**UNITED      STATES**

**SECURITIES      AND EXCHANGE COMMISSION**

**FORM      10-QSB**

*(Mark      One)*

| x | QUARTERLY                  REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT                  OF 1934 |
|---|---------------------------------------------------------------------------------------------------------------------|

| o | TRANSITION                REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF                1934 |
|---|------------------------------------------------------------------------------------------------------------------|

**MYSTICA      CANDLE CORP.**

| **Nevada**                                    | **20-3061907**                                                  |
|-----------------------------------------------|-----------------------------------------------------------------|
| (State                of incorporation)  | (IRS                Employer Identification                No.) |

**136      Bradley Road**

**Salt      Spring Island**

**British      Columbia V8K 1J5 Canada**

**(604)      638-2283**

----

**PART      I - FINANCIAL INFORMATION**

**Item      1. Financial Statements**

**MYSTICA        CANDLE, CORP.**

**(A      Development Stage Company)**

**Balance      Sheets**

----

|                                                                                |   | **As                of**         |    |  **As                of**    |   |
|-------------------------------------------------------------------------------------|--------|----------------------------------|---------|-----------------------------------|--------|
|                                                                                |   | **September                30,** |    |  **June                30,** |   |
|                                                                                |   | **2007**                         |    |  **2007**                    |   |
|                                                                                |   | **(unaudited)**                  |    |                         |   |
| **ASSETS**                                                                     |   |                             |    |                         |   |
|                                                                                |   |                             |    |                         |   |
| **Current                Assets**                                              |   |                             |    |                         |   |
| Cash                                                                                |   | $                                | 10,131  |                              | $      | 10,237 |   |
| Inventory                                                                           |   |                             | 1,469   |                              |   | 1,469 |   |
|                                                                                |   |                             |    |                              |   |   |   |
| **Total                Current Assets**                                             |   |                             | 11,601  |                              |   | 11,706 |   |
|                                                                                |   |                             |    |                              |   |   |   |
| **Net                Fixed Assets**                                                 |   |                             | 14,670  |                              |   | 15,645 |   |
|                                                                                |   |                             |    |                              |   |   |   |
| **Total                Assets**                                                     |   | $                                | 26,270  |                              | $      | **27,351** |   |
|                                                                                |   |                             |    |                              |   |   |   |
| **LIABILITIES                & STOCKHOLDERS' EQUITY**                           |   |                             |    |                              |   |   |   |
|                                                                                |   |                             |    |                              |   |   |   |
| **Current                Liabilities**                                              |   |                             |    |                              |   |   |   |
| Accounts                Payable                                                     |   | $                                | 3,678   |                              | $      | - |   |
|                                                                                |   |                             |    |                              |   |   |   |
| **Total                Current Liabilities**                                        |   |                             | 3,678   |                              |   | - |   |
|                                                                                |   |                             |    |                              |   |   |   |
| **Total                Liabilities**                                                |   |                             | 3,678   |                              |   | - |   |
|                                                                                |   |                             |    |                              |   |   |   |
| **Stockholders'                Equity**                                             |   |                             |    |                              |   |   |   |
|                                                                                |   |                             |    |                              |   |   |   |
| Common                stock, ($0.001 par value, 75,000,000 shares                   |   |                             |    |                              |   |   |   |
| authorized;                2,500,000 and 2,500,000 shares issued and                |   |                             |    |                              |   |   |   |
| outstanding                as of September 30, 2007 and June 30, 2007 respectively) |   |                             | 2,500   |                              |   | 2,500 |   |
| Additional                paid-in capital                                           |   |                             | 55,000  |                              |   | 55,000 |   |
| Deficit                accumulated during development stage                         |   |                             | (34,908 | )                                 |   | (30,149 | ) |
| **Total                Stockholders' Equity**                                       |   |                             | 22,592  |                              |   | 27,351 |   |
|                                                                                |   |                             |    |                              |   |   |   |
| **TOTAL                LIABILITIES &**                                          |   |                             |    |                              |   |   |   |
| **STOCKHOLDERS'                EQUITY**                                             |   | $                                | 26,270  |                              | $      | **27,351** |   |

