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 June 30, 2000
                  --------------------------------------------

                           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 Identification
 incorporation or organization)                                Number)

                   825 N. 300 West, 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 August 1, 2000 was 8,835,899 shares.

                                       1
<PAGE>


PART I - FINANCIAL INFORMATION

Item 1.  Financial Statements

                 INMEDICA DEVELOPMENT CORPORATION AND SUBSIDIARY
                      CONDENSED CONSOLIDATED BALANCE SHEET


                                     ASSETS

                                            As of June 30,
                                                2000
                                           ---------------
                                            (Unaudited)
CURRENT ASSETS:
   Cash                                    $        54,620
   Prepaid expenses                                  7,051
                                           ---------------

        Total current assets                        61,671

EQUIPMENT AND FURNITURE,
   at cost, less accumulated
   depreciation of $252,587                            402


OTHER ASSETS                                         2,196
                                           ---------------

        Total assets                       $        64,269
                                           ===============

            See notes to condensed consolidated financial statements.
                                       2
<PAGE>




                 INMEDICA DEVELOPMENT CORPORATION AND SUBSIDIARY
                 CONDENSED CONSOLIDATED BALANCE SHEET(CONTINUED)


                      LIABILITIES AND STOCKHOLDERS' DEFICIT


                                            As of June 30,
                                                 2000
                                            --------------
                                             (Unaudited)
CURRENT LIABILITIES:
   Notes payable to related
    parties                                 $      183,949
   Consulting fee payable to
    related parties                                125,992
   Accrued payroll                                     792
   Note payable                                     12,938
   Accounts payable                                 55,239
   Dividends payable                                 4,564
                                            --------------


        Total current liabilities                  383,474
                                            --------------


STOCKHOLDERS' DEFICIT:
   Common stock, $.001 par value;
    20,000,000 shares authorized,
    8,835,899 shares issued and outstanding          8,836
   Preferred  shares,   10,000,000  shares
    authorized;   Series  A  convertible
    preferred   stock,  8%  cumulative,
    $4.50  par  value,   1,000,000  shares
    designated, 25,356 shares outstanding          114,102

   Additional paid-in capital                    6,896,935
   Accumulated deficit                          (7,339,078)
                                            --------------

        Total stockholders'
         deficit                                  (319,205)
                                            --------------
        Total liabilities and
         stockholders' deficit              $       64,269
                                            ==============


            See notes to condensed consolidated financial statements.

                                       3
<PAGE>

<TABLE>
<CAPTION>


                 INMEDICA DEVELOPMENT CORPORATION AND SUBSIDIARY
                 CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

                                    For the Three                  For the Six
                                     Months Ended                  Months Ended
                                        June 30,                      June 30,
                                2000              1999           2000           1999
                              ----------      -----------    -----------    -----------
                                       (Unaudited)                  (Unaudited)
<S>                            <C>            <C>            <C>            <C>
ROYALTY REVENUES               $    31,200    $    27,520    $    31,200    $    27,520
                               -----------    -----------    -----------    -----------

  OPERATING EXPENSES:
   General and

    administrative                  46,104         37,339        107,514         75,128
    Research and
    development                     15,762         38,160         19,823         40,162
                               -----------    -----------    -----------    -----------
    Total operating expenses        61,866         75,499        127,337        115,290
                               -----------    -----------    -----------    -----------


LOSS FROM OPERATIONS               (30,666)       (47,979)       (96,137)       (87,770)
                               -----------    -----------    -----------    -----------

OTHER INCOME (EXPENSE):
  Other income                         --           3,294           --            3,294
  Interest income                        6             68             10            214
  Interest expense                  (4,074)        (3,485)        (8,119)        (6,657)
                               -----------    -----------    -----------    -----------
  Total other expense               (4,068)          (123)        (8,109)        (3,149)
                               -----------    -----------    -----------    -----------


NET LOSS                           (34,734)       (48,102)      (104,246)       (90,919)
PREFERRED STOCK DIVIDENDS           (2,282)        (2,282)        (4,564)        (4,564)
                               -----------    -----------    -----------    -----------

NET LOSS APPLICABLE
TO COMMON SHARES               $   (37,016)   $   (50,384)   $  (108,810)   $   (95,483)
                               ===========    ===========    ===========    ===========
 NET LOSS PER COMMON SHARE
    (BASIC AND DILUTED)        $      (.00)   $      (.01)   $      (.01)   $      (.01)
                               ===========    ===========    ===========    ===========
 WEIGHTED AVERAGE NUMBER
  OF COMMON SHARES
  OUTSTANDING                    8,749,389      8,660,899      8,737,566      8,660,899
                               ===========    ===========    ===========    ===========
</TABLE>

            See notes to condensed consolidated financial statements.

