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

                                  FORM 10 - QSB

(Mark One)

( X )  Quarterly  report  pursuant  to  section  13 or 15(d)  of the  Securities
       Exchange Act of 1934.

           For the quarterly period ended June 30, 2000.

                                       or

(   )  Transition  report  pursuant  to  section  13 or 15(d) of the  Securities
       Exchange Act of 1934.

           For the Transition period from _____ to ______


                          Commission file number 0-7441

                           SIERRA MONITOR CORPORATION
        (Exact name of small business issuer as specified in its charter)


               California                             95-2481914
     (State or other jurisdiction of                  (I.R.S. Employer
      incorporation or organization)                  Identification Number)

                                1991 Tarob Court
                           Milpitas, California 95035
              (address and zip code of principal executive offices)


                                 (408) 262-6611
              (Registrant's telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15 (d) of the  Securities  and 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 of the issuer's common stock  outstanding,  as of August 7,
2000 was: 10,967,588

Transitional Small Business Disclosure Format: Yes____;   No __x__




                                                                   Page 1 of  11

<PAGE>



                                             PART I: FINANCIAL INFORMATION


                                             ITEM 1. FINANCIAL STATEMENTS

                                              SIERRA MONITOR CORPORATION
<TABLE>

                                               Condensed Balance Sheets
                                                      (Unaudited)
<CAPTION>

                                                                               June 30,               December 31,
                                Assets                                           2000                     1999
                                                                           -----------------        -----------------
<S>                                                                      <C>                                <C>
Current assets
        Cash and cash equivalents                                        $         399,529                  606,939
        Trade receivables, less allowance for doubtful accounts                  1,494,949                  801,593
           of $139,297 in 2000 and $138,572 in 1999
        Notes receivable                                                            22,929                   27,084
        Inventories                                                              1,412,551                1,166,648
        Prepaid expenses                                                           108,542                  103,849
        Deferred income taxes                                                      212,311                  212,311
                                                                           -----------------        -----------------
                            Total current assets                                 3,650,811                2,918,424
Property and equipment, net                                                        182,773                  198,657
Deferred income taxes                                                               97,851                   97,850
Other assets                                                                       380,486                  418,752
                                                                           -----------------        -----------------
                            Total assets                                 $       4,311,921                3,633,683
                                                                           =================        =================

                   Liabilities and Shareholders' Equity
Current liabilities
        Accounts payable                                                 $         516,809                  411,540
        Accrued expenses                                                           413,602                  273,733
        Other current liabilities                                                   59,433                   43,812
        Income taxes payable                                                       134,105                        -
                                                                           -----------------        -----------------
                            Total current liabilities                            1,123,949                  729,085
                                                                           -----------------        -----------------
Shareholders' equity
        Common stock; 20,000,000 authorized, 10,967,588                          3,159,944                3,159,944
        share issued and outstanding
        Retained earnings (accumulated deficit)                                     61,781                 (214,440)
        Notes receivable from shareholders                                         (33,753)                 (40,906)
                                                                           -----------------        -----------------
                            Total shareholders' equity                           3,187,972                2,904,598
                                                                           -----------------        -----------------
                            Total liabilities and shareholders' equity   $       4,311,921                3,633,683
                                                                           =================        =================


<FN>
See the accompanying notes to the condensed financial statements.
</FN>



                                                                                                         Page 2 of 11

</TABLE>


<PAGE>


                                              SIERRA MONITOR CORPORATION
<TABLE>

                                          Condensed Statements of Operations
                                                      (Unaudited)
<CAPTION>



                                                   Three months ended June 30,             Six months ended June 30,
                                                     2000                1999               2000               1999
                                                ----------------    ---------------    ---------------    ---------------
<S>                                            <C>                       <C>                <C>                <C>
Net sales                                      $     2,337,059           1,511,452          4,522,510          3,170,740

Cost of goods sold                                     858,315             589,719          1,683,335          1,222,793
                                                ----------------    ---------------    ---------------    ---------------

        Gross profit                                 1,478,744             921,733          2,839,175          1,947,947
                                                ----------------    ---------------    ---------------    ---------------

Operating expenses
    Research and development                           254,664             188,971            504,347            403,279
    Selling and marketing                              629,653             565,666          1,207,120          1,139,101
    General and administrative                         358,003             311,287            712,797            620,687
                                                ----------------    ---------------    ---------------    ---------------
                                                     1,242,320           1,065,924          2,424,264          2,163,067
                                                ----------------    ---------------    ---------------    ---------------
        Income (loss) from operations                  236,424            (144,191)           414,911           (215,120)

