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:  April 30, 1997
                                      ----------------
 
      [ ]   TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF
            THE EXCHANGE ACT


      Commission File number: 0-19879
                              -------

                         BioSpecifics Technologies Corp.
                         -------------------------------
        (Exact name of Small Business Issuer as Specified in Its Charter)

           Delaware                                      11-3054851
           --------                                      ----------
   (State of Incorporation)                      (IRS Employer I.D. Number)

                                  35 Wilbur St.
                               Lynbrook, NY 11563
                               ------------------
                    (Address of principal executive offices)

                                 (516) 593-7000
                                 --------------
                (Issuer's telephone number, including area code)

Check  whether the issuer:  (1) has filed all reports  required 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
    ---      --- 

                      APPLICABLE ONLY TO CORPORATE ISSUERS:

      State the number of shares  outstanding of each of the issuer's classes of
common equity,  as of the latest  practicable  date:  4,883,396 shares of Common
Stock, $0.001 par value as of June 11, 1997.          --------------------------
-------------------------------------------





                                  Page 1 of 9


<PAGE>


                                      INDEX
                                      -----

                                                                      Page
                                                                      ----

PART I - FINANCIAL INFORMATION                                         3


Item 1.  Financial Statements                                          3


Consolidated Financial Statements:


      Balance Sheets as of April 30, 1997 (unaudited) and              3
      January 31, 1997


      Statements  of Income for the Three Months Ended April
      30, 1997 and 1996 (unaudited)                                    4


      Statements  of Cash Flows for the Three  Months  Ended
      April 30, 1997 and 1996 (unaudited)                              5


      Notes to Consolidated Interim Financial Statements               6
      (unaudited)


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


SIGNATURES                                                             9




















                                       2

<PAGE>
                          PART I. FINANCIAL INFORMATION
                          Item 1. Financial Statements
<TABLE>
<CAPTION>

BioSpecifics Technologies Corp. and Subsidiaries
Consolidated Balance Sheets
                                                          (Unaudited)
                                                           April 30,     January 31,
ASSETS                                                          1997            1997
                                                        ------------    ------------
<S>                                                     <C>             <C>         
Cash and cash equivalents                               $  3,448,269    $  3,793,582
Marketable securities                                      1,944,207       1,812,974
Accounts receivable                                        1,421,386         900,956
Inventory                                                  1,301,802       1,339,081
Prepaid expenses & other current assets                      301,090         403,571
                                                        ............    ............
   Total current assets                                    8,416,754       8,250,164

Property,  plant, and equipment - net                        898,130         912,949
Other assets                                                 717,788         743,183
                                                        ............    ............

TOTAL ASSETS                                            $ 10,032,672    $  9,906,296
                                                        ============    ============

LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable and accrued expenses                   $    479,330    $    540,899
Notes payable to related parties                              11,635          11,510
Income taxes payable                                           9,730          10,350
Deferred revenue                                             175,000         175,000
                                                        ............    ............
     Total current liabilities                               675,695         737,759

Minority interest in subsidiaries                            192,743         186,043

STOCKHOLDERS' EQUITY
Series A Preferred stock, $.50 par value; 700,000
  shares authorized; none outstanding                           --              --
Common stock, $.001 par value; 10,000,000 shares
  authorized; 4,883,396 shares issued and outstanding
  at April 30, 1997 and January 31, 1997                       4,883           4,883
Additional paid-in capital                                 3,586,145       3,586,145
Retained earnings                                          5,776,602       5,591,591
Cumulative translation adjustment                            (20,886)        (17,615)
                                                        ............    ............
                                                           9,346,744       9,165,004
Less: Treasury stock - 10,000 shares at cost                (182,510)       (182,510)
                                                        ............    ............
    Stockholders' equity - net                             9,164,234       8,982,494

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY              $ 10,032,672    $  9,906,296
                                                        ============    ============
</TABLE>

See accompanying notes to consolidated
financial statements.










