UNITED STATES
                       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, 2003

[ ]  TRANSITION REPORT UNDER SECTION 13 OR 15(D) OF THE EXCHANGE ACT

     FOR THE TRANSITION PERIOD FROM ____________ TO ____________

                        COMMISSION FILE NUMBER 333-72371

                         KENTUCKY NATIONAL BANCORP, INC.
--------------------------------------------------------------------------------
        (Exact name of small business issuer as specified in its charter)


              INDIANA                                      61-1345603
---------------------------------------------  ---------------------------------
(State or other jurisdiction of organization)  (IRS Employer Identification No.)


             1000 NORTH DIXIE AVENUE, ELIZABETHTOWN, KENTUCKY 42701
--------------------------------------------------------------------------------
                    (Address of principal executive offices)


                                 (270) 737-6000
--------------------------------------------------------------------------------
                           (Issuer's telephone number)


                                 NOT APPLICABLE
--------------------------------------------------------------------------------
              (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
              ---         ---

     As of September  30, 2003,  there were 253,800  shares of the  Registrant's
common stock, par value $.01 per share, outstanding.

     Transitional Small Business Issuer Disclosure Format (check one):

          Yes           No  X
              ---          ---

                                       1
<PAGE>
                         KENTUCKY NATIONAL BANCORP, INC.

                             ELIZABETHTOWN, KENTUCKY


                                      INDEX


                                                                            PAGE
                                                                            ----
PART I.
------

FINANCIAL INFORMATION

Item 1.

Consolidated Balance Sheets as of September 30, 2003
   and December 31, 2002 (Unaudited)                                         3

Consolidated Statements of Income - (Unaudited) for the
   three and nine months ended September 30, 2003 and 2002                   4

Consolidated Statements of Cash Flows - (Unaudited)
   for the nine months ended September 30, 2003 and 2002                     5

Notes to Consolidated Financial Statements (Unaudited)                       7


Item 2.

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

Item 3.

Controls and Procedures                                                      13


PART II.

OTHER INFORMATION

Item 6.     Exhibits and Reports on Form 8-K                                 14

Signatures                                                                   15


                                       2
<PAGE>
                         KENTUCKY NATIONAL BANCORP, INC.

                           CONSOLIDATED BALANCE SHEETS
                                   (UNAUDITED)
<TABLE>
<CAPTION>
                                                   SEPTEMBER 30,    DECEMBER 31,
                                                       2003            2002
                                                   ------------     -----------
<S>                                                <C>             <C>
ASSETS

Cash and due from banks                            $  1,372,920    $  2,461,512
Federal funds sold                                      663,000       3,882,452
Investment securities available-for-sale              8,831,317       4,344,247
Loans held for sale                                     256,220       1,733,025
Loans, net of unearned interest                      80,997,761      76,357,879
Allowance for loan loss                                (852,408)       (690,811)
Federal Home Loan Bank Stock, at cost                   400,500         388,900
Federal Reserve Stock, at cost                          187,850         186,000
Premises and equipment, net                           2,884,424       2,907,171
Foreclosed assets                                        84,509         127,060
Accrued interest receivable and other assets            847,243         787,104
                                                   ------------    ------------

     Total assets                                  $ 95,673,336    $ 92,484,539
                                                   ============    ============

LIABILITIES AND STOCKHOLDERS' EQUITY

Liabilities:
  Deposits                                         $ 73,616,802    $ 75,449,900
  Federal Home Loan Bank advances                    11,000,000       7,000,000
  Obligations under capital leases                    2,053,992       2,058,829
  Accrued interest payable and other
    liabilities                                         751,555         470,219
                                                   ------------    ------------

     Total liabilities                               87,422,349      84,978,948
                                                   ------------    ------------

Commitments and contingent liabilities                       --              --
                                                   ------------    ------------

Stockholders' equity:
  Preferred stock, $.01 par value;
    authorized 1,000,000 shares                              --              --
  Common stock, $.01 par value:
    authorized, 5,000,000 shares; issued and
    outstanding, 253,800 and 251,400 shares
    at September 30, 2003 and December 31,
    2002, respectively                                    2,538           2,514
  Surplus                                             5,667,054       5,607,078
  Retained earnings                                   2,540,283       1,808,476
  Accumulated other comprehensive income                 41,112          87,523
                                                   ------------    ------------

     Total stockholders' equity                       8,250,987       7,505,591
                                                   ------------    ------------

     Total liabilities and stockholders'
       equity                                      $ 95,673,336    $ 92,484,539
                                                   ============    ============
</TABLE>
                 See notes to consolidated financial statements.