----

**MYSTICA      CANDLE, CORP.**

**(A      Development Stage Company)**

**Statements      of Operations**
**      (unaudited)**

----

|                                                 |   |                               |      |                                |   |  **June                  24, 2005** |   |
|------------------------------------------------------|--------|------------------------------------|-----------|------------------------------------------|--------|------------------------------------------|--------|
|                                                 |   | **Three                  months**  |      |  **Three                  months**  |   |  **(inception)**                    |   |
|                                                 |   | **Ended**                          |      |  **Ended**                          |   |  **through**                        |   |
|                                                 |   | **September                  30,** |      |  **September                  30,** |   |  **September                  30,** |   |
|                                                 |   | **2007**                           |      |  **2006**                           |   |  **2007**                           |   |
|                                                 |   |                               |      |                                |   |                                |   |
| **Revenues**                                         |   |                               |      |                                |   |                                |   |
|                                                 |   |                               |      |                                |   |                                |   |
| Revenues                                             |   | $                                  | -         |                                     | $      | 968                                      |   | $ | 2,278 |   |
|                                                 |   |                               |      |                                     |   |                                     |   |   |   |   |
| **Total                  Revenues**                  |   |                               | -         |                                     |   | 968                                      |   |   | 2,278 |   |
|                                                 |   |                               |      |                                     |   |                                     |   |   |   |   |
| **Cost                  of Goods Sold**              |   |                               |      |                                     |   |                                     |   |   |   |   |
| Purchases                                            |   |                               | -         |                                     |   | 263                                      |   |   | 1,182 |   |
| **Total                  Costs Goods Sold**          |   |                               | -         |                                     |   | 263                                      |   |   | 1,182 |   |
|                                                 |   |                               |      |                                     |   |                                     |   |   |   |   |
| **Gross                  Profit**                    |   |                               | -         |                                     |   | 705                                      |   |   | 1,096 |   |
|                                                 |   |                               |      |                                     |   |                                     |   |   |   |   |
| **Operating                  Expenses**              |   |                               |      |                                     |   |                                     |   |   |   |   |
| Administrative                  Expenses             |   |                               | 1,081     |                                     |   | 2,818                                    |   |   | 19,968 |   |
| Professional                  fees                   |   |                               | 3,678     |                                     |   | -                                        |   |   | 16,036 |   |
|                                                 |   |                               |      |                                     |   |                                     |   |   |   |   |
| **Total                  Operating Expenses**        |   |                               | 4,759     |                                     |   | 2,818                                    |   |   | 36,004 |   |
|                                                 |   |                               |      |                                     |   |                                     |   |   |   |   |
| **Net                  Income (Loss)**               |   | $                                  | (4,759    | )                                        | $      | (2,113                                   | )      | $ | (34,908 | ) |
|                                                 |   |                               |      |                                     |   |                                     |   |   |   |   |
| **Basic                  earnings (loss) per share** |   | $                                  | (0.00     | )                                        | $      | (0.00                                    | )      |   |   |   |
|                                                 |   |                               |      |                                     |   |                                     |   |   |   |   |
| **Weighted                  average number of**      |   |                               |      |                                     |   |                                     |   |   |   |   |
| **common                  shares outstanding**       |   |                               | 2,500,000 |                                     |   | 2,500,000                                |   |   |   |   |

