U.S. SECURITIES AND EXCHANGE COMMISSION
                              WASHINGTON, D.C. 20549

                                     FORM 10-QSB

(Mark One)

    X  Quarterly  report  under  Section  13 or 15(d)  of the  Securities
--------- Exchange Act of 1934


For the quarterly period ended   September 30, 1999
                               ----------------------

_______ Transition report under Section 13 or 15(d) of the Exchange Act

For the transition period from __________  to  ___________

Commission File Number    0-7855
                        ----------

                            UNITED-GUARDIAN, INC.
-------------------------------------------------------------------------
     (Exact Name of Small Business Issuer as Specified in Its Charter)

          Delaware                                11-1719724
-------------------------------      ------------------------------------
(State or Other Jurisdiction of      (I.R.S. Employer Identification No.)
  Incorporation or Organization)

              230 Marcus Boulevard., Hauppauge, New York 11788
-------------------------------------------------------------------------
                  (Address of Principal Executive Offices)

                              (516) 273-0900
-------------------------------------------------------------------------
                (Issuer's Telephone Number, Including Area Code)

-------------------------------------------------------------------------
       (Former Name, Former Address and Former Fiscal Year, if Changed
          Since Last Report)

         Check  whether the issuer (1) filed all  reports  required to be
filed by  Section  13 or 15(d) of the  Exchange  Act  during  the past 12
months (or for such shorter  period that the  registrant  was required to
file such reports),  and (2) has been subject to such filing requirements
for the past 90 days.

Yes      X                No
    ----------               -----------

         APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS
                        DURING THE PRECEDING FIVE YEARS

         Check  whether the  registrant  filed all  documents and reports
required to be filed by Section 12, 13 or 15(d) of the Exchange Act after
the distribution of securities under a plan confirmed by a court.

Yes _________             No ____________

                   APPLICABLE ONLY TO CORPORATE ISSUERS

         State the number of shares  outstanding  of each of the issuer's
classes of common equity, as of September 30, 1999
                                 -------------------

                              4,889,139
-------------------------------------------------------------------------

<PAGE>
                                 UNITED-GUARDIAN, INC.

                                       INDEX


                                                                   Page No.
                                                                   --------
Part I.  Financial Information:

         Consolidated Statements of Earnings -
                  Three and Nine Months Ended
                  September 30, 1999 and 1998                          2

         Consolidated Balance Sheets -
                  September 30, 1999 and December 31, 1998             3-4

         Consolidated Statements of Cash Flows -
                  Nine Months Ended
                  September 30, 1999 and 1998                          5

         Consolidated Notes to Financial Statements                    6-8

         Management's Discussion and Analysis of
                  Financial Condition and Results of
                  Operations                                           9-12

Part II. Other Information                                             12
















                                          1


<PAGE>
                                  UNITED-GUARDIAN, INC.
                           CONSOLIDATED STATEMENTS OF EARNINGS
                                       (UNAUDITED)


                            NINE MONTHS ENDED         THREE MONTHS ENDED
                              September 30,              September  30,
                            1999         1998          1999          1998
                            ----         ----          ----          ----
Revenue:
  Net sales            $ 7,093,503  $ 6,605,874    $ 2,127,486  $  2,106,279
                         ---------    ---------      ---------     ---------
Costs and expenses:
  Cost of sales          3,786,891    3,848,171      1,168,119     1,224,411
  Operating expenses     1,541,776    1,446,513        494,635       472,675
                         ---------    ---------      ---------     ---------
                         5,328,667    5,294,684      1,662,754     1,697,086
                         ---------    ---------      ---------     ---------
      Earnings from
         operations      1,764,836    1,311,190        464,732       409,193

Other income (expense):
  Interest expense            (327)        (391)          (254)          (95)
  Investment Income         62,311       36,435         20,050         9,283
  Gain on sale of assets       -         28,000            -             -
  Other                        (72)         (15)           -             -
                          ---------    ---------      ---------     --------
        Earnings before
         income taxes    1,826,748    1,375,219        484,528       418,381


Provision for
   income taxes            681,400      522,500        180,800       159,300
                         ---------    ---------      ---------     ---------

      Net earnings     $ 1,145,348  $   852,719    $   303,728  $    259,081
                         =========    =========      =========     =========
Earnings per common
   share - Basic and
   Diluted             $      0.23  $      0.17    $      0.06  $       0.05
                         =========    =========      =========     =========
Basic weighted average
   shares                4,884,568    4,879,769      4,887,378     4,881,422
                         =========    =========      =========     =========
Diluted weighted
   average shares        4,902,309    4,901,604      4,905,588     4,892,493
                         =========    =========      =========     =========



                           See notes to financial statements.