                                       3
<PAGE>
                         KENTUCKY NATIONAL BANCORP, INC.
                        CONSOLIDATED STATEMENTS OF INCOME

         FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2003 AND 2002
                                   (UNAUDITED)
<TABLE>
<CAPTION>

                                                                   THREE MONTHS ENDED                  NINE MONTHS ENDED
                                                                       SEPTEMBER 30,                     SEPTEMBER 30,
                                                              ----------------------------       ----------------------------
                                                                 2003               2002            2003              2002
                                                              ----------        ----------       ----------        ----------
<S>                                                           <C>               <C>              <C>              <C>
Interest income:
  Loans, including fees                                       $1,459,204        $1,560,584       $4,392,677       $ 4,497,928
  Securities                                                      56,154            55,377          182,436           161,455
  Federal funds sold and other income                              7,595            13,504           44,104            32,969
                                                              ----------        ----------       ----------        ----------
     Total interest income                                     1,522,953         1,629,465        4,619,217         4,692,352
                                                              ----------        ----------       ----------        ----------
Interest expense:
  Deposit accounts                                               302,253           380,735          991,897         1,164,041
  Certificates of deposit over $100,000                          161,496           171,211          500,305           505,137
  Interest expense - federal funds                                 2,962               130            2,987             5,110
  Interest expense - FHLB advances                                75,610            76,070          216,542           225,785
  Interest expense - capital lease                                58,001            58,342          174,049           175,920
                                                              ----------        ----------       ----------        ----------
     Total interest expense                                      600,322           686,488        1,885,780         2,075,933
                                                              ----------        ----------       ----------        ----------
     Net interest income                                         922,631           942,977        2,733,437         2,616,359

Provision for loan losses                                         66,240            68,750          196,560           199,250
                                                              ----------        ----------       ----------        ----------
     Net interest income after
       provision for loan losses                                 856,391           874,227        2,536,877         2,417,109
                                                              ----------        ----------       ----------        ----------
Other income:
  Service charges and fees                                       116,606           113,887          333,935           326,445
  Net gain on sale of loans                                      159,136            48,972          452,561           121,184
  Net gain on sale of investments                                      -             9,372                -             9,372
  Loss on sale of other real estate owned                         (8,020)                -           (8,020)                -
  Other income                                                    37,356             6,854           87,026            42,239
                                                              ----------        ----------       ----------        ----------
                                                                 305,078           179,085          865,502           499,240
                                                              ----------        ----------       ----------        ----------
Other expenses:
  Salaries and employee benefits                                 366,094           360,771        1,078,968         1,071,755
  Net occupancy expense                                           65,024            59,018          192,130           165,648
  Equipment expense                                               59,548            48,171          168,222           135,346
  Advertising                                                     26,992            27,694           83,994            93,184
  Data processing                                                 57,531            56,558          170,430           151,553
  Postage, telephone and supplies                                 40,099            31,192          124,043            94,932
  Bank franchise tax                                              25,760            20,884           76,440            61,971
  Directors fees                                                  14,076            14,076           41,769            42,064
  Professional services                                           41,686            36,574          127,645           109,104
  Other operating expenses                                        80,984            68,827          228,176           182,859
                                                              ----------        ----------       ----------        ----------
                                                                 777,794           723,765        2,291,817         2,108,416
                                                              ----------        ----------       ----------        ----------
Income before income taxes                                       383,675           329,547        1,110,562           807,933
Income tax expense                                               130,902           113,043          378,756           275,593
                                                              ----------        ----------       ----------        ----------
Net income                                                    $  252,773        $  216,504       $  731,806        $  532,340
                                                              ==========        ==========       ==========        ==========

Earnings per share:
    Basic                                                     $     1.00        $     0.86       $     2.89        $     2.12
                                                              ==========        ==========       ==========        ==========

    Diluted                                                   $     0.99        $     0.86       $     2.87        $     2.11
                                                              ==========        ==========       ==========        ==========
</TABLE>
                 See notes to consolidated financial statements.

                                       4
<PAGE>
                         KENTUCKY NATIONAL BANCORP, INC.