----

**MYSTICA        CANDLE, CORP.**

**(A        Development Stage Company)**

**Statement      of Changes in Stockholders' Equity**
**(unaudited)**

**From      June 24, 2005 (Inception) through September 30, 2007**

----

|                                                   |   |             |          |             |   |              |   | **Deficit**     |       |      |   |
|--------------------------------------------------------|--------|------------------|---------------|------------------|--------|-------------------|--------|-----------------|------------|-----------|--------|
|                                                   |   |             |          |             |   |              |   | **Accumulated** |       |      |   |
|                                                   |   |             |          | **Common**       |   | **Additional**    |   | **During**      |       |      |   |
|                                                   |   | **Common**  |          | **Stock**        |   | **Paid-in**       |   | **Development** |       |      |   |
|                                                   |   | **Stock**   |          | **Amount**  |   | **Capital**  |   | **Stage**       |       | **Total** |   |
|                                                   |   |             |          |             |   |              |   |            |       |      |   |
| **Balance,                June 24, 2005 (Inception)**  |   |             | **-**         |             | **$**  | **-**             |   | **$**           | **-**      |      | **$**  | **-** |   | **$** | **-** |   |
|                                                   |   |             |          |             |   |              |   |            |       |      |   |   |   |   |   |   |
| Stock                issued for cash on June 24, 2005  |   |             |          |             |   |              |   |            |       |      |   |   |   |   |   |   |
| @                $0.005 per share                      |   |             | 750,000       |             |   | 750               |   |            | 3,000      |      |   |   |   |   | 3,750 |   |
|                                                   |   |             |          |             |   |              |   |            |       |      |   |   |   |   |   |   |
| Stock                issued for cash on June 24, 2005  |   |             |          |             |   |              |   |            |       |      |   |   |   |   |   |   |
| @                $0.005 per share                      |   |             | 750,000       |             |   | 750               |   |            | 3,000      |      |   |   |   |   | 3,750 |   |
|                                                   |   |             |          |             |   |              |   |            |       |      |   |   |   |   |   |   |
| Net                lncome, June 30, 2005               |   |             |          |             |   |              |   |            |       |      |   | - |   |   | - |   |
|                                                   |   |             |          |             |   |              |   |            |       |      |   |   |   |   |   |   |
| **Balance,                June 30, 2005**              |   |             | **1,500,000** |             |   | **1,500**         |   |            | **6,000**  |      |   | **-** |   |   | **7,500** |   |
|                                                   |   |             |          |             |   |              |   |            |       |      |   |   |   |   |   |   |
| Stock                issued for cash on March 14, 2006 |   |             |          |             |   |              |   |            |       |      |   |   |   |   |   |   |
| @                $0.05 per share                       |   |             | 1,000,000     |             |   | 1,000             |   |            | 49,000     |      |   |   |   |   | 50,000 |   |
|                                                   |   |             |          |             |   |              |   |            |       |      |   |   |   |   |   |   |
| Net                loss, June 30, 2006                 |   |             |          |             |   |              |   |            |       |      |   | (14,068 | ) |   | (14,068 | ) |
|                                                   |   |             |          |             |   |              |   |            |       |      |   |   |   |   |   |   |
| **Balance,                June 30, 2006**              |   |             | **2,500,000** |             | **$**  | **2,500**         |   | **$**           | **55,000** |      | **$**  | **(14,068** | **)** |   | **43,432** |   |
|                                                   |   |             |          |             |   |              |   |            |       |      |   |   |   |   |   |   |
| Net                loss, June 30, 2007                 |   |             |          |             |   |              |   |            |       |      |   | (16,081 | ) |   | (16,081 | ) |
|                                                   |   |             |          |             |   |              |   |            |       |      |   |   |   |   |   |   |
| **Balance,                June 30, 2007**              |   |             | **2,500,000** |             | **$**  | **2,500**         |   | **$**           | **55,000** |      | **$**  | **(30,149** | **)** | **$** | **27,351** |   |
|                                                   |   |             |          |             |   |              |   |            |       |      |   |   |   |   |   |   |
| Net                loss, September 30, 2007            |   |             |          |             |   |              |   |            |       |      |   | (4,759 | ) |   | (4,759 | ) |
|                                                   |   |             |          |             |   |              |   |            |       |      |   |   |   |   |   |   |
| **Balance,                September 30, 2007**         |   |             | **-**         |             | **$**  | **-**             |   | **$**           | **-**      |      | **$**  | **(34,908** | **)** | **$** | **22,592** |   |