                                         2

<PAGE>
                              UNITED-GUARDIAN, INC.
                           CONSOLIDATED BALANCE SHEETS



                                            SEPTEMBER 30        DECEMBER 31
                                                1999               1998
                                            ------------       -------------
              ASSETS                         (UNAUDITED)  (DERIVED FROM AUDITED
                                                           FINANCIAL STATEMENTS)
Current assets:
    Cash and cash equivalents           $    1,842,444      $    1,320,610
    Investments - marketable securities      1,088,173             604,314
    Accounts receivable
         (less allowance for doubtful
          accounts of $52,434 at
          September 30,1999 and $52,894
          December 31, 1998)                 1,144,867           1,300,118
     Inventories                             1,169,110           1,150,132
     Prepaid expenses and other
          current assets                       189,595             169,786
     Deferred income taxes                     176,318             176,318
                                           -----------         -----------
              Total current assets           5,610,507           4,721,278
                                           -----------         -----------

Property, plant and equipment:
     Land                                       69,000              69,000
     Factory equipment and fixtures          2,469,892           2,407,200
     Building and improvements               1,977,922           1,964,646
     Waste disposal plant                      133,532             133,532
                                           -----------         -----------
                                             4,650,346           4,574,378
      Less: Accumulated depreciation         3,244,633           3,041,694
                                           -----------         -----------
                                             1,405,713           1,532,684
                                           -----------         -----------
Other assets:
      Processes and patents, net               151,801             190,685
      Split dollar life insurance              348,161             348,161
      Other                                      1,000               1,525
                                           -----------         -----------
                                               500,962             540,371
                                           -----------         -----------
                                        $    7,517,182      $    6,794,333
                                           ===========         ===========



                         See notes to financial statements.

                                         3


<PAGE>
                              UNITED-GUARDIAN, INC.
                           CONSOLIDATED BALANCE SHEETS



                                            SEPTEMBER 30       DECEMBER 31,
                                               1999                1998
                                          ---------------      ------------
LIABILITIES AND                             (UNAUDITED)   (DERIVED FROM AUDITED
STOCKHOLDERS' EQUITY                                       FINANCIAL STATEMENTS)

Current liabilities:
   Accounts payable                        $  194,106          $  317,973
   Dividends payable                            ---               341,820
   Accrued expense and other                  162,610             119,855
   Taxes payable                                4,391               5,524
   Current portion of long-term
      debt                                     10,144              10,000
                                            ---------           ---------
         Total current liabilities            371,251             795,172
                                            ---------           ---------
Long-term debt, net of current
   portion                                      8,602              16,229
                                            ---------           ---------
Deferred income taxes                          10,000              10,000
                                            ---------           ---------

Stockholders' equity:
   Common stock $.10 par value,
      authorized 10,000,000 shares,
      issued and outstanding
       4,889,139 and 4,883,139 shares         488,914             488,314
   Capital in excess of par value           3,343,024           3,330,874
   Accumulated other comprehensive
       loss                                    (4,031)               (330)
   Retained earnings                        3,299,422           2,154,074
                                            ---------           ---------
         Total stockholders' equity         7,127,329           5,972,932
                                            ---------           ---------
                                         $  7,517,182        $  6,794,333
                                            =========           =========





                        See notes to financial statements.