                                       4
<PAGE>


                 INMEDICA DEVELOPMENT CORPORATION AND SUBSIDIARY
                 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

                           INCREASE (DECREASE) IN CASH

                                            For the Six Months Ended
                                                    June 30,
                                                2000         1999
                                               ------       ------
                                                    (Unaudited)
CASH FLOWS FROM OPERATING ACTIVITIES:

Net loss                                    $(104,246)   $ (90,919)
Adjustments to reconcile net
  loss to net cash provided
  by (used in) operating activities-
    Depreciation                                  304          433
    Change in assets and liabilities-
      Decrease in royalties receivable         57,120       45,920
      Decrease in prepaid expenses              9,000        9,500
      Increase in consulting fees payable
       to related party                        20,000       29,998
      Increase (decrease)in accounts
       payable                                 16,931      (29,098)
    Decrease in accrued payroll                  (164)        (276)

      Net cash used in
         operating activities                  (1,055)     (34,442)
                                            ---------    ---------

             See notes to condensed consolidated financial statements.
                                       5
<PAGE>


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

                                        For the Six Months Ended
                                                 June 30,
                                            2000        1999
                                          ------      ------
                                             (Unaudited)
CASH FLOWS FROM FINANCING ACTIVITIES:

 Sale of common stock                   $ 30,000    $   --
 Proceeds from borrowings on notes
  payable to related parties              27,137      11,250
 Principal payments on notes payable      (1,462)       --
 Preferred stock dividends paid             --        (4,564)

       Net cash provided from
         financing activities             55,675       6,686
                                        --------    --------



NET INCREASE (DECREASE) IN CASH           54,620     (27,756)

CASH AT BEGINNING OF THE PERIOD             --        38,565
                                        --------    --------

CASH AT END OF THE PERIOD               $ 54,620    $ 10,809
                                        ========    ========

           See notes to condensed consolidated financial statements.

                                       6
<PAGE>



                 INMEDICA DEVELOPMENT CORPORATION AND SUBSIDIARY

        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

Note 1-Basis of Presentation

The accompanying unaudited condensed consolidated financial statements have been
prepared in accordance with generally accepted accounting principles for interim
financial  information and with the instructions to Form 10-QSB and Item 310b of
Regulation  SB.  Accordingly,  they do not  include all of the  information  and
footnotes  required by generally  accepted  accounting  principles  for complete
financial  statements.  These  consolidated  statements  include the accounts of
InMedica Development Corporation and its wholly owned subsidiary, MicroCor, Inc.
("MicroCor").  All material  intercompany  accounts and  transactions  have been
eliminated.

In the  opinion  of  management,  all  adjustments  (consisting  only of  normal
recurring  adjustments)  considered  necessary for fair  presentation  have been
included.  Operating  results for the three and six month periods ended June 30,
2000 are not necessarily  indicative of the results that may be expected for the
year  ending  December  31,  2000.  For  further   information,   refer  to  the
consolidated  financial statements included in the Company's Form 10-KSB for the
year ended December 31, 1999.

Royalties  received  from the Johnson and Johnson  agreement  are  presently the
Company's sole source of revenue and the royalty is expected to terminate during
2000.  The  Company  generated a net loss of $34,734  during the 3 month  period
ended June 30, 2000 and as of June 30,  2000,  the  Company  had an  accumulated
deficit of $7,339,078 and negative working capital of $321,803. 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
achieve a viable operating plan.

                                       7
<PAGE>




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

Liquidity and Capital Resources

     For the years ended  December 31, 1999 and 1998,  liquidity  was  generated
from royalty income received from Johnson and Johnson  Medical,  Inc.  ("JJMI").
This income is expected to terminate during 2000. InMedica continues to look for
other funding sources but as of the date of this filing, it has no commitments.

     The royalty agreement with JJMI has been pledged to secure repayment of the
$145,000  related party note payable.  Funds expended to develop other potential
assets of the Company such as a hematocrit device have been expensed as incurred
as research and  development.  The ability of the Company to use the  hematocrit
device as a means of securing funding for the Company is totally  dependent upon
the success of further  research and  development  efforts in producing a viable
device suitable for commercialization.

Results of Operations

     InMedica had a stockholders' deficit of $319,205 and an accumulated deficit
of $7,339,078  as of June 30, 2000.  In order for InMedica to continue  research
and development activities,  it will require additional financing,  for which it
has no commitments.

     The net loss of $104,246 for the six months ended June 30, 2000 was $13,327
greater than for the six months ended June 30, 1999. The change resulted because
general and  administrative  expenses  increased by $32,386 compared to the same
period in 1999,  while research and development  expenses  decreased by $20,339.
The increase in general and administrative  expenses during the six months ended
June 30, 2000 reflected  additional  employee expense.  Research and development
expense was restricted due to cash flow constraints.

                                       8
<PAGE>



     PART II - OTHER INFORMATION
     ---------------------------

Item 1.   Legal Proceedings:
          None

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:

          Exhibits:  (1)  Financial Data Schedule

                                       9
<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


                                                By:/s/ Ralph Henson
                                                -------------------
                                                Ralph Henson, CEO

                                                By:/s/ Richard Bruggeman
                                                ----------------------------
Date:  August 10, 2000                          Richard Bruggeman, Treasurer




                                       10
<PAGE>


                                    EXHIBITS

        Exhibits filed with the Form 10-QSB of InMedica Development Corporation,
        SEC File No. 0-12968:


         Exhibit No.      SB Item No.       Description
         -----------      -----------       -----------

            1                (27)          Financial Data Schedule