Other income                                                 -                   -                  -                 34
Interest income                                          1,682               3,820              3,522             12,613
                                                ----------------    ---------------    ---------------    ---------------

        Income (loss) before income taxes              238,106            (140,371)           418,433           (202,473)

Income tax (benefit) expense                            86,315             (43,989)           142,212            (43,989)
                                                ----------------    ---------------    ---------------    ---------------

        Net income (loss)                      $       151,791             (96,382)           276,221           (158,484)
                                                ================    ===============    ===============    ===============

Net income (loss) per share - basic            $          0.01               (0.01)              0.03              (0.01)
                                                ================    ===============    ===============    ===============
Net income (loss) per share - diluted          $          0.01               (0.01)              0.02              (0.01)
                                                ================    ===============    ===============    ===============

Weighted average number of shares used in per
share computations
                                        Basic:      10,967,588          10,967,588         10,967,588         10,967,588
                                                ================    ===============    ===============    ===============
                                      Diluted:      11,406,243          10,967,588         11,400,823         10,967,588
                                                ================    ===============    ===============    ===============

<FN>
See the accompanying notes to the condensed financial statements.
</FN>

                                                                                                             Page 3 of 11
</TABLE>


<PAGE>


                                              SIERRA MONITOR CORPORATION
<TABLE>

                                          Condensed Statements of Cash Flows
                                                      (Unaudited)
<CAPTION>


                                                                   Three months ended              Six months ended
                                                                        June 30,                       June 30
                                                                  2000            1999           2000            1999
                                                              -------------   -------------  -------------   -------------
<S>                                                          <C>                  <C>            <C>            <C>
Cash flows from operating activities:
  Net income (loss)                                          $    151,791         (96,382)       276,221        (158,484)
  Adjustments to reconcile net income (loss) to net
    cash used in operating activities:
        Depreciation & amortization                                62,349          68,461        115,754         125,890
        Allowance for doubtful accounts                              (775)          2,288            725           4,538
        Deferred income taxes                                          (1)        (25,317)            (1)        (25,317)
        Changes in operating assets and liabilities:
          Trade receivables and note receivables                 (268,140)        142,538       (689,927)        145,885
          Inventories                                            (171,916)        (46,220)      (245,903)        (63,766)
          Prepaid expenses                                        (38,146)        (37,769)        (4,693)        (32,510)
          Accounts payable                                         31,896         (68,015)       105,269         (20,864)
          Accrued compensation expenses                            86,885          11,006        139,869          34,419
          Other current liabilities                                27,443         (57,174)        15,621         (30,504)
          Income taxes payable                                     78,208               -        134,105        (105,052)
                                                              -------------   -------------  -------------   -------------
              Net cash used in
                operating activities                              (40,406)       (106,584)      (152,959)       (125,765)
                                                              -------------   -------------  -------------   -------------
Cash flows from investing activities:
  Capital expenditures                                            (29,056)        (22,376)       (61,604)        (64,753)
  Short term investments                                                -          24,066              -         245,522
  Acquisition of business assets                                        -                -             -        (171,828)
  Other assets                                                                     (2,205)             -            (290)
                                                              -------------   -------------  -------------   -------------
              Net cash provided by (used in)
                investing activities                              (29,056)           (515)       (61,604)          8,651
                                                              -------------   -------------  -------------   -------------
Cash flows from financing activities:
  Repayment of bank borrowings, net                                     -        (100,000)             -               -
  Repayment of shareholder notes receivable                         3,555           2,972          7,153           6,387
                                                              -------------   -------------  -------------   -------------
              Net cash provided by (used in)
              financing activities                                  3,555         (97,028)         7,153           6,387
                                                              -------------   -------------  -------------   -------------
Net decrease in
  cash and cash equivalents                                       (65,907)       (204,127)      (207,410)       (110,727)

Cash and cash equivalents at beginning of period                  465,436         487,067        606,939         393,667
                                                              -------------   -------------  -------------   -------------

Cash and cash equivalents at end of period                   $    399,529         282,940        399,529         282,940
                                                              =============   =============  =============   =============