                                       4


<PAGE>
                              UNITED-GUARDIAN, INC.
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (UNAUDITED)

                            NINE MONTHS ENDED
                                                          September 30,
                                                         -------------
                                                      1999            1998
                                                    -------         -------

Cash flows provided by operating activities:
  Net earnings                                  $ 1,145,348    $    852,719
  Adjustments to reconcile net earnings
    to net cash flows from operations:
      Depreciation and amortization                 241,823         308,788
      Gain on sale of equipment                        -            (28,000)
      Loss on sale of marketable securites            3,214            --
      Provision for doubtful accounts                  (460)         19,958
      Provision for inventory obsolescence           10,000         115,000
     (Increase) decrease in assets:
         Accounts receivable                        155,711        (134,677)
         Inventories                                (28,978)         68,122
         Prepaid expense and other assets           (19,284)        (57,907)
      Increase (decrease) in liabilities:
         Accounts payable                          (123,867)       (107,055)
         Accrued expenses and other,
            and taxes payable                        44,022        (113,715)
                                                   --------        --------
      Net cash provided by operating activities   1,427,529         923,243
                                                   --------        --------

Cash flows from investing activities:
   Acquisition of property, plant and equipment     (75,968)       (197,538)
   Proceeds from the sale of equipment                 -             28,000
   Purchase of marketable securities - net         (518,028)       (150,090)
   Proceeds from sale of marketable securities       24,854            -
                                                   --------        --------
      Net cash (used in) investing activities      (569,142)       (319,628)
                                                   --------        --------
Cash flows from financing activities:
   Proceeds from installment note                      -             30,339
   Principal payments on long-term debt              (7,483)         (1,640)
   Proceeds from exercise of stock options           12,750           9,900
   Dividends Paid                                  (341,820)       (292,610)
                                                   --------        --------
     Net cash (used in) financing activities       (336,553)       (254,011)
                                                   --------        --------

Net increase in cash and cash
  equivalents                                       521,834         349,604

Cash and cash equivalents at beginning
  of period                                       1,320,610         822,596
                                                  ---------        --------
Cash and cash equivalents at end of period      $ 1,842,444    $  1,172,200
                                                  =========        ========


                       See notes to financial statements.
                                        5
<PAGE>
                             UNITED-GUARDIAN, INC.
                CONSOLIDATED NOTES TO FINANCIAL STATEMENTS


         1. In the opinion of the  Company,  the  accompanying  unaudited
financial  statements contain all adjustments  (consisting of only normal
recurring accruals) necessary to present fairly the financial position as
of September 30,1999 and the results of operations for the three and nine
months  ended  September  30,1999  and 1998 and cash  flows  for the nine
months  ended  September  30,  1999 and  1998.  The  accounting  policies
followed  by  the  Company  are  set  forth  in the  Company's  financial
statements   included  in  its  December   31,  1998  Annual   Report  to
Shareholders.

         2. The results of operations for the three and nine months ended
September 30,1999 and 1998 are not necessarily  indicative of the results
to be expected for the full year.

         3. For  purposes of the  Statement  of Cash  Flows,  the Company
considers  all highly  liquid  investments  purchased  with a maturity of
three months or less to be cash equivalents.

            Cash  payments for  interest  were $327 and $391 for the nine
months ended September 30,1999 and 1998 respectively.

            Cash  payments  for taxes were  $680,199 and $602,107 for the
nine months ended September 30, 1999 and 1998 respectively.


         4. Comprehensive Income

            The components of comprehensive income are as follows:

                                                     1999             1998
                                                  ---------          -------
                Net income                       $1,145,348        $ 852,719
                                                  ---------          -------
                Other Comprehensive Income
                   Unrealized loss on
                     marketable securities           (6,431)            -
                                                    -------          -------
                Net unrealized loss                  (6,431)            -
                                                    -------          -------
                Income tax benefit on
                  comprehensive loss                 (2,400)            -
                                                    -------          -------
                Other comprehensive loss             (4,031)            -
                                                    -------          -------
                Comprehensive income             $1,141,317        $ 852,719
                                                  =========          =======


         The  component of  accumulated  other  comprehensive  losses are
unrealized losses on marketable securities.

         5.  The  Company  has  the  following  two  reportable  business
segments:  Guardian  laboratories  and  Eastern  Chemical.  The  Guardian
segment   conducts    research,    development   and   manufacturing   of
pharmaceuticals,  medical  devices,  cosmetics,  products and proprietary
specialty  chemical  products.   The  Eastern  segment  distributes  fine
chemicals, solutions, dyes and reagents.