                                       3

<PAGE>

Biospecifics Technologies Corp.
and Subsidiaries
Consolidated Statements of Income

                                                             Unaudited
                                                          Three Months Ended
                                                              April 30,

                                                            1997           1996
                                                     -----------    -----------
Revenues:
   Net sales                                         $   858,810    $   850,203
   Royalties                                             594,344        470,297
                                                     ...........    ...........
Total Revenues                                         1,453,154      1,320,500
                                                     -----------    -----------

Costs and Expenses:
   Cost of sales                                         400,425        397,299
   Selling, general and administrative                   384,802        367,446
   Research and development                              423,957        358,476
                                                     ...........    ...........
Total Costs and Expenses                               1,209,184      1,123,221
                                                     -----------    -----------

Income from operations                                   243,970        197,279

Other income (expense):
   Investment and other income                            62,599         30,029
   Interest expense and other charges                       (599)        (1,964)
                                                     ...........    ...........
Total Other Income - net                                  62,000         28,065

Income before taxes                                      305,970        225,344
   Provision for income taxes                           (114,260)       (83,650)
                                                     ...........    ...........
Income before minority interest                          191,710        141,694
   Minority interest in net income of subsidiaries         6,700          4,125
                                                     ...........    ...........
Net income                                           $   185,010    $   137,569
                                                     ===========    ===========


Net income per common share                          $      0.04    $      0.03
                                                     ===========    ===========

Weighted average number of shares used in
computing net income per share                         4,892,246      4,917,573
                                                     ===========    ===========


See accompanying notes to consolidated
financial statements


                                       4


<PAGE>

BioSpecifics Technologies Corp. and Subsidiaries
Consolidated Statements of Cash Flows

<TABLE>
<CAPTION>
                                                                 (unaudited)
                                                              Three months ended
                                                                  April 30,

CASH FLOWS FROM OPERATING ACTIVITIES:                            1997           1996
                                                          -----------    -----------
<S>                                                       <C>            <C>        
 Net income                                               $   185,010    $   137,569
  Adjustments  to reconcile net income
  to cash  provided  by/(used by) operating activities:
    Depreciation                                               46,674         46,235
    Loss on marketable securities - net                         8,502         28,568
    Minority interest in income of subsidiaries                 6,700          4,125
  Changes in operating assets and liabilities:
   (Increase)/decrease in accounts receivable                (520,430)       119,339
    Sales of marketable securities                             10,890           --
    Purchases of marketable securities                       (150,625)       (49,201)
    Decrease (increase) in inventory                           37,279        (15,929)
    Decrease in prepaid and other current assets              102,481         13,007
    Decrease in other assets                                   25,395         41,768
    Decrease in accounts payable & accruals                   (61,569)       (19,521)
    Increase in due to related parties                            125            235
    Decrease in income taxes payable                             (620)      (124,350)
    Increase in cumulative translation adjustment              (3,271)          --
                                                          ...........    ...........
      Net cash (used) provided by operating activities       (313,459)       181,845
                                                          -----------    -----------

CASH FLOWS FROM INVESTING ACTIVITIES:
  Expenditures for plant, property and equipment              (31,854)       (23,634)
                                                          ...........    ...........
      Net cash used in investing activities                   (31,854)       (23,634)
                                                          -----------    -----------

(DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS             (345,313)       158,211

  CASH AND CASH EQUIVALENTS:
  Beginning of Period                                       3,793,582      2,288,316
                                                          ...........    ...........
  End of Period                                           $ 3,448,269    $ 2,446,527
                                                          ===========    ===========

Supplemental disclosure of cash flow information:
  Cash paid during period for interest                    $       559    $     1,964
                                                          ===========    ===========
  Cash paid during period for income taxes                $    62,820    $   208,000
                                                          ===========    ===========
</TABLE>


See accompanying note to consolidated
financial statements









                                       5

<PAGE>


                         BIOSPECIFICS TECHNOLOGIES CORP.
               NOTES TO CONSOLIDATED INTERIM FINANCIAL STATEMENTS
                                 APRIL 30, 1997
                                   (UNAUDITED)

1.    DESCRIPTION   OF  BUSINESS  AND  BASIS  OF   PRESENTATION  -  BioSpecifics
Technologies  Corp.  (the  "Company")  serves as a holding  company  for Advance
Biofactures Corporation (ABC-New York), Advance Biofactures of Curacao, N.V. and
subsidiaries (ABC-Curacao),  and Biospecifics Pharma GmbH (Bio Pharma), Germany,
which was established in November 1995.