                      CONSOLIDATED STATEMENTS OF CASH FLOWS

              FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2003 AND 2002
                                   (UNAUDITED)
<TABLE>
<CAPTION>
                                                             NINE MONTHS ENDED
                                                               SEPTEMBER 30,
                                                      ----------------------------
                                                          2003            2002
                                                      -----------     -----------
<S>                                                   <C>            <C>
Operating activities:
     Net income                                       $   731,806    $    532,340
     Adjustments to reconcile net income to net
              cash provided by operating
              activities:
         FHLB stock dividend                              (11,600)        (12,800)
         Provision for loan losses                        196,560         199,250
         Provision for depreciation, amortization
           and accretion, net                             241,877         170,407
         Incentive stock option compensation                   --          10,400
         Deferred tax                                    (122,564)         44,904
         Net change in assets and liabilities:
              Loans held for sale                       1,476,805        (521,317)
              Accrued interest receivable
               and other assets                            86,333        (252,903)
              Accrued interest payable                    341,336        (142,328)
                                                      -----------     -----------
                  Net cash provided by
                    operating activities                2,940,553          27,953
                                                      -----------     -----------
Investing activities:
     Activity in available-for-sale securities:
          Maturities, prepayments and calls             4,013,636       1,637,166
          Purchases                                    (8,623,213)     (2,580,850)
     Purchases of Federal Reserve Bank stock               (1,850)        (25,350)
     Net increase in loans                             (4,750,542)     (9,774,455)
     Proceeds from sale of other real estate owned        118,248              --
     Purchases of premises and equipment                 (166,941)        (92,844)
                                                      -----------     -----------
                  Net cash used in investing
                    activities                         (9,410,662)    (10,836,333)
                                                      -----------     -----------

Financing activities:
     Net (decrease) increase in deposits               (1,833,098)     13,345,680
     Payments on capital lease obligations                 (4,837)        (37,492)
     Federal Home Loan Bank advances                    4,000,000              --
     Proceeds from sale of foreclosed assets                   --          13,268
                                                      -----------     -----------
                  Net cash provided by financing
                    activities                          2,162,065      13,321,456
                                                      -----------     -----------
Net (decrease) increase in cash and cash
  equivalents                                          (4,308,044)      2,513,076

Cash and cash equivalents, beginning of period          6,343,964       2,999,755
                                                      -----------     -----------
Cash and cash equivalents, end of period              $ 2,035,920     $ 5,512,831
                                                      ===========     ===========
</TABLE>

                 See notes to consolidated financial statements.


                                       5
<PAGE>
                         KENTUCKY NATIONAL BANCORP, INC.


                CONSOLIDATED STATEMENTS OF CASH FLOWS, CONTINUED

              FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2003 AND 2002
                                   (UNAUDITED)
<TABLE>
<CAPTION>
                                                            NINE MONTHS ENDED
                                                               SEPTEMBER 30,
                                                        ------------------------
                                                          2003          2002
                                                        ---------    -----------
<S>                                                     <C>            <C>
SUPPLEMENTAL DISCLOSURES:

Cash paid for interest                                  $1,899,820   $2,179,780
                                                        ==========   ==========

Cash paid for income taxes                              $  171,485   $  581,668
                                                        ==========   ==========

NONCASH TRANSACTIONS:

Federal Home Loan Bank Stock dividend
   received                                             $   11,600   $   12,800
                                                        ==========   ==========

Loans transferred to foreclosed assets                  $   75,697   $  240,910
                                                        ==========   ==========

Loan to facilitate the sale of foreclosed
    assets                                              $       --   $   88,127
                                                        ==========   ==========
</TABLE>


NONCASH TRANSACTIONS:
During the nine month period ended  September 30, 2003, the Company issued 2,400
shares of common stock in lieu of cash payment for accrued  directors'  fees for
the year ended  December 31, 2002 in the amount of $60,000 in accordance  with a
deferred compensation plan approved by the stockholders on April 25, 2000.

                                       6
<PAGE>
                         KENTUCKY NATIONAL BANCORP, INC.

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (UNAUDITED)

1.   BASIS OF PRESENTATION

     The unaudited  consolidated  financial  statements  include the accounts of
     Kentucky National Bancorp, Inc., and its subsidiary Kentucky National Bank.
     All material intercompany balances and transactions have been eliminated in
     consolidation.