         The  accounting  policies  used to develop  segment  information
correspond to those  described in the summary of  significant  accounting
policies as set forth in the  December  31, 1998 annual  report.  Segment
earnings  or loss is based on  earnings  or loss from  operations  before
income  taxes.  The  reportable  segments  are  distinct  business  units
operating in different  industries.  They are  separately  managed,  with
separate marketing and distribution  systems.  The following  information
about the two  segments is for the nine months ended  September  30, 1999
and 1998. All balance sheet  disclosures are as of September 30, 1999 and
December 31, 1998.

                                        6

<PAGE>


                             UNITED-GUARDIAN, INC.
                CONSOLIDATED NOTES TO FINANCIAL STATEMENTS
<TABLE>
<CAPTION>

                                                     1999                                           1998
                                     ------------------------------------           ------------------------------------
                                     GUARDIAN       EASTERN         TOTAL           GUARDAIN       EASTERN         TOTAL
                                   ------------   ------------   -----------      ------------   ------------   -----------
<S>                                <C>            <C>            <C>              <C>            <C>            <C>
Revenues  from external customers   $ 5,704,723    $ 1,388,780    $ 7,093,503      $ 5,437,402    $ 1,168,472    $ 6,605,874
Depreciation and amortization           136,605          -            136,605          209,688           -           209,688
Segment earnings (loss before
  income taxes)                       1,808,389         89,336      1,897,725        1,499,168        (62,828)     1,436,340
Segment assets                        2,336,162        594,017      2,930,179        2,709,715        577,165      3,286,880
Expenditures for segment assets          36,718                        36,718           64,492           -            64,492

Reconciliation to Consolidated Amounts

Earnings before income taxes
----------------------------
Total earnings for reportable segments                               1,897,725                                      1,436,340
Other earnings                                                          61,912                                         64,029
Corporate headquarters expense                                        (132,889)                                      (125,150)
                                                                    -----------                                    -----------
Consolidated earnings before income
   taxes                                                             1,826,748                                      1,375,219

Assets
------
Total assets for reportable segments                                 2,930,179                                      3,286,880
Corporate headquarters                                               4,587,003                                      3,216,904
                                                                    -----------                                    -----------
      Total consolidated assets                                     $7,517,182                                    $ 6,503,784
                                                                    ===========                                    ===========
</TABLE>



                                         7


<PAGE>
                             UNITED-GUARDIAN, INC.
                CONSOLIDATED NOTES TO FINANCIAL STATEMENTS

<TABLE>
<CAPTION>
Other significant items
-----------------------
                                                     1999                                           1998
                                   ------------------------------------------       -------------------------------------------
                                     Segment                     Consolidated          Segment                     Consolidated
                                      Totals      Adjustments       Totals              Totals      Adjustments       Totals
                                   ------------   ------------   -------------      -------------   ------------   -------------
<S>                                 <C>           <C>            <C>                <C>           <C>              <C>
Interest Expense                    $    -        $      327     $       327        $      -      $        391     $        391
Expenditures for assets                36,718         39,250          75,968             64,492        133,046          197,538
Depreciation and amortization         136,605        105,218         241,823            209,688         99,100          308,788

</TABLE>
<TABLE>
<CAPTION>
Geographic Information
----------------------
                                                       1999                                1998
                                           ---------------------------         ---------------------------
                                             Revenues      Long-Lived            Revenues      Long-Lived
                                                             Assets                              Assets
                                           -----------    -------------        -----------    -------------
<S>                                        <C>            <C>                  <C>            <C>
United States                              $ 3,384,935    $  1,557,513         $ 3,757,434    $  1,955,665
France                                         831,507                             807,243
Other countries                              2,877,061                           2,041,197
                                           -----------    -------------        -----------    -------------
                                           $ 7,093,503    $  1,557,513         $ 6,605,874    $  1,955,665
                                           ===========    =============        ===========    =============

Major Customers
---------------
Customer A (Guardian)                      $ 1,508,940                         $ 1,347,409
Customer B (Guardian)                          777,342                             760,738
All other customers                          4,807,221                           4,497,727
                                           -----------                         -----------
                                           $ 7,093,503                         $ 6,605,874
                                           ===========                         ===========
</TABLE>



                                        8

<PAGE>
                   MANAGEMENT'S DISCUSSION AND ANALYSIS
             OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS


RESULTS OF OPERATIONS

         Gross revenue from operations
         -----------------------------

         For the nine month  period  ended  September  30, 1999 net sales
increased  $487,629  (7.4%)  versus the  comparable  period in 1998.  The
Guardian  Laboratories  division  ("Guardian")  had a sales  increase  of
$267,321 (4.9%) while the Eastern Chemical  subsidiary  ("Eastern") had a
sales increase of $220,308  (18.9%).  The Guardian  increases were mainly
due to (a) an  increase  in the  Company's  sales into Asia;  and (b) the
expansion of the Company's  overall sales in both the  United-States  and
overseas   markets   through  the  efforts  of  its  outside  agents  and
distributors. The Eastern sales increases were due to normal fluctuations
in the purchasing patterns of customers.

         For the three month  period  ended  September  30, 1999  revenue
increased  $21,207  (1.0%) over the comparable  period in 1998.  Guardian
sales decreased  $126,962 (7.4%),  while Eastern sales increased $148,169
(38.6%).  Both the sales  decrease of Guardian and the sales  increase of
Eastern were due to the timing of orders and the normal  fluctuations  in
purchasing patterns of customers.


         Cost of sales
         -------------

         Cost of sales as a  percentage  of sales  decreased to 53.4% for
the nine months ended  September  30, 1999 from 58.3% for the  comparable
period  ended  September  30,  1998.  For the three  month  period  ended
September  30,1999 compared to the three month period  September  30,1998
the cost of sales as a percentage of sales decreased to 54.9% from 58.1%.
The  decreases  were mainly due to a $100,000  charge for a write-down in
value of the Eastern  inventory in the first quarter of 1998,  lower cost
for one of the Company's largest volume raw materials  throughout 1999 as
compared  to 1998,  and the  absorption  of plant  fixed  costs by higher
revenue in the second quarter in 1999.

         Operating  expenses  increased $95,263 (6.6%) in the nine months
ended September  30,1999  compared to the comparable  period in 1998. For
the three months ended September  30,1999  operating  expenses  increased
$21,960 (4.6%) over the  comparable  period in 1998. The increase for the
nine month period was primarily due to the payment in the second  quarter
of  1999  of  employee  bonuses  in  accordance  with a new  company-wide
employee  bonus  program that was  implemented  in the second  quarter of
1999.  The program  calls for the  payment  once a year of a bonus to all
qualifying  employees  when the  Compensation  Committee  of the Board of
Directors  determines that operating results are sufficient to do so. The
increase for the three month period was primarily due to fees under a new
consulting agreement for product development and marketing.

                                       9
<PAGE>
         Gain on Sale of Assets
         ----------------------

         There were no gains  realized  on the sale of assets  during the
nine and three month  periods ended  September 30, 1999.  During the nine
month period ended  September 30, 1998 the Company  realized gains on the
sale of assets of $28,000.

         Investment income
         ---------------

         Investment  Income increased $25,876 (71.0%) for the nine months
ended September 30, 1999 when compared to the comparable  period in 1998,
and $10,767  (116.0%) for the three months ended  September 30, 1999 when
compared to the comparable  period in 1998. These increases are primarily
due to an increase in short term invested balances.


         Provision for income taxes
         --------------------------

         The provision for income taxes  increased  $158,900  (30.4%) for
the nine months ended  September  30,1999 when compared to the comparable
period in 1998, and $21,500  (13.5%) for the three months ended September
30,1999 when compared to the comparable  period in 1998.  These increases
are due to increased  earnings  before  taxes of $451,529  (32.8) for the
nine months  ended  September  30,1999 and $66,147  (15.8%)for  the three
months ended September 30,1999.


LIQUIDITY AND CAPITAL RESOURCES

         Working  capital  increased from $3,926,228 at December 31, 1998
to $5,239,256 at September 30, 1999. The current ratio increased from 5.9
to 1 at December 31, 1998 to 15.1 to 1 at September 30, 1999. The Company
has no  commitments  for any  further  significant  capital  expenditures
during the remainder of 1999,  and believes  that its working  capital is
and will continue to be sufficient to support its operating requirements.

         Cash flows from operating  activities increased $504,286 (54.6%)
for the nine months ended September 30, 1999 when compared the comparable
period in 1998.  This  increase  relates to the  increase in earnings and
additional provision for accrued taxes and expenses in 1999.