The Company, through its subsidiaries,  engages in the business of producing and
licensing  for sale by  others  a U.S.  Food  and  Drug  Administration  ("FDA")
approved enzyme named  Collagenase  ABC, which is used  principally as a topical
debridement  treatment  for  dermal  ulcers;  and  researching,  developing  and
clinically  testing  additional   products  derived  from  Collagenase  ABC  for
potential use as pharmaceuticals.

The  Company  currently  derives  substantially  all of its  revenues  through a
license agreement with a major US pharmaceutical  company,  Knoll Pharmaceutical
Company  ("KPC").  Since February 1, 1995,  sales of  Collagenase  ABC have been
principally  to KPC,  which markets it as an ointment in the United States under
its trademarked name  "Collagenase  Santyl(R)".  The license  agreement with KPC
expires in 2003. In the event that KPC were to cancel the license  agreement for
cause,  which the Company believes is unlikely,  the financial  condition of the
Company would be materially  adversely  impacted unless the Company were to find
another licensee in the United States.

The  Company  has  undertaken  efforts to secure  licensees  outside  the United
States.  The Company has licensing  agreements with foreign  companies to market
collagenase,  either as a topical  product or an  injectable,  when permitted by
local   governmental   authorities.   The  Company  sells   Collagenase  ABC  to
pharmaceutical  companies  in Latin  America  and  India,  in  relatively  small
amounts.

2.    INTERIM  FINANCIAL  STATEMENTS  -  In  the  opinion  of  management,   the
accompanying  consolidated  financial  statements  of the  Company  reflect  all
adjustments necessary to present fairly, in all material respects, the Company's
balance  sheet as of April 30,  1997,  the  statements  of income  for the three
months ended April 30, 1997 and 1996, and statements of cash flows for the three
months  ended April 30, 1997 and 1996.  The  results of  operations  for interim
periods are not  necessarily  indicative  of the  results to be expected  for an
entire  fiscal  year,  and the results for the  current  interim  period are not
necessarily indicative of results to be expected in other interim periods. These
interim  financial  statements  should be read in conjunction with the Company's
Form 10-KSB for the fiscal year ended January 31, 1997.

3.    NET INCOME PER SHARE - Net income per share is computed  by  dividing  net
income available to common stockholders by the weighted average number of common
shares  outstanding  during the period. The dilutive effect of outstanding stock
options and warrants was included in the  calculation for the three months ended
April 30, 1997 and 1996.


                                       6

<PAGE>


Item 2:    MANAGEMENT'S  DISCUSSION  AND  ANALYSIS OF  FINANCIAL  CONDITION  AND
RESULTS OF OPERATIONS

RESULTS OF OPERATIONS
---------------------

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995
--------------------------------------------------------------------------------

The Company  cautions  readers that  important  factors may affect the Company's
actual  results  and  could  cause  such  results  to  differ   materially  from
forward-looking  statements  made by or on behalf of the  Company.  Such factors
include,  but are not  limited to,  changing  market  conditions,  the impact of
competitive  products and pricing,  the timely development,  approval by the FDA
and foreign health authorities, and market acceptance, of the Company's products
in development, the Company's dependence on KPC, and other risks detailed herein
and in other  filings  the  Company  makes  with  the  Securities  and  Exchange
Commission.

The Company  incorporates by reference the Management's  Discussion and Analysis
of Financial  Condition and Results of  Operations  set forth in its Form 10-KSB
for the fiscal year ended January 31, 1997.