     The accompanying  unaudited consolidated financial statements were prepared
     in  accordance  with  instructions  for Form 10-QSB and  therefore,  do not
     include  all  disclosures  necessary  for a  complete  presentation  of the
     statement of financial condition, statement of income and statement of cash
     flows in conformity with generally accepted accounting principles. However,
     all adjustments (all of which are of a normal recurring  nature) which are,
     in the opinion of management,  necessary for the fair  presentation  of the
     interim  financial  statements have been included.  The statement of income
     for periods  presented is not  necessarily  indicative of the results which
     may be expected for the entire year.

2.   EARNINGS PER SHARE

     Earnings per share has been  determined  in accordance  with  Statements of
     Financial  Accounting Standards No. 128, "Earnings per Share." Earnings per
     common and common  equivalent share were computed by dividing net income by
     the weighted average number of shares of common stock outstanding.  Diluted
     earnings  per  share  for the  nine  months  ended  September  30,  2003 is
     determined by dividing net income by the weighted  average number of shares
     of common stock outstanding plus the weighted average number of shares that
     would be issued upon exercise of the dilutive stock-based compensation plan
     assuming  proceeds  are used to purchase  shares  pursuant to the  treasury
     stock method.

     The  following  data show the amounts used in computing  earnings per share
     (EPS) and the effect on income and the weighted average number of shares of
     dilutive potential common stock at September 30, 2003 and 2002.
<TABLE>
<CAPTION>

                                                                  THREE MONTHS ENDED                  NINE MONTHS ENDED
                                                                     SEPTEMBER 30,                       SEPTEMBER 30,
                                                              --------------------------         --------------------------
                                                                2003              2002             2003             2002
                                                              --------          --------         --------         --------
<S>                                                           <C>               <C>              <C>              <C>
BASIC
Net income                                                    $252,773          $216,504         $731,806         $532,340
                                                              --------          --------         --------         --------

Weighted average common shares
   outstanding                                                 253,800           251,400          253,220          250,800
                                                              --------          --------         --------         --------

Basic income per common share                                 $   1.00          $   0.86         $   2.89         $   2.12
                                                              ========          ========         ========         ========

DILUTED
Net income                                                    $252,773          $216,504         $731,806         $532,340
                                                              --------          --------         --------         --------

Weighted average common shares
   outstanding                                                 253,800           251,400          253,800          251,400
Dilutive effect of stock options                                 1,544             1,557              924              935
                                                              --------          --------         --------         --------

Weighted average common shares
   outstanding assuming dilution                               255,344           252,957          254,724          252,335
                                                              --------          --------         --------         --------

Diluted income per common share                               $   0.99          $   0.86         $   2.87         $   2.11
                                                              ========          ========         ========         ========
</TABLE>

                                       7
<PAGE>
                         KENTUCKY NATIONAL BANCORP, INC.

              NOTES TO CONSOLIDATED FINANCIAL STATEMENTS, CONTINUED
                                   (UNAUDITED)

3.   RECLASSIFICATIONS

     Certain  2002  amounts  have been  reclassified  to  conform  with the 2003
     presentation.


4.   OTHER COMPREHENSIVE INCOME

     Other comprehensive income components and related taxes were as follows:
<TABLE>
<CAPTION>
                                                                                      2003             2002
                                                                                    -------          --------
     <S>                                                                            <C>              <C>
     Unrealized gains on available-for-sale securities                              $62,291          $141,983
     Less reclassification adjustments for realized
        (gains) losses included in income                                                --            (9,372)
                                                                                    -------          --------
         Other comprehensive income, before tax effect                               62,291           132,611
     Tax expense                                                                     21,179            45,088
                                                                                    -------          --------
         Other comprehensive income                                                 $41,112          $ 87,523
                                                                                    =======          ========
</TABLE>

                                        8
<PAGE>

ITEM 2.

           MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
                            AND RESULTS OF OPERATIONS

GENERAL

The following discussion and analysis is intended to assist in understanding the
consolidated financial condition and results of operations of the Company.

FORWARD-LOOKING STATEMENTS

When used in this  discussion  and  elsewhere in this  Quarterly  Report on Form
10-QSB,  the words or phrases  "will likely  result,"  "are  expected  to," will
continue," "is anticipated,"  "estimate,"  "project," or similar expressions are
intended  to  identify  "forward-looking  statements"  within the meaning of the
Private  Securities  Litigation Reform Act of 1995. The Company cautions readers
not to place undue reliance on any such forward-looking statements,  which speak
only as of the date made, and advises  readers that various  factors,  including
regional  and  national  economic  conditions,  substantial  changes in level of
market  interest  rates,  credit  and  other  risks of  lending  and  investment
activities and  competitive  and  regulatory  factors could affect the Company's
financial  performance  and could cause the Company's  actual results for future
periods to differ materially from those anticipated or projected.