                                       10
<PAGE>
         Cash flows from investing  activities decreased $249,514 (78.1%)
in  the  nine  months  ended  September  30,1999  when  compared  to  the
comparable  period in 1998.  This  decrease  is mainly due to  additional
investments in marketable securities.

         Cash flows from financing  activities  decreased $82,542 (32.5%)
in  the  nine  months  ended  September  30,1999  when  compared  to  the
comparable period in 1998. This decrease is mainly due to the increase in
cash dividends paid in 1999 when compared to 1998.

IMPACT OF THE "YEAR 2000" ISSUE

         The Registrant has evaluated the impact of the Year 2000 ("Y2K")
issue on its business and does not expect to incur any significant  costs
associated  with Year 2000  compliance  or that the Year 2000  issue will
have  a  material  impact  on  the  Registrant's  business,   results  of
operations,  or financial condition. In 1998 the Registrant purchased new
computer equipment to enable it to run a new Y2K compliant version of its
accounting software. This software has been certified by the vendor to be
Y2K compliant,  and the Registrant  has  independently  verified that the
date fields have been  expanded  to four  digits  instead of two,  and is
satisfied  that the software will function  properly  after  December 31,
1999. All of Registrant's inventory, purchase orders, sales, receivables,
and  general  ledger are  handled  by this Y2K  compliant  software.  The
underlying  operating  system  on  which  this  software  works  has been
certified Y2K compliant.  Registrant's cost to bring its computer systems
into Y2K compliance during 1998 was approximately $30,000.

         The  Registrant  is not aware of any problems that its customers
or suppliers may have in regard to the Y2K issue.  Registrant does not at
the  present  time  conduct  any  direct  data  transfer  with any of its
customers or suppliers  that would be affected by their failure to be Y2K
compliant,  and has no reason to believe that any Y2K compliance problems
that any of its suppliers or customers  might have will have any material
adverse impact on the Registrant. In March, 1999 the Registrant requested
information  on Y2K  compliance  from those  suppliers and customers with
which it considers itself to have a material relationship and where their
failure to attain  Y2K  compliance  could  have a material  impact on the
Registrant. To date the Registrant has received responses from all of its
major  customers  and  suppliers,  as  well as  most  of the  other  less
significant customers and suppliers it contacted,  and all have indicated
that they either are already Y2K compliant,  or will be by the end of the
year. The Registrant is also involved in a contiuing effort secure second
sources of supply for as many of its raw materials as possible before the
end of 1999,  and  believes  that it  currently  has  enough  alternative
suppliers for its key products  that it will not be materially  adversely
affected  by the  failure  of one or more  of its  current  raw  material
suppliers to become Y2K compliant.

         Registrant has investigated its key  non-information  technology
systems  for Y2K  compliance  and has  determined  that  they are  either
already  Y2K  compliant  or  will be so by the  end of the  year  without
material   expense   to   the   Registrant.    The   following   material
non-information  technology  system  providers  have  already  given  the
Registrant  assurances  that the systems or services they provide are Y2K
compliant:   Registrant's   primary  bank;   the  companies  that  handle
Registrant's  payroll,  security system,  and telephone  system;  and the
Registrant's registrar and stock transfer agent.


                                   11
<PAGE>


         Registrant believes that it has already made all of the material
expenditures necessary to attain Y2K compliance internally,  and does not
expect to expend any material  amounts during 1999 or thereafter for this
purpose.


                          PART II - OTHER INFORMATION


Item 6 (b)   Exhibits and Reports on Form 8-K

             a. Exhibits

                Exhibit 27.  Financial Data Schedule

             b. Reports on Form 8-K

                No  reports  have  been  filed  on Form 8-K  during  this
quarter.


                           UNITED-GUARDIAN, INC.

                               SIGNATURES


     In accordance with the  requirements of the Securities  Exchange Act
of 1934,  the  registrant has duly caused this report to be signed on its
behalf by the undersigned, thereunto duly authorized.


                                      UNITED-GUARDIAN, INC.
                                       (Registrant)


                                      By:  Alfred R. Globus
                                           Alfred R. Globus
                                           Chief Executive Officer


                                       By: Kenneth H. Globus
                                           Kenneth H. Globus
                                           Chief Financial Officer


Date: November 10, 1999


                                     12