  Company's  President
        and Chief Financial Officer each were paid wages of $1 per month.  Since
        July 1, 2003 the Company's  President and Chief  Financial  Officer work
        for the Company  without pay and with no accrual of those unpaid  wages.
        No  decision  has been made to  determine  how those  reduced  wages and
        unpaid wages will be settled.

Liquidity and Capital Resources.

    During the three and nine month periods ended  September 30, 2003  liquidity
        resulted from the previous sale of stock by InMedica and its  subsidiary
        MicroCor pursuant to the Stock Purchase Agreement dated May 10, 2001. As
        of October 2, 2002 InMedica and MicroCor had each  received  payments of
        $500,000  from  Chi Lin and Chi  Lin's  stock  purchase  obligation  was
        satisfied.  The funds  generated from the sale of stock in 2001 were the
        sole source of the  Company's  cash flow and are  sufficient to meet the
        Company's  operating  expenses only through December 31, 2003. While the
        Company has in the past borrowed from  affiliates,  any borrowing in the
        future from affiliates,  if available,  is not expected to be sufficient
        to provide future liquidity needs, retire obligations and fund continued
        research and development.


                                       9
<PAGE>

Results of Operations.

    InMedica  incurred net losses  during the three and nine month periods ended
September  30,  2003  and  2002.  The  Company  had an  accumulated  deficit  of
$8,326,339 as of September 30, 2003. No revenues from operations are expected in
the foreseeable  future.  The net loss for the nine month period ended September
30, 2003  decreased  to $96,622  compared to the net loss of $214,390  for 2002,
primarily due to an decrease in total  operating  expenses of $135,011.  The net
loss for the three month period ended  September  30, 2003  decreased to $18,638
compared to the net loss of $65,230 for the three  months  ended  September  30,
2002,  primarily due to a decrease in total operating  expenses of $55,247.  The
decrease in  operating  expenses for both  comparative  periods is the result of
reduced insurance costs, payroll, accounting and legal fees.





























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<PAGE>


Item 3:   CONTROLS AND PROCEDURES

        The Company's Chief Executive  Officer and Chief Financial  Officer have
        concluded,  based on an evaluation conducted within 90 days prior to the
        filing date of this  Quarterly  Report on Form 10-QSB that the Company's
        disclosure controls and procedures (as defined in Exchange Act Rules 13a
        - 14(c) and 15d - 14(c)) have  functioned  effectively  so as to provide
        those officers the information  necessary to evaluate whether:  (i) this
        Quarterly  Report on Form  10-QSB  contains  any untrue  statement  of a
        material  fact or omits to state a material  fact  necessary to make the
        statements  made,  in  light  of  the  circumstances  under  which  such
        statements were made, not misleading, with respect to the period covered
        by this  Quarterly  Report  on  Form  10-QSB,  and  (ii)  the  financial
        statements,  and other financial  information included in this Quarterly
        Report on Form  10-QSB,  fairly  present in all  material  respects  the
        financial condition, results of operations and cash flows of the Company
        as of,  and for,  the  periods  presented  therein.  There  have been no
        significant  changes  in the  Company's  internal  controls  or in other
        factors that could significantly  affect internal controls subsequent to
        the  evaluation  date,  nor any  significant  deficiencies  or  material
        weaknesses in such controls requiring  corrective  actions. As a result,
        no corrective actions were required or taken.


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<PAGE>



     PART II - OTHER INFORMATION

Item 1. Legal Proceedings: None

Item 2. Changes in Securities and Use of Proceeds: 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: See Exhibit Index.



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<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.

                                INMEDICA DEVELOPMENT CORPORATION


                                /s/ Ralph Henson
                                -----------------------------
                                By Ralph Henson, President


                                /s/ Richard Bruggeman
                                -----------------------------
Date:  November 10, 2003        By Richard Bruggeman, Treasurer





















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<PAGE>

        EXHIBIT INDEX - INMEDICA DEVELOPMENT CORPORATION
                   FORM 10QSB -September 30, 2003

EXHIBIT NUMBER    DESCRIPTION

         31.1     Section 302 Certifications of Ralph Henson
         31.2     Section 302 Certifications of Richard Bruggeman
         32.1     Sarbanes-Oxley Section 906 Certification of Ralph Henson
         32.2     Sarbanes-Oxley Section 906 Certification of Richard Bruggeman

                                       14