The Company does not undertake  and  specifically  disclaims  any  obligation to
update any  forward-looking  statements to reflect  occurrence of anticipated or
unanticipated events or circumstances after the date of such statements.

COMPARISON  OF THE RESULTS OF  OPERATIONS  FOR THE THREE AND NINE MONTH  PERIODS
ENDED SEPTEMBER 30, 2003 AND 2002

NET INCOME.  Net income for the quarter ended September 30, 2003 was $252,800 or
$0.99 per diluted share  compared to net income of $216,500 or $0.86 per diluted
share for the same period last year, an increase of $36,300 or $0.13 per diluted
share.  Net income for the nine months ended  September 30, 2003 was $731,800 or
$2.87 per diluted share  compared to $532,300 or $2.11 per diluted share for the
nine  months  ended  September  30,  2002,  an increase of $199,500 or $0.76 per
share.

The increase in net income for the three months ended September 30, 2003 was due
to an increase in other income of $126,000 and a decrease in provision  for loan
loss of  $2,600.  These  factors  were  partially  offset by a  decrease  in net
interest  income of $20,400,  an  increase  in other  expenses of $54,000 and an
increase  in tax  expense of  $17,900.  The  increase in net income for the nine
months  ended  September  30,  2003 was due to an  increase  in other  income of
$366,300, an increase in net interest income of $117,100,  and a decrease in the
provision  for loan loss of  $2,700.  These  factors  were  partially  offset by
increases in other expenses of $183,400 and tax expense of $103,200.

NET INTEREST INCOME.  Net interest income decreased  $20,400 or 2.2% to $922,600
for the three months ended September 30, 2003 compared to $943,000 for the three
months ended  September  30,  2002.  Year-to-date  net interest  income was $2.7
million and $2.6 million for the nine months ended  September 30, 2003 and 2002,
respectively,  an increase of $117,100 or 4.5% between  periods.  This  increase
reflects  the  continued  growth  in  interest-earning   assets.  Total  average
interest-earning  assets for the nine months ended  September 30, 2003 increased
by  approximately  $12.4  million with a decrease in average  yield of 147 basis
points, while average  interest-bearing  liabilities  increased by approximately
$12.1 million with a decrease in average costs of approximately 97 basis points.
The declines in average  yields and costs both reflect a significant  decline in
interest  rates  between  the  periods as the  Federal  Reserve  cut  short-term
interest rates to record low levels.  During the period that interest rates were
declining,  the Bank's cost of funds declined more quickly than asset-yields due
to the greater  sensitivity of its  liabilities to changes in interest rates. As
market  rates  have  stabilized,  however,  the yield on the  Bank's  assets has
declined  at a faster  rate than its cost of  funds.  As a  result,  the  Bank's
interest rate spread  decreased to 3.49% for the nine months ended September 30,

                                       9
<PAGE>

2003  compared  to 3.99% for the nine  months  ended  September  30,  2002.  Net
interest margin decreased to 3.88% for the 2003 period compared to 4.56% for the
2002 period.

PROVISION FOR LOAN LOSSES. The provision for loan losses was $66,200 and $68,800
for  the  quarters  ended  September  30,  2003  and  2002,  respectively.   The
year-to-date  provision  for loan losses was  $196,600  and $199,300 and for the
nine months  ended  September  30, 2003 and 2002,  respectively.  The Bank makes
provisions for loan losses in amounts deemed  necessary to maintain the adequacy
of the allowance for loan losses.  At September 30, 2003,  the Bank's  allowance
for loan losses was $852,400 or 1.05% of the gross loan portfolio.

OTHER  INCOME.  Other income was  $305,100  and $179,100 for the quarters  ended
September  30,  2003 and  2002,  respectively.  Year-to-date  other  income  was
$865,500 and $499,200  for the nine months  ended  September  30, 2003 and 2002,
respectively.  The increases for the most recent  periods are  reflective of the
growth in the net gain on sale of loans from the secondary market loan division.
During the first quarter of 2003,  the secondary  market loan division  opened a
loan production  office in Radcliff,  Kentucky.  The increase in gain on sale of
loans has been  driven  by the  record  level of  mortgage  refinancings  in the
current low interest-rate environment.  As interest rates have stabilized during
the most recent quarter,  the Bank has  experienced  some decline in refinancing
activity but is unable to predict whether this situation will continue.