----

**MYSTICA          CANDLE, CORP.**

**(A          Development Stage Company)**

**Statement        of Cash Flows **
**(unaudited)**

----

|                                                                                        |   |                               |   |                                |   |  **June                  24, 2005** |   |
|---------------------------------------------------------------------------------------------|--------|------------------------------------|--------|------------------------------------------|--------|------------------------------------------|--------|
|                                                                                        |   | **Three                  Months**  |   |  **Three                  Months**  |   |  **(inception)**                    |   |
|                                                                                        |   | **Ended**                          |   |  **Ended**                          |   |  **through**                        |   |
|                                                                                        |   | **September                  30,** |   |  **September                  30,** |   |  **September                  30,** |   |
|                                                                                        |   | **2007**                           |   |  **2006**                           |   |  **2007**                           |   |
|                                                                                        |   |                               |   |                                |   |                                |   |
| **CASH                  FLOWS FROM OPERATING ACTIVITIES**                                   |   |                               |   |                                |   |                                |   |
|                                                                                        |   |                               |   |                                |   |                                |   |
| Net                  income (loss)                                                          |   | $                                  | (4,759 | )                                        | $      | (2,113                                   | )      | $ | (34,908 | ) |
| Adjustments                  to reconcile net loss to net cash                              |   |                               |   |                                     |   |                                     |   |   |   |   |
| provided                  by (used in) operating activities:                                |   |                               |   |                                     |   |                                     |   |   |   |   |
| Depreciation                                                                                |   |                               | 975    |                                     |   | 698                                      |   |   | 4,830 |   |
|                                                                                        |   |                               |   |                                     |   |                                     |   |   |   |   |
| Changes                  in operating assets and liabilities:                               |   |                               |   |                                     |   |                                     |   |   |   |   |
| Increase                  (decrease) in accounts payable                                    |   |                               | 3,678  |                                     |   | 465                                      |   |   | 3,678 |   |
| (Increase)                  decrease in inventory                                           |   |                               | -      |                                     |   | 218                                      |   |   | (1,469 | ) |
|                                                                                        |   |                               |   |                                     |   |                                     |   |   |   |   |
| ***Net                  cash provided by (used in) operating                  activities*** |   |                               | (106   | )                                        |   | (732                                     | )      |   | (27,869 | ) |
|                                                                                        |   |                               |   |                                     |   |                                     |   |   |   |   |
| **CASH                  FLOWS FROM INVESTING ACTIVITIES**                                   |   |                               |   |                                     |   |                                     |   |   |   |   |
|                                                                                        |   |                               |   |                                     |   |                                     |   |   |   |   |
| Acquisition                  of equipment                                                   |   |                               | -      |                                     |   | -                                        |   |   | (9,500 | ) |
| Increase                  in Leasehold improvements                                         |   |                               | -      |                                     |   | (6,500                                   | )      |   | (10,000 | ) |
|                                                                                        |   |                               |   |                                     |   |                                     |   |   |   |   |
| ***Net                  cash provided by (used in) investing                  activities*** |   |                               | -      |                                     |   | (6,500                                   | )      |   | (19,500 | ) |
|                                                                                        |   |                               |   |                                     |   |                                     |   |   |   |   |
|                                                                                        |   |                               |   |                                     |   |                                     |   |   |   |   |
| **CASH                  FLOWS FROM FINANCING ACTIVITIES**                                   |   |                               |   |                                     |   |                                     |   |   |   |   |
|                                                                                        |   |                               |   |                                     |   |                                     |   |   |   |   |
| Proceeds                  from issuance of common stock                                     |   |                               | -      |                                     |   | -                                        |   |   | 57,500 |   |
|                                                                                        |   |                               |   |                                     |   |                                     |   |   |   |   |
| ***Net                  cash provided by (used in) financing                  activities*** |   |                               | -      |                                     |   | -                                        |   |   | 57,500 |   |
|                                                                                        |   |                               |   |                                     |   |                                     |   |   |   |   |
| ***Net                  increase (decrease) in cash***                                      |   |                               | (106   | )                                        |   | (7,232                                   | )      |   | 10,131 |   |
|                                                                                        |   |                               |   |                                     |   |                                     |   |   |   |   |
| ***Cash                  at beginning of year***                                            |   |                               | 10,237 |                                     |   | 32,179                                   |   |   | - |   |
|                                                                                        |   |                               |   |                                     |   |                                     |   |   |   |   |
| ***Cash                  at end of year***                                                  |   | $                                  | 10,131 |                                     | $      | 24,947                                   |   | $ | 10,131 |   |
|                                                                                        |   |                               |   |                                     |   |                                     |   |   |   |   |
| **SUPPLEMENTAL                  DISCLOSURES OF CASH FLOW INFORMATION**                      |   |                               |   |                                     |   |                                     |   |   |   |   |
|                                                                                        |   |                               |   |                                     |   |                                     |   |   |   |   |
| Cash                  paid during year for :                                                |   |                               |   |                                     |   |                                     |   |   |   |   |
|                                                                                        |   |                               |   |                                     |   |                                     |   |   |   |   |
| Interest                                                                                    |   | $                                  | -      |                                     | $      | -                                        |   |   |   |   |
|                                                                                        |   |                               |   |                                     |   |                                     |   |   |   |   |
| Income                  Taxes                                                               |   | $                                  | -      |                                     | $      | -                                        |   |   |   |   |

