U.S. SECURITIES AND EXCHANGE COMMISSION
                              WASHINGTON, DC 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, 2000

[ ] TRANSITION REPORT UNDER SECTION 13 OR L5(d) OF THE EXCHANGE ACT

For the transition period from            to
                               ---------     ---------

                         Commission file number 0-25417

                              TORBAY HOLDINGS, INC.
        (Exact Name of Small Business Issuer as Specified in its Charter)

               DELAWARE                                        52-2143186
      (State or Other Jurisdiction of                       (I.R.S. Employer
      Incorporation or Organization)                       Identification No.)

                         MAISON SAUMAREZ, ROUTE DE COBO
                 CASTEL, GUERNSEY, C.I. GY5 7RZ, UNITED KINGDOM
                    (Address of Principal Executive Offices)
                                011 44 1481 46044
                (Issuer's Telephone Number, Including Area Code)
                                       N/A
              (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
                    ---

         State the number of shares  outstanding of each of the issuer's classes
of common equity, as of the latest practicable date:

                                                                OUTSTANDING AT
           CLASS                                              SEPTEMBER 30, 2000
           -----                                              ------------------
Common Stock, par value $.0001                                    5,150,000

         Transitional Small Business Disclosure Format (check one):

         Yes      No X
             ----

<PAGE>

                              TORBAY HOLDINGS, INC.

              FORM 10-QSB FOR THE QUARTER ENDED SEPTEMBER 30, 2000

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                                               PAGE
                                                                                                               ----

Part I - FINANCIAL INFORMATION

<S>           <C>                                                                                                <C>
Item 1.       Financial Statements................................................................................2

Item 2.       Management's Discussion and Analysis................................................................7

Part II - OTHER INFORMATION

Item 1.       Legal Proceedings...................................................................................9

Item 2.       Changes in Securities and Use of Proceeds...........................................................9

Item 3.       Defaults Upon Senior Securities.....................................................................9

Item 4.       Submission of Matters to a Vote of Security Holders.................................................9

Item 5.       Other Information...................................................................................9

Item 6.       Exhibits and Reports on Form 8-K....................................................................9

Signatures
</TABLE>

--------------------------------------------------------------------------------

Forward Looking Statements

This Quarterly Report on Form 10-QSB contains certain forward looking statements
consisting  of estimates  with respect to the  financial  condition,  results of
operations  and business of Torbay  Holdings,  Inc.  that are subject to various
factors discussed in Torbay Holdings' Registration Statement on Form SB-2 and in
Torbay  Holdings'  Form 10-KSB for the year ended December 31, 1999, as amended,
which could cause actual results to differ materially from these estimates.

------------------------------------------------------------------------------

<PAGE>

PART I - FINANCIAL INFORMATION
ITEM 1.       FINANCIAL STATEMENTS

                      TORBAY HOLDINGS, INC. AND SUBSIDIARY
                          (A DEVELOPMENT STAGE COMPANY)

                                    CONTENTS

PAGE     1          INDEPENDENT ACCOUNTANTS' REPORT

PAGE     2          CONSOLIDATED BALANCE SHEETS AS OF SEPTEMBER 30, 2000
                    (UNAUDITED) AND DECEMBER 31, 1999

PAGE     3          CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
                    FOR THE THREE  MONTHS AND NINE MONTHS  ENDED  SEPTEMBER  30,
                    2000 AND FOR THE PERIOD FROM MARCH 24, 1999  (INCEPTION)  TO
                    SEPTEMBER 30, 2000 (UNAUDITED)

PAGE     4          CONSOLIDATED  STATEMENTS  OF CASH FLOWS FOR THE THREE MONTHS
                    AND NINE MONTHS ENDED  SEPTEMBER 30, 2000 AND FOR THE PERIOD
                    FROM MARCH 24, 1999 (INCEPTION) TO JUNE 30, 2000 (UNAUDITED)

PAGE     5 - 6      NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                    AS OF SEPTEMBER 30, 2000 (UNAUDITED)

<PAGE>
                         INDEPENDENT ACCOUNTANTS' REPORT

To the Board of Directors of:
 Torbay Holdings, Inc.


We have reviewed the accompanying consolidated balance sheet of Torbay Holdings,
Inc. and Subsidiary (a  development  stage company) as of September 30, 2000 and
the related  consolidated  statements of operations and comprehensive  loss, and
cash flows for the three  months and nine  months  then ended and for the period
from March 24, 1999  (inception)  to  September  30,  2000.  These  consolidated
financial statements are the responsibility of the Company's management.