OTHER  EXPENSE.  Other expense was $777,800 and $723,800 for the quarters  ended
September 30, 2003 and 2002,  respectively.  Year-to-date other expense was $2.3
million and $2.1 million for the nine months ended  September 30, 2003 and 2002,
respectively.  The  increases  for both the  quarter and  year-to-date  were due
primarily to the growth of the Bank. Bank growth has led to variety of increased
miscellaneous  costs included in other operating  expense,  which increased from
$68,800 to $81,000 for the quarter and from  $182,900 to $228,200  year-to-date.
The Bank  attributes a portion of the increases in net occupancy  expense,  data
processing expense,  postage,  telephone and supplies, and equipment expense, to
the opening of the new Radcliff loan production office.

INCOME TAX  EXPENSE.  Income tax expense was $130,900 and $378,800 for the three
and nine months  ended  September  30,  2003,  compared to $113,000 and $275,600
during the 2002  periods.  The  increase  in tax  expense for the three and nine
month periods was due to higher net income before  taxes.  The Company  provides
for both the current and  deferred tax effects of the  transactions  reported in
its financial statements and established deferred tax assets and liabilities for
the temporary  differences  between the financial reporting and tax bases of its
assets and liabilities.  The Company, however,  establishes valuation allowances
for its net deferred tax assets unless it is more likely than not that these net
deferred tax assets will be realized.

COMPARISON OF FINANCIAL CONDITION AT SEPTEMBER 30, 2003 AND DECEMBER 31, 2002

The Bank  continued  to  experience  asset  growth  during  2003.  Total  assets
increased $3.2 million,  or 3.4% to $95.7 million at September 30, 2003 compared
to $92.5 million at December 31, 2002.  The principal  contributor to the Bank's
asset growth continued to be growth in the loan portfolio,  which increased $4.6
million or 6.1%  during the year.  Partially  offsetting  the  increase  in loan
growth was a $1.5 million decline in loans held for sale reflecting a decline in
refinancing activity during the quarter as rates have stabilized.

The Bank's portfolio of investment securities  available-for-sale increased $4.5
million, or 103.3%, to $8.8 million at September 30, 2003 due to the purchase of
$8.6 million in new securities  during the period,  which offset $4.0 million in
maturities,  prepayments and calls of investment securities  available-for-sale.
The  investment  securities  acquired  for  the   available-for-sale   portfolio
consisted of mortgage-backed  securities and U.S. Government agency obligations.
The increase in investment  securities offset a $1.1 million decline in cash and
due from banks and a $3.2 million  decline in federal  funds sold from  December
31,  2002.  The  increase in the  investment  securities  was part of the Bank's
strategy of increasing liquidity.

                                       10
<PAGE>

Funding for the Bank's asset growth came  primarily  from Federal Home Loan Bank
advances, which increased $4 million from $7 million at December 31, 2002 to $11
million at September  30, 2003.  The Bank has increased its level of advances to
diversify its funding  sources and to lengthen the duration of its  liabilities.
At September 30, 2003,  deposits totaled $73.6 million, a $1.8 million, or 2.4%,
decrease from deposits at December 31, 2002.  During the current year,  the Bank
has  reduced  deposits  obtained  through  internet CD markets on which the Bank
posts its rates for a fee. Such certificates of deposit totaled $12.9 million at
September 30, 2003 compared to $19.1 million at December 31, 2002. This decrease
was  partially  offset by an increase in local area  certificates  of deposit of
$3.2  million and an increase in demand  deposit  accounts  have of $1.2 million
since December 31, 2002.

Stockholders' equity increased by $745,400 to $8.3 million at September 30, 2003
from $7.5 million at December 31, 2002. Net income for the period of $731,800 is
the major  source of the  increase.  This  increase  was  partially  offset by a
decrease in unrealized gain or loss on available-for-sale securities of $46,400.
The  remaining  increase  of  $60,000  during the  current  period is due to the
issuance  of 2,400  shares of common  stock in lieu of cash  payment for accrued
directors'  fees for the year  ended  December  31,  2002 in  accordance  with a
deferred  compensation  plan  approved by the  stockholders  on April 25,  2000.
Management   believes  that  a  strong  capital  position  is  vital  to  future
profitability  and to  promote  depositor  and  investor  confidence.  The  Bank
continues  to  be  in  compliance   with  all  applicable   regulatory   capital
requirements.