<FN>
See the accompanying notes to the condensed financial statements.
</FN>


                                                                                                            Page 4 of 11
</TABLE>



<PAGE>


                           SIERRA MONITOR CORPORATION

                        Notes to the Financial Statements

                                  June 30, 2000

Basis of Presentation

      The unaudited  condensed  financial  statements  have been prepared by the
Company  pursuant to the rules and  regulations  of the  Securities and Exchange
Commission.  Certain information and footnote  disclosures  normally included in
financial  statements  prepared in accordance with generally accepted accounting
principles  have  been  omitted  pursuant  to such SEC  rules  and  regulations;
nevertheless, the Company believes that the disclosures are adequate to make the
information  presented not misleading.  These condensed financial statements and
the notes hereto should be read in conjunction with the financial statements and
notes  thereto  included in the  Company's  Annual Report on Form 10-KSB for the
year ended  December 31, 1999 which was filed March 30, 2000.  In the opinion of
the  Company,  all  adjustments,  consisting  of  normal  recurring  adjustments
necessary to present fairly the financial position of Sierra Monitor Corporation
as of June 30,  2000 and the  results of its  operations  and cash flows for the
quarter  then  ended,  have been  included.  The results of  operations  for the
interim period are not necessarily indicative of the results for the full year.

Accounting Policies

      There have been no  changes in  accounting  policies  used by the  Company
during the quarter ended June 30, 2000.

Summary of Business

      Sierra Monitor Corporation ("SMC" or the "Company") was founded in 1978 to
design and develop hazardous gas monitoring  devices for protection of personnel
and facilities in industrial work places. In addition to gas monitoring systems,
the Company also manufactures  microprocessor-based  systems used to monitor and
control  environmental  conditions in small, remote structures used for cellular
and hard wire telephone equipment. The Company also manufactures a product known
as a Communications Bridge. The Communications Bridge enables electronic control
systems to communicate with each other,  generally over Ethernet,  even when the
systems use non-compatible data storage and transfer protocols.

      Products  manufactured  by the Company are sold  primarily  to oil and gas
drilling and refining companies,  chemical plants, waste-water treatment plants,
telecommunications  companies,  building  control  systems,  parking garages and
landfill rehabilitation projects.



                                                                    Page 5 of 11


<PAGE>



Inventories

A summary of inventories follows:


                                            June 30,          December 31,
                                              2000                1999
                                        -----------------   ----------------

            Raw Materials               $      506,080              403,338

            Work-in-process                    288,785              520,220

            Finished goods                     617,686              243,090
                                        -----------------   ----------------

                                        $    1,412,551            1,166,648
                                        =================   ================

Net Income (loss) per share

      Basic  Earnings  Per Share (EPS) is computed  using the  weighted  average
number of common shares outstanding  during the period.  Diluted EPS is computed
using the  weighted  average  number of common and  dilutive  common  equivalent
shares outstanding during the period.  Dilutive common equivalent shares consist
of common stock issuable upon exercise of stock options using the treasury stock
method.  No adjustments  to earnings  (loss) were made for purposes of per share
calculations.  The Company  reported a net loss for both the three month  period
ended June 30, 1999 and the six month period  ended June 30,  1999.  As a result
97,656 and 101,040 shares were excluded from the calculation of diluted loss per
share for the three month  period  ended June 30, 1999 and the six month  period
ended June 30, 1999,  respectively.  In the six month period ended June 30, 2000
options to  purchase  56,000  shares of common  stock were  outstanding  but not
included  in the  computation  of diluted EPS  because  the  exercise  price was
greater  than the average  market  price of common  shares.  The  following is a
reconciliation  of the shares used in the  computation  of basic and diluted EPS
for the three and six month periods ending June 30, 2000 and 1999, respectively:

<TABLE>
<CAPTION>

                                                         3 months          6 months       3 months          6 months
                                                           ended             ended          ended             ended
                                                          6/30/00           6/30/00        6/30/99           6/30/99
<S>                                                    <C>               <C>              <C>              <C>
Basic EPS - weighted-average number of common
    shares outstanding                                   10,967,588       10,967,588      10,967,588        10,967,588

Dilutive stock options                                      438,655          433,235               -                 -
                                                     ----------------- ---------------- ----------------- -----------------

Diluted EPS - dilutive potential common shares           11,406,243       11,400,823      10,967,588        10,967,588
                                                     ================= ================ ================= =================


                                                                                                              Page 6 of 11
</TABLE>


<PAGE>


This report contains  forward-looking  statements  within the meaning of Section
27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act
of 1934.  Actual  results could differ  materially  from those  projected in the
forward-looking  statements  as a result of the risk  factors  set forth in this
report,  the  Company's  Annual  Report on Form  10-KSB  and other  reports  and
documents that the Company files with the Securities and Exchange Commission.


ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
         OF OPERATIONS

Results of Operations

      For the three  months  ended June 30,  2000,  Sierra  Monitor  Corporation
("Sierra Monitor" or the "Company") reported net sales of $2,337,059 compared to
$1,511,452  for the three months ended June 30, 1999.  For the six-month  period
ended June 30, 2000, net sales were  $4,522,510  compared with $3,170,740 in the
prior year six-month  period.  The results for the second quarter of fiscal 2000
represent a 55% increase from the same period in the prior year. The results for
the first six  months of fiscal  2000  represent  a 43%  increase  from the same
period the prior year.

      The primary  reason for the  increase in sales is an increase in shipments
of  environment  controllers,  which are used in  telephone  and  cable  company
applications.   Major  telephone  and  cable  companies  continue  expansion  of
infrastructure  to meet rapidly  growing demand for Internet  related  broadband
services.  Broadband  expansion  requires that small  buildings and  underground
vaults  must be  located  within  approximately  two  miles  of each  home to be
serviced.  For each small structure  Sierra Monitor has an opportunity to supply
an  environment  controller.  Bandwidth  expansion  is an ongoing  activity  for
telephone  companies  and the  Company  intends  to  vigorously  pursue  further
participation in this market.

      In addition  to products  for the  telephone  industry,  sales of protocol
conversion  devices increased in both the three and six month periods ended June
30, 2000 compared to the same periods of 1999.  Sales of gas  detection  systems
remained at approximately  the same level in the first six months of fiscal 2000
compared to the same period in 1999.

      Gross profit of $1,478,744 for the three-month  period ended June 30, 2000
was 63% of sales  compared to $921,733,  or 61% of sales,  in the same period in
the previous year. The gross profit for the six-month period ended June 30, 2000
was $2,839,175, or 63% of sales, compared to $1,947,947, or 61% of sales, in the
same  period  in the  previous  year.  Gross  profit  can vary due to the mix of
products  shipped in a given  period and the  discounts  which may be applied to
those  shipments.  In the first six months of fiscal 2000 the product mix varied
from the first six months of the prior year due to the  increase in shipments of
environment  controllers,  as described above. Although these products generally
have higher  materials  content than other products sold by the Company,  volume
purchasing economies offset the impact on gross margin.


                                                                    Page 7 of 11


<PAGE>


      Expenses  for  research  and   development,   which  include  new  product
development and engineering to sustain existing products,  were $254,664, or 11%
of sales, for the three-month  period ending June 30, 2000 compared to $188,971,
or 13% of sales,  in the  comparable  period in 1999. In the  six-month  periods
ending June 30, 2000 and June 30, 1999,  research and development  expenses were
$504,347,  or 11% of sales,  and $403,279,  or 13% of sales,  respectively.  The
higher  research  and  develop  expenses   continue  to  reflect  the  Company's
investment  in the  development  of software  programs  and the  improvement  of
hardware designs necessary to grow sales of the Company's Communications Bridge.
The Company intends to continue  development of an extensive library of Protocol
Drivers and therefore expects engineering expenses to remain, at least, at their
current levels.

      Selling and marketing  expenses for the three-month  period ended June 30,
2000 were $629,653,  or 27% of sales,  compared to $565,666, or 37% of sales, in
the comparable  period in the prior year. For the six-month  periods ending June
30, 2000 and June 30, 1999, selling and marketing  expenses were $1,207,120,  or
27% of sales, and $1,139,101, or 36% of sales, respectively.  The higher overall
selling and marketing expenses in fiscal 2000 are due, primarily,  to salary and
commission  costs  directly  related to the increased  sales.  Other selling and
marketing  expenses  remained  relatively  stable  resulting  in  a  substantial
reduction in costs as a percentage of net sales.

      General and  administrative  expenses were $358,003,  or 15% of sales, for
the three-month period ended June 30, 2000 compared to $311,287,  or 21% percent
of sales,  in the  three-month  period  ended June 30, 1999.  For the  six-month
periods  ending June 30,  2000 and June 30,  1999,  general  and  administrative
expenses  were  $712,797,  or 16%  of  sales,  and  $620,687,  or 20% of  sales,
respectively.  Increases in salary and benefit  expenses,  related to support of
the higher level of sales, and expenses for the Company's manufacturing plant in
Fort  Myers,  Florida  contributed  to the  higher  general  and  administrative
expenses.  The Company's Florida  manufacturing  plant was not in full operation
during the first half of 1999.