----

**MYSTICA          CANDLE CORP.**

**(A          Development Stage Company)**

**Notes          to Financial Statements**

**September          30, 2007**

**(Unaudited)**

**NOTE      1. ORGANIZATION AND DESCRIPTION OF BUSINESS**

**NOTE      2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**

**a.      **
**Basis      of Accounting**

**b.      **
**Cash      Equivalents**
** **

**c.      **
**Inventory**
** **

**d.      **
**Property      and Equipment**

**e.      **
**Revenue      Recognition**

----

**MYSTICA        CANDLE CORP.**

**(A        Development Stage Company)**

**Notes        to Financial Statements**

**September        30, 2007**

**(Unaudited)**

**NOTE      2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)**

**f.      **
**Income      Taxes**

**g.      **
**Basic      Earnings per Share**
** **

**h.      **
**Use      of Estimates and Assumptions**

**i.      **
**Recent      Accounting Pronouncements**

----

**MYSTICA      CANDLE CORP.**

**(A      Development Stage Company)**

**Notes      to Financial Statements**

**September      30, 2007**

**(Unaudited)**

**NOTE      2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)**

**NOTE      3. GOING CONCERN**

**NOTE      4. WARRANTS AND OPTIONS**

----

**MYSTICA        CANDLE CORP.**

**(A        Development Stage Company)**

**Notes        to Financial Statements**

**September        30, 2007**

**(Unaudited)**

**NOTE      5. PROPERTY AND EQUIPMENT**

|                                                |   | **September                30,2007** |   | **June                30,2007** |   |
|-----------------------------------------------------|--------|--------------------------------------|--------|---------------------------------|--------|
|                                                |   |                                 |   |                            |   |
| Equipment                                           |   | $                                    | 19,500 |                            | $      | 19,500 |   |
|                                                |   |                                 |   |                            |   |   |   |
| Total                Fixed Assets                   |   |                                 | 19,500 |                            |   | 19,500 |   |
|                                                |   |                                 |   |                            |   |   |   |
| ***Less:                Accumulated Depreciation*** |   |                                 | (4,830 | )                               |   | (3,855 | ) |
|                                                |   |                                 |   |                            |   |   |   |
| Net                Fixed Assets                     |   | $                                    | 14,670 |                            | $      | 15,645 |   |

**NOTE      6. RELATED PARTY TRANSACTION**

**NOTE      **
**7.      NET OPERATING LOSSES**

----

**MYSTICA        CANDLE CORP.**

**(A        Development Stage Company)**

**Notes        to Financial Statements**

**September        30, 2007**

**(Unaudited)**

**NOTE      **
**8.      INCOME TAXES**

|                                           |   | **As                of September 30,****2007** |   | **As                of June 30,****2007** |   |
|------------------------------------------------|--------|------------------------------------------------|--------|-------------------------------------------|--------|
|                                           |   |                                           |   |                                      |   |
| Deferred                tax assets:            |   |                                           |   |                                      |   |
| Net                operating tax carryforwards |   | $                                              | 5,236  |                                      | $      | 4,522 |   |
| Other                                          |   |                                           | -0-    |                                      |   | -0- |   |
| Gross                deferred tax assets       |   |                                           | 5,236  |                                      |   | 4,522 |   |
| Valuation                allowance             |   |                                           | (5,236 | )                                         |   | (4,522 | ) |
|                                           |   |                                           |   |                                      |   |   |   |
| Net                deferred tax assets         |   | $                                              | -0-    |                                      | $      | -0- |   |

**NOTE      9. STOCK TRANSACTIONS**

----

**MYSTICA        CANDLE CORP.**

**(A        Development Stage Company)**

**Notes        to Financial Statements**

**September        30, 2007**

**(Unaudited)**

**NOTE      10. STOCKHOLDERS’ EQUITY**

----

**Item      2. Management’s Discussion and Analysis or Plan of      Operation**

*Plan      of Operation*

*Results      of Operations*

*Liquidity      and Capital Resources*

----

*Off-Balance      Sheet Arrangements*

*Proposes      Milestones to Implement Business Operations*

*Critical      Accounting Policies*

----

**Item      3. Controls and Procedures**

*Evaluation      of Disclosure Controls and Procedures*

----

**PART      II - OTHER INFORMATION**

**Item      5. Other Information**

**Item      6. Exhibits**

| Exhibit                  No. | Description |
|------------------------------|-------------|
|   |   |
|--------|--------|
| 31.1 | Sec.                    302 Certification of Principal Executive Officer and Principal                    Financial                    Officer |
|------|------------------------------------------------------------------------------------------------------------------------------------------------|

| 32.1 | Sec.                    906 Certification of Principal Executive Officer and Principal                    Financial                    Officer |
|------|------------------------------------------------------------------------------------------------------------------------------------------------|

----

**SIGNATURES**

|                                   |                                                                                                                                          |                                |
|----------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------|
| Date:                November 15, 2007 | MYSTICA              CANDLE              CORP.                                                                                                |
|                              |                                                                                                                                     |                           |
|                                   | By:                                                                                                                                 | /s/ Jon              Suk  |
|                                   | Name:   Jon              Suk                                                                                                   |
|                                   | Title:                     Principal                Executive Officer and Principal Financial                Officer |

----