ASSET QUALITY

The following table sets forth information  regarding the Bank's  non-performing
assets at the dates indicated.
<TABLE>
<CAPTION>
                                                         SEPTEMBER 30,     DECEMBER 31,
                                                             2003             2002
                                                         -------------     -----------
                                                                 (IN THOUSANDS)

<S>                                                          <C>            <C>
Restructured loans                                           $   --         $   --
Non-accrual loans                                             1,749          1,443
Accruing loans past due 90 days or more                          --              7
                                                             ------         ------

        Total non-performing loans                            1,749          1,450

Foreclosed assets                                                85            127
                                                             ------         ------
        Total non-performing assets                          $1,834         $1,577
                                                             ======         ======
</TABLE>

The  Bank's  foreclosed  assets at  September  30,  2003  consisted  of two real
properties.

At September  30, 2003,  there were no loans  outstanding  not  reflected in the
above table as to which known  information  about  possible  credit  problems of
borrowers  caused  management  to have serious  doubts as to the ability of such
borrowers to comply with present loan repayment terms.

An analysis of the changes in the allowance for loan losses is as follows:
<TABLE>
<CAPTION>
                                                          NINE MONTHS ENDED
                                                             SEPTEMBER 30,
                                                    ----------------------------
                                                       2003              2002
                                                    ---------         ----------
<S>                                                 <C>               <C>
Balance, beginning of period                        $ 690,811         $ 706,739
Loans charged off                                    (114,145)         (231,776)
Loan recoveries                                        79,182            42,539
                                                    ---------         ---------
Net charge-offs                                       (34,963)         (189,237)

Provision for loan losses                             196,560           199,250
                                                    ---------         ---------
Balance, end of period                              $ 852,408         $ 716,752
                                                    =========         =========
</TABLE>
                                       11
<PAGE>
Charge-offs  for the nine months ended  September 30, 2003 decreased by $117,600
compared to the same period in 2002.  Charge-offs for 2002 included  $112,000 of
charge-offs taken on loans to one family of borrowers and an additional  $40,000
charge-off  taken on loans to one borrower.  The remainder of the charge-offs in
2002 consisted of amounts taken on several  loans.  Management  determined  that
these borrowers would not have sufficient resources to repay the debt.

LIQUIDITY AND CAPITAL RESOURCES

The Company currently has no operating business other than the Bank and does not
have material  funding needs.  In the future,  the Company may require funds for
dividends  and tax  payments  for  which it will  rely on  dividends  and  other
distributions  from  the  Bank.  The  Bank  is  subject  to  various  regulatory
restrictions on the payment of dividends.

The Bank's  sources of funds for lending  activities and operations are deposits
from its primary market area,  advances from the FHLB of  Cincinnati,  principal
and  interest  payments on loans,  interest  received on other  investments  and
federal  funds  purchased.   Its  principal  funding  commitments  are  for  the
origination of loans, the payment of maturing  deposits,  principal and interest
payments on advances from the FHLB,  and  obligations  under capital  leases for
buildings  and  equipment.  Deposits are  considered  a primary  source of funds
supporting the Bank's lending and investment activities.

At September  30, 2003,  the Bank's ratio of loans to deposits was 109% compared
to 100% at December 31, 2002. The loan-to-deposit  ratio is used as an indicator
of a bank's ability to originate  additional  loans and general  liquidity.  The
Bank's comparatively high loan-to-deposit  ratio reflects  management's emphasis
on  building  the loan  portfolio  and the use of FHLB  advances  to  supplement
deposits.  Because  the Bank's  continued  loan  growth  will  depend on deposit
growth,  management  expects to place more emphasis on building liquidity on the
balance  sheet and that the  loan-to-deposit  ratio  will  decline.  The  Bank's
strategies  in this regard  include the continued  maintenance  of an investment
securities portfolio that can be used as a source of liquidity and earnings.

The Bank's most liquid assets are cash and cash  equivalents,  which are cash on
hand,  amounts due from  financial  institutions,  federal  funds sold and money
market  mutual  funds.  The levels of such  assets are  dependent  on the Bank's
operating, financing and investment activities at any given time. The variations
in levels of cash and cash  equivalents  are  influenced  by  deposit  flows and
anticipated future deposit flows.