      Net income,  after interest and provision for income taxes,  for the three
months ended June 30, 2000 was $151,791,  compared with a net loss of $96,382 in
the three months ended June 30, 1999. Net income, for the six-month period ended
June 30, 2000 was $276,221 compared with net loss of $158,484 in the same period
in the prior year.  The  improvement  in income is due to the higher sales level
and  improved  gross  margin and lower  selling  and  administrative  costs as a
percent of sales.  In the first six months of fiscal 2000  compared to the first
six months of fiscal  1999 net sales  increased  by  $1,351,770  and income from
operations improved by $680,033.

Liquidity and Capital Resources

      During the six-month  period ended June 30, 2000,  the  Company's  working
capital  increased by $337,523 from  December 31, 1999.  The increase in working
capital is primarily due to the net income generated in the six month period. At
June 30, 2000, cash and cash equivalents totaled $399,529. Trade receivables,  a
component of working  capital,  increased  by $693,901  compared to December 31,
1999.  Trade  receivable  generally  reflect  the sales level of the prior sixty
days. The current level of trade receivables is approximately  equal to the last
sixty  days  sales.  Inventories,  also a  component  of working  capital,  have
increased  $245,903  compared to December  31, 1999.  The Company has  increased
inventory to support the current sales levels of each of the product groups and,
in some cases, to protect against possible materials  shortages in the supply of
semiconductor memory devices.


                                                                    Page 8 of 11

<PAGE>


      The Company  believes the current level of  receivables  is acceptable and
that the level of  reserves is  appropriate.  In the current  fiscal  year,  the
Company has not utilized its $250,000 line of credit and no balance is currently
outstanding  with its  commercial  bank.  The Company  believes that its current
capital  resources are sufficient to support existing and anticipated  levels of
business for at least the next twelve months.

Future Results

      The  Company's  future  operating  results  may be affected by a number of
factors,  including  general  economic  conditions  in both foreign and domestic
markets,  cyclical factors affecting the Company's  industry,  lack of growth in
the Company's  end-markets,  and the Company's ability to develop,  manufacture,
and sell both new and existing products at a profitable, but competitive, price.


                                                                    Page 9 of 11


<PAGE>


                           PART II: OTHER INFORMATION

Item 1.  Legal Proceedings - N/A

Item 2.  Changes in Securities - N/A

Item 3.  Defaults Upon Senior Securities - N/A

Item 4.  Submission of Matters to a Vote of Security Holders

         The  Company's  Annual  Meeting of  Shareholders  was held on May 16,
         2000. At the meeting the following directors were elected:

                                                 Number of Common Shares Voted
                                                 -----------------------------
           Directors                               For               Withheld
           ---------                               ---               --------
           Gordon R. Arnold                     7,893,968               0

           C. Richard Kramlich                  7,893,968               0

           Jay T. Last                          7,893,968               0

           Robert C. Marshall                   7,893,968               0

         In addition, the shareholders approved the following proposals:

                                                 Number of Common Shares Voted
                                                 -----------------------------
           Proposal                                For      Against     Abstain
           --------                                ---      -------     -------
           Increase   the  number  of  shares   7,893,968      0           0
           reserved  for  issuance  under the
           Company's  1996 Stock  Option Plan
           by 500,000 shares.

           Ratify the appointment of KPMG LLP   7,893,968      0           0
           as   the   Company's   independent
           public  accountants for the fiscal
           year ending December 31, 2000

There were no broker non-votes for any of the proposals.

Item 5.  Other Information - N/A

Item 6.  Exhibits and Reports on Form 8-K

         a.     Exhibits.

                   27.0 Financial Data Schedule

         b.     Reports on Form 8-K.

                   None.


                                                                   Page 10 of 11


<PAGE>


                                    SIGNATURE


Pursuant  to 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.


                                                SIERRA MONITOR CORPORATION

                                                Registrant

Date:   August 10, 2000                      By: /s/ Gordon R. Arnold
                                                ________________________________

                                                Gordon R. Arnold

                                                President

                                                Chief Financial Officer



                                                                   Page 11 of 11