We conducted our review in accordance with standards established by the American
Institute  of  Certified  Public  Accountants.  A review  of  interim  financial
information consists principally of applying analytical  procedures to financial
data and making  inquiries of persons  responsible  for financial and accounting
matters. It is substantially less in scope than an audit conducted in accordance
with  generally  accepted  auditing  standards,  the  objective  of which is the
expression of an opinion  regarding the financial  statements  taken as a whole.
Accordingly, we do not express such an opinion.

Based on our review, we are not aware of any material  modifications that should
be made to the accompanying  consolidated financial statements in order for them
to be in conformity with generally accepted accounting principles.

The accompanying  consolidated  financial statements have been prepared assuming
that the Company will continue as a going concern. As discussed in Note 5 to the
consolidated  financial  statements,  the Company is a development stage company
that has  accumulated  losses  since  inception  of  $915,324  and has a working
capital deficiency of $298,446.  These factors raise substantial doubt about its
ability to continue as a going concern.  These consolidated financial statements
do not include any adjustments that might result from this uncertainty.

WEINBERG & COMPANY, P.A.

Boca Raton, Florida
November 6, 2000


<PAGE>



                      TORBAY HOLDINGS, INC. AND SUBSIDIARY
                          (A DEVELOPMENT STAGE COMPANY)
                           CONSOLIDATED BALANCE SHEETS

<TABLE>
<CAPTION>
                                                                                          September 30,
                                                                                              2000               December 31,
                                                                                           (Unaudited)               1999
                                                                                       -------------------     -----------------
<S>                                                                                 <C>                     <C>
                                                                ASSETS
CURRENT ASSETS

   Cash                                                                             $             10,620    $           11,690
   Due from attorney's escrow                                                                      1,631                 1,631
   Subscription receivable                                                                         1,500                51,500
   Accounts receivable                                                                               400                   441
                                                                                       -------------------     -----------------
     Total Current Assets                                                                         14,151                65,262
                                                                                       -------------------     -----------------
PROPERTY AND EQUIPMENT - NET                                                                      36,271                42,598
                                                                                       -------------------     -----------------
OTHER ASSETS

   Deposits                                                                                       15,000                15,000
                                                                                       -------------------     -----------------
     Total Other Assets                                                                           15,000                15,000
                                                                                       -------------------     -----------------
TOTAL ASSETS                                                                        $             65,422    $          122,860
                                                                                       ===================     =================

                                                 LIABILITIES AND STOCKHOLDERS' EQUITY

CURRENT LIABILITIES

   Accounts payable                                                                   $          113,439    $           64,964
   Loan payable - line of credit                                                                 177,980                    --
   Due to related parties                                                                         14,200                12,932
   Obligations under capital lease                                                                 6,978                 7,706
                                                                                         -------------------     -----------------
     Total current liabilities                                                                   312,597                85,602

LONG TERM LIABILITIES

   Convertible loan payable                                                                       50,000                    --
   Obligations under capital leases                                                                7,668                29,648
                                                                                         -------------------     -----------------
     TOTAL LIABILITIES                                                                              370,265              115,250
                                                                                         -------------------     -----------------
STOCKHOLDERS' EQUITY

   Preferred stock, $.0001 par value, 20,000,000 shares authorized, 700,000 Series 1
    convertible shares issued and outstanding                                                         70                    70
   Common stock, $.0001 par value, 100,000,000 shares authorized, 5,150,000 and
    5,150,000, respectively issued and outstanding                                                   515                   510
   Additional paid-in capital                                                                    630,951               630,956
   Accumulated deficit during development stage                                                 (915,324)             (625,052)
   Accumulated other comprehensive income (loss)                                                 (21,055)                1,126
                                                                                       -------------------     -----------------
     TOTAL STOCKHOLDERS' EQUITY                                                                 (304,843)                7,610
                                                                                       -------------------     -----------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                                          $             65,422    $          122,860
                                                                                       ===================     =================
</TABLE>

 See  accompanying   notes  to  consolidated financial statements.

                                      2
<PAGE>


                      TORBAY HOLDINGS, INC. AND SUBSIDIARY
                          (A DEVELOPMENT STAGE COMPANY)
                      CONSOLIDATED STATEMENTS OF OPERATIONS
                             AND COMPREHENSIVE LOSS
                                   (UNAUDITED)
<TABLE>
<CAPTION>

                                                                                                                 For the Period
                                                                                                                 From March 24,
                                                                     For the Three           For the Nine       1999 (Inception)
                                                                     Months Ended            Months Ended       to September 30,
                                                                  September 30, 2000      September 30, 2000          2000
                                                                  --------------------    -------------------    ----------------
<S>                                                                           <C>                   <C>                     <C>
INCOME                                                         $                  --      $              --      $             --
                                                                  ------------------      -----------------      ----------------
EXPENSES