Cash and cash  equivalents  (cash due from banks,  interest-bearing  deposits in
other financial institutions, and federal funds sold), as of September 30, 2003,
totaled $2.0 million  compared to $5.5 million at September 30, 2002. The Bank's
cash flows were provided mainly by financing activities,  including $4.0 million
from FHLB  advances,  and by investing  activities,  including $4.0 million from
maturities,  prepayments and calls of available-for-sale  securities.  Operating
activities provided $2.9 million in cash for the nine months ended September 30,
2003  compared to $28,000  provided in cash for the nine months ended  September
30,  2002.  The Bank used cash  flows to fund a  decrease  in  deposits  of $1.8
million and for its investing  activities primarily to fund an increase in gross
loans of $4.8 and to purchase $8.6 million in available-for-sale securities.

As a  registered  bank  holding  company,  the Company is subject to  regulatory
capital  requirements  of the Board of Governors of the Federal  Reserve  System
("FRB"). In order to be well capitalized under FRB regulations, the Company must
maintain a leverage ratio of Tier I Capital to average assets of at least 5% and
ratios of Tier I and total capital to risk-weighted  assets of at least 6.0% and
10.0%  respectively.  At September 30, 2003,  the Company  satisfied the capital
requirements for classification as well capitalized under FRB regulations.

                                       12
<PAGE>
ITEM 3.  CONTROLS AND PROCEDURES
         -----------------------

The Company's  management  evaluated,  with the  participation  of the Company's
Chief Executive  Officer and Chief Financial  Officer,  the effectiveness of the
Company's  disclosure  controls  and  procedures,  as of the  end of the  period
covered by this report.  Based on that evaluation,  the Chief Executive  Officer
and Chief Financial Officer concluded that the Company's disclosure controls and
procedures are effective to ensure that information  required to be disclosed by
the  Company  in the  reports  that it files or  submits  under  the  Securities
Exchange Act of 1934 is recorded, processed,  summarized and reported within the
time periods  specified in the  Securities and Exchange  Commission's  rules and
forms.

There were no changes in the Company's internal control over financial reporting
that occurred  during the  Company's  last fiscal  quarter that have  materially
affected,  or are reasonably likely to materially affect, the Company's internal
control over financial reporting.


                                       13
<PAGE>

PART II
                                OTHER INFORMATION

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K
         --------------------------------

     (a)  The following  exhibits are either being filed with or incorporated by
          reference in this quarterly report on Form 10-QSB:

          NUMBER     DESCRIPTION
          ------     -----------

            3.1      Articles of Incorporation *
            3.2      Bylaws *
            4        Form of Common Stock Certificate *
            10.1     Restrictive Stock Transfer Agreement *
            10.2     Organizational Stock Option and Incentive Plan **
            10.3     Lease Agreement between Kentucky National   Properties,
                     L.L.C and Kentucky National Bank ***
            10.4     Kentucky National Bancorp, Inc. 2000 Stock Option and
                     Incentive Plan ****
            10.5     Kentucky National Bancorp, Inc. Director Fee Deferral
                       Plan *****
            31.1     Rule 13a-14(a)/15d-14(a) Certification of Chief Executive
                       Officer
            31.2     Rule 13a-14(a)/15d-14(a) Certification of Chief Financial
                       Officer
            32       Section 1350 Certification

                    _____________
                    *    Incorporated   by  reference   from  the   Registrant's
                         Registration   Statement   on  Form   S-4   (File   No.
                         333-72371).
                    **   Incorporated  by  reference  from  Registrant's   Post-
                         Effective Amendment No. 1 to Registration  Statement on
                         Form S-8 (File No. 333-72371).
                    ***  Incorporated  by  reference  from  Registrant's  Annual
                         Report on Form 10-KSB for the year ended  December  31,
                         2001
                    **** Incorporated by reference from the Registrant's  Annual
                         Report on Form 10-KSB for the year ended  December  31,
                         1999.
                    *****Incorporated    by    reference    from    Registrant's
                         Registration   Statement   on  Form   S-8   (File   No.
                         333-41676).


     (b)      REPORTS ON FORM 8-K.  During the quarter ended September 30, 2003,
              the Company did not file any current reports on Form 8-K.

                                       14
<PAGE>
                                   SIGNATURES


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



                                     KENTUCKY NATIONAL BANCORP, INC.


Date: November 14, 2003              By:/s/ Ronald J. Pence
                                        ---------------------------------------
                                        Ronald J. Pence, President
                                        (Duly Authorized Represen-
                                        tative and Principal
                                        Financial Officer)