Three months ended April 30, 1997 and 1996
------------------------------------------

NET SALES - Net sales for the three  months  ended  April 30, 1997 and 1996 were
$858,810 and $850,203  respectively,  representing  an increase of $8,607 or 1%.
Sales of collagenase to KPC  were  lower during the current first fiscal quarter
versus last year, but higher sales of collagenase  to foreign  licensees  offset
such decrease.

ROYALTIES - Royalties  for the three  months  ended April 30, 1997 and 1996 were
$594,344 and $470,297 respectively, representing an increase of $124,047 or 26%.
The  increase  is due to the  commensurate  increase  in after  market  sales of
Collagenase  ointment  (Collagenase  Santyl(R))  in the United States by KPC, as
reported to the Company by KPC.

COST OF SALES - Cost of sales for the three months ended April 30, 1997 and 1996
were $400,425 and $397,299 respectively, an increase of $3,126 due to the higher
level of foreign sales in the first quarter of 1997.

SELLING,  GENERAL  AND  ADMINISTRATIVE  - Selling,  general  and  administrative
("SG&A")  expenses  for the three  months  ended  April  30,  1997 and 1996 were
$384,802  and  $367,446,  respectively,  an  increase  of $17,356 due to greater
licensing activities being undertaken in Europe.







                                       7

<PAGE>



RESEARCH AND  DEVELOPMENT  - Research and  development  ("R&D")  expense for the
three   months  ended  April  30,  1997  and  1996  was  $423,957  and  $358,476
respectively,  representing  an  increase  of  $65,481  or 18%.  The  Company is
currently  sponsoring  U.S.  clinical  trials of its injectable  collagenase for
three  disease  conditions.  These  trials were not as far  advanced in the 1996
period. The Company is focusing its R&D on developing injectable collagenase for
certain disease  conditions by sponsoring  clinical trials in the United States.
The Company expects its current year (fiscal 1998) R&D expense to exceed that of
last year (fiscal 1997).

OTHER INCOME  (EXPENSE)  NET - Other income  (expense)  net for the three months
ended April 30, 1997 and 1996 was $62,000 and $28,065 respectively. The increase
of $33,935 was primarily  attributable to a greater amount of cash available for
investment in the current period versus last year.

PROVISION  BENEFIT FOR INCOME TAXES - The provision benefit for income taxes for
the  three  months  ended  April  30,  1997 and 1996 was  $114,260  and  $83,650
respectively.  The  higher  provision  in the  current  period  is  due to  more
profitable operations.

LIQUIDITY, CAPITAL RESOURCES AND CHANGES IN FINANCIAL CONDITION
---------------------------------------------------------------

The  Company's  primary  source of  working  capital is from  operations,  which
includes  sales of product,  royalties  and periodic  license fees. At April 30,
1997,  the Company had  working  capital of  approximately  $7.7  million  which
includes cash and cash equivalents,  and marketable  securities of approximately
$5.4  million.  Net cash used by  operating  activities  was  $313,459 due to an
increase in accounts  receivable  of $520,430 and net  purchases  of  marketable
securities  of  $139,735.  At  April  30,  1997  the  Company  had  no  material
commitments for capital expenditures.

In view  of the  Company's  working  capital  position  and  anticipated  future
profitable operations,  although there can be no assurance,  management believes
that the Company has  sufficient  liquidity  and capital  resources  to meet its
immediate  operating  needs.  The  Company  believes  that cash on hand and cash
provided by  operations  will be sufficient to meet its cash needs on an ongoing
basis.















                                       8

<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.


                                          BioSpecifics Technologies Corp.
                                                   (Registrant)



Date: June 12, 1997
      -------------


By: /s/ Edwin H. Wegman
    -------------------
         Edwin H. Wegman
         Chairman and President
         Chief Executive Officer




Date: June 12, 1997
      -------------


By: /s/ Albert Horcher
   -------------------
         Albert Horcher
         Controller, Principal Financial
         and Chief Accounting Officer















                                       9