  Consulting and directors fees                                               19,315                135,983               334,961
  Depreciation and amortization                                                  777                  2,425                33,247
  Legal and professional fees                                                 62,598                119,528               215,805
  Loss from impairment of intangible assets                                     -                      -                  247,325
  Other selling, general and administrative                                   27,965                 54,392               106,042
                                                                  ------------------      -----------------      ----------------
TOTAL EXPENSES                                                               110,655                312,328               937,380
                                                                  ------------------      -----------------      ----------------

NET LOSS                                                                    (110,655)              (312,328)             (937,380)

OTHER COMPREHENSIVE INCOME/(LOSS)
  Foreign currency translation gains/(losses)                                 (9,251)               (20,705)              (21,055)
                                                                  ------------------      -----------------      ----------------
COMPREHENSIVE LOSS                                             $            (119,906)  $           (333,033)  $          (958,435)
                                                                  ==================      =================      ================
Net loss per common share - basic and diluted                  $               (0.02)  $              (0.06)  $             (0.19)
                                                                  ==================      =================      ================
Weighted average number of common shares outstanding - basic
  and diluted                                                              5,150,000              5,150,000             5,060,072
                                                                  ==================      =================      ================
</TABLE>

See  accompanying   notes  to  consolidated financial statements.

                                        3

<PAGE>


                      TORBAY HOLDINGS, INC. AND SUBSIDIARY
                          (A DEVELOPMENT STAGE COMPANY)
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (UNAUDITED)
<TABLE>
<CAPTION>

                                                                           For the Three        For the Nine       Cumulative From
                                                                            Months Ended        Months Ended        March 24, 1999
                                                                           September 30,       September 30,       (Inception) to
                                                                                2000                2000         September 30, 2000
                                                                          ---------------     -----------------  -------------------
<S>                                                                    <C>                   <C>                   <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
   Net (loss)                                                          $         (110,655)   $         (312,328)   $    (937,380)
  Adjustments to reconcile net loss to net cash used in operating
  Depreciation and amortization                                                       808                 2,425            31,778
  Loss on impaired assets                                                              --                    --           247,325
  (Increase) decrease in:
  Attorney's escrow                                                                    --                    --            (1,631)
  Accounts receivable                                                                  --                    --              (420)
  Increase (decrease) in:
  Accounts payable                                                                 42,647                54,474           116,361
                                                                          ---------------       ---------------       -------------
     Net cash used in operating activities                                        (67,200)             (255,429)         (543,967)
                                                                          ---------------       ---------------       -------------
CASH FLOWS FROM INVESTING ACTIVITIES:
  Deposit on potential investment                                                      --                    --           (15,000)
  Purchase of property and equipment                                                   --                    --           (43,765)
                                                                          ---------------       ---------------       --------------
     Net cash used in investing activities                                             --                    --           (58,765)
                                                                          ---------------       ---------------       --------------
CASH FLOWS FROM FINANCING ACTIVITIES:
   Obligations under capital leases                                               (14,473)              (20,178)           15,408
   Proceeds from issuance of common stock                                              --                50,000           598,868
  Due to related party                                                                435               (14,512)           (4,544)
  Proceeds from convertible debt                                                       --                50,000            50,000
  Proceeds from line of credit and related party loans                             77,980               192,180           177,980
  Payment of notes payable                                                             --                    --          (230,997)
                                                                          ---------------       ---------------       --------------
     Net cash provided by financing activities                                     63,942               257,490           606,715
                                                                          ---------------       ---------------       --------------
EFFECT OF EXCHANGE RATE CHANGES ON CASH                                             5,843                (3,131)            6,637
                                                                          ---------------       ---------------       --------------
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS                                    2,585                (1,070)           10,620

CASH AND CASH EQUIVALENTS - BEGINNING OF PERIOD                                     8,035                11,690                --
                                                                          ---------------       ---------------       --------------
CASH AND CASH EQUIVALENTS - END OF PERIOD                              $           10,620    $           10,620    $       10,620
                                                                          ===============       ===============       ==============
Cash paid during the period for:
  Interest                                                             $               --       $            --       $       964
                                                                          =================     =================     ==============
</TABLE>

See  accompanying   notes  to  consolidated financial statements.

                                       4

<PAGE>


                      TORBAY HOLDINGS, INC. AND SUBSIDIARY
                          (A DEVELOPMENT STAGE COMPANY)
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                            AS OF SEPTEMBER 30, 2000

NOTE 1   BASIS OF PRESENTATION

                  The  accompanying  unaudited  financial  statements  have been
                  prepared in  accordance  with  generally  accepted  accounting
                  principles and the rules and regulations of the Securities and
                  Exchange   Commission  for  interim   financial   information.
                  Accordingly, they do not include all the information necessary
                  for a  comprehensive  presentation  of financial  position and
                  results of operations.

                  It  is  management's   opinion,   however  that  all  material
                  adjustments  (consisting of normal recurring adjustments) have
                  been made which are necessary for a fair financial  statements
                  presentation.  The  results  for the  interim  period  are not
                  necessarily  indicative  of the results to be expected for the
                  year.

                  For further information, refer to the financial statements and
                  footnotes  included in the Company's  Form 10-KSB for the year
                  ended December 31, 1999.

NOTE 2   LOANS PAYABLE - LINE OF CREDIT

                  In April  2000,  the  Company  entered  into a line of  credit
                  agreement with a related party stockholder. Under the terms of
                  the  agreement the related party will provide the Company with
                  up to $200,000 in operating  funds,  to be repaid by the third
                  anniversary of the draw down of such funds.  The loan bears no
                  interest  and in lieu  thereof,  the  lender  shall be  issued
                  100,000  warrants to acquire  100,000  shares of the Company's
                  stock at $2.00 per share. Additionally, the agreement provides
                  that the lender may elect to convert  said loan into shares of
                  the Company's  stock at $1.00 per share. At June 30, 2000, the
                  Company  had  borrowed  $177,980  against  this line of credit
                  which is shown as a loan payable.

NOTE 3   CONVERTIBLE LOAN

                  On March 23, 2000, the Company  received a loan from a company
                  in the amount of $50,000.  The loan is  repayable by March 23,
                  2003 and is  convertible  into shares of the Company's  common
                  stock at $1.50 per  share.  In lieu of  interest  the  Company
                  granted 50,000 warrants convertible at the rate of one warrant
                  per one share of common stock at a price of $1.75 per share.

NOTE 4   COMMITMENTS AND CONTINGENCIES

                  During April 2000,  the Company  entered into a share purchase
                  agreement with a finance and investment company. The agreement
                  stipulates that an interest free open line of credit for up to
                  $10,000,000  will be  established  for the Company in exchange
                  for  an  option  to  purchase  35%  of  the  then  issued  and
                  outstanding  stock of the Company.  The option will be granted
                  upon the date of the receipt of the funds. The option price is
                  set at $2.85 per  share  and  expires  90 days  following  the
                  repayment of the credit  provided.  The line of credit has not
                  been established through the date of this report.

                                       5
<PAGE>

NOTE 5   GOING CONCERN

                  As reflected in the  accompanying  financial  statements,  the
                  Company  has  accumulated  losses  of  since  inception  and a
                  working  capital  deficiency of. The ability of the Company to
                  continue  as a going  concern is  dependent  on the  Company's
                  ability to raise  additional  funds and implement its business
                  plan. The financial  statements do not include any adjustments
                  that might be  necessary  if the Company is unable to continue
                  as a going concern.

                  Management's plans include obtaining an open line of credit up
                  to  $10,000,000  in exchange for an option to purchase  shares
                  (See Note 4).
                                       6


<PAGE>

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

OVERVIEW

         Torbay  Holdings is a  development  stage  company  created to act as a
holding  company  for  late-stage  developmental,   or  early-stage  commercial,
companies with  opportunities in niche markets.  Torbay Holdings  currently owns
one subsidiary,  Designer  Appliances Ltd., and is actively  seeking  additional
acquisitions.  However,  no such  acquisitions  will be  completed  until Torbay
Holdings raises additional capital sufficient to finance the operations of newly
acquired subsidiaries.

         Through Designer Appliances,  Torbay Holdings has developed and intends
to market household  appliances designed to be attractive to a premium,  upscale
market.   Management  believes  that  they  have  identified  an  underexploited
opportunity in the premium-priced  market for household and domestic appliances,
featuring  attractively  designed  exteriors.  There is no assurance that Torbay
Holdings will be able to successfully manufacture or market these items.

         In addition to its acquisition  strategy,  Torbay Holdings will own and
manage hotel properties in a variety of locations. Torbay Holdings believes that
the asset value of these  properties will underpin the value of Torbay Holdings'
equity investments in its subsidiaries and that the income from these properties
will provide revenue and funding of both property and subsidiary activities.

RESULTS AND PLAN OF OPERATIONS

         Torbay  Holdings  has  had  insignificant  sales  and  revenue.   Since
inception,  Torbay Holdings and its subsidiary  Designer Appliances have focused
on  organizational  activities and research and development of Torbay  Holdings'
products and marketing  strategies.  Management  estimates  that it will require
approximately  $1,000,000 for the calendar year 2000 and a total  capitalization
of  $1,400,000  over the next two  years for  Designer  Appliances  to  commence
manufacturing   and  marketing   operations.   The   acquisition  of  additional
subsidiaries would also require additional capital.

         Torbay  Holdings'  ability to develop its  operations is dependent upon
its receiving additional capital financing. Torbay Holdings may raise capital by
the sale of its equity  securities,  through an offering of debt securities,  or
from borrowing from a financial institution.  During April 2000, Torbay Holdings
entered into a share purchase agreement with Douglaston  Investments  Limited, a
finance and investment company.  The agreement  stipulates that an interest free
open  line of  credit  for up to  $10,000,000  will be  established  for  Torbay
Holdings  in  exchange  for an option to  purchase  35% of its then  issued  and
outstanding  stock.  Torbay Holdings believes that the line of credit will allow
it to meet its working capital needs for the next twelve months. The option will
be granted upon the date of the receipt of the funds. The option price is set at
$2.85 per share and  expires  90 days  following  the  repayment  of the  credit
provided.


                                       7
<PAGE>

LIQUIDITY AND CAPITAL RESOURCES

         Torbay  Holdings,  including its subsidiary  Designer  Appliances,  has
incurred  start-up  costs,  including  administrative  costs  and  research  and
development costs. To date, Torbay Holdings has received funds from sales of its
securities and from loans to pay its operating costs.

         To  date,  Torbay  Holdings  has  received  funds  from the sale of its
securities  and from loans.  It has primarily used the proceeds from the sale of
securities of Designer  Appliances  (prior to becoming a subsidiary) for payment
of operating costs.  Since inception,  Torbay Holdings has received an aggregate
of approximately  $600,000 from the sale of its securities.  Designer Appliances
issued a  promissory  note in an  aggregate  amount of $161,650  for the cost of
purchasing  the  intellectual  property  rights to its products,  which has been
repaid in full by Torbay Holdings from subscription proceeds.

         On March 23, 2000, Torbay Holdings  received a loan from DJ Limited,  a
principal  shareholder of Torbay Holdings, in the amount of $50,000. The loan is
repayable by March 23, 2003 and is convertible  into shares of Torbay  Holdings'
common stock at $1.50 per share. In lieu of interest,  Torbay  Holdings  granted
warrants  to  purchase  50,000  shares of  common  stock at a price of $1.75 per
share. The warrants expire on March 23, 2003.

         Torbay Holdings incurred a loss of $119,906 and $333,033 from operating
activities for the three and nine months ended September 30, 2000,  respectively
and has accumulated losses of $958,435 since inception.

         The cash flow of Torbay Holdings from financing activities for the nine
months ended  September  30, 2000 was  primarily  from proceeds from the line of
credit and related party loans,  the payment of a subscription  receivable  from
the sale of securities  during fiscal year 1999 and the convertible note with DJ
Limited.

         The financial  statements  appearing elsewhere in this report have been
prepared assuming that Torbay Holdings will continue as a going concern.  Torbay
Holdings'  ability to continue its  operations is dependent  upon its receipt of
revenues  through sales of its products or through  raising capital through debt
or equity financing or borrowings.

         We believe that the $10,000,000  open line of credit will be sufficient
to pay our currently  anticipated  expenses including payment of salaries,  rent
and payments to professionals  and to continue our  developmental  and marketing
operations  for the next 12 months.  If additional  funds are  required,  Torbay
Holdings will endeavor to sell additional  securities.  If sufficient additional
funding is not acquired,  alternative sources developed,  or revenues from sales
not received,  we would be required to curtail our operations and there would be
substantial doubt about our ability to continue as a going concern.


                                       8
<PAGE>

PART II - OTHER INFORMATION

ITEM 1.  LEGAL PROCEEDINGS

         None.

ITEM 2.  CHANGES IN SECURITIES AND USE OF PROCEEDS

         None.

ITEM 3.  DEFAULTS UPON SENIOR SECURITIES

         None.

ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

         None.

ITEM 5.  OTHER INFORMATION

         None.

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

         (a)   Exhibit 27 - Financial Data Schedule*
         (b)   Reports on Form 8-K
               None

      *Submitted only with filing in electronic format.


                                       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,  therunto duly
authorized.

TORBAY HOLDINGS, INC.

By:      /s/ William Thomas Large
         -----------------------------
         William Thomas Large
         President and Chief Executive Officer
         (Principal Executive Officer and Principal Accounting Officer)

Date:    November 14, 2000


                                       10