**FORM      10-Q**

**SECURITIES      AND EXCHANGE COMMISSION**

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

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

| New                    York                        | 11-2148932                             |
|----------------------------------------------------|----------------------------------------|
| (State                    or other jurisdiction of | (I.R.S.                    Employer    |
| incorporation                    or organization)  | Identification                    No.) |

| 1938                  New Highway, Farmingdale, NY        | 11735                       |
|-----------------------------------------------------------|-----------------------------|
| (Address                  of principal executive offices) | (Zip                  Code) |

| Class                  of Common Stock        | Outstanding                  at May 10, 2007 |
|-----------------------------------------------|----------------------------------------------|
| Common                  Stock, $.01 par value | 7,001,369                                    |

----

**MISONIX,      INC.**

**INDEX**

|                                                                       | **Page**                                                                                                                      |
|----------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------|
| **Part                  I - FINANCIAL INFORMATION**                        |                                                                                                                               |
|                                                                       |                                                                                                                          |   |
| **Item                  1.**                                               | **Financial                  Statements**:                                                                                    |   |
|                                                                       |                                                                                                                          |   |
|                                                                       | Consolidated                  Balance Sheets as of                                                                            |   |
|                                                                       | March                  31, 2007 (Unaudited) and June 30, 2006                                                                 | 3 |
|                                                                       |                                                                                                                          |   |
|                                                                       | Consolidated                  Statements of Operations                                                                        |   |
|                                                                       | Nine                  months ended March 31, 2007                                                                             |   |
|                                                                       | and                  2006 (Unaudited)                                                                                         | 4 |
|                                                                       |                                                                                                                          |   |
|                                                                       | Consolidated                  Statements of Operations                                                                        |   |
|                                                                       | Three                  months ended March 31, 2007                                                                            |   |
|                                                                       | and                  2006 (Unaudited)                                                                                         | 5 |
|                                                                       |                                                                                                                          |   |
|                                                                       | Consolidated                  Statement of Stockholders’ Equity                                                         |   |
|                                                                       | Nine                  months ended March 31, 2007 (Unaudited)                                                                 | 6 |
|                                                                       |                                                                                                                          |   |
|                                                                       | Consolidated                  Statements of Cash Flows                                                                        |   |
|                                                                       | Nine                  months ended March 31, 2007                                                                             |   |
|                                                                       | and                  2006 (Unaudited)                                                                                         | 7 |
|                                                                       |                                                                                                                          |   |
|                                                                       | Notes                  to Consolidated Financial Statements                                                                   | 8 |
|                                                                       |                                                                                                                          |   |
| Item                  2.                                                   | Management’s                  Discussion and Analysis of Financial Condition and Results of                  Operations | 17 |
|                                                                       |                                                                                                                          |   |
| Item                  3.                                                   | Quantitative                  and Qualitative Disclosures About Market Risk                                                   | 23 |
|                                                                       |                                                                                                                          |   |
| Item                  4.                                                   | Controls                  and Procedures                                                                                      | 23 |
|                                                                       |                                                                                                                          |   |
| **Part                  II -** **OTHER                  INFORMATION** |                                                                                                                          |
|                                                                       |                                                                                                                          |   |
| Item                  1A.                                                  | Risk                  Factors                                                                                                 | 24 |
|                                                                       |                                                                                                                          |   |
| Item                  6.                                                   | Exhibits                                                                                                                      | 24 |
|                                                                       |                                                                                                                          |   |
| Signatures                                                                 |                                                                                                                               | 25 |

----

**MISONIX,      INC.**

**CONSOLIDATED      BALANCE SHEETS**

|                                                                                                                                                                                                    |   | **March                31,****2007** |           | June                30,2006                                |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------|----------------|------------------------------------------------------------|--------|
| **Assets**                                                                                                                                                                                              |   | **(Unaudited)**                      |           | (Derived                from audited Financial Statements) |   |
| Current                assets:                                                                                                                                                                          |   |                                 |           |                                                       |   |
| Cash                                                                                                                                                                                                    |   | **$**                                | **866,998**    |                                                       | $      | 675,400 |   |
| Accounts                receivable, less allowance for doubtful accounts of $297,068                and $256,309, respectively                                                                          |   |                                 | **8,026,369**  |                                                       |   | 6,530,598 |   |
| Inventories,                net                                                                                                                                                                         |   |                                 | **12,202,456** |                                                       |   | 11,307,226 |   |
| Income                tax receivable                                                                                                                                                                    |   |                                 | **—**    |                                                       |   | 786,654 |   |
| Deferred                income taxes                                                                                                                                                                    |   |                                 | **1,346,654**  |                                                       |   | 1,419,949 |   |
| Prepaid                expenses and other current assets                                                                                                                                                |   |                                 | **1,318,341**  |                                                       |   | 1,070,903 |   |
| Total                current assets                                                                                                                                                                     |   |                                 | **23,760,818** |                                                       |   | 21,790,730 |   |
|                                                                                                                                                                                                    |   |                                 |           |                                                       |   |   |   |
| Property,                plant and equipment, net                                                                                                                                                       |   |                                 | **6,204,878**  |                                                       |   | 6,495,854 |   |
| Deferred                income taxes                                                                                                                                                                    |   |                                 | **1,859,431**  |                                                       |   | 1,039,824 |   |
| Goodwill                                                                                                                                                                                                |   |                                 | **4,718,689**  |                                                       |   | 4,673,713 |   |
| Other                assets                                                                                                                                                                             |   |                                 | **1,222,216**  |                                                       |   | 512,444 |   |
| Total                assets                                                                                                                                                                             |   | **$**                                | **37,766,032** |                                                       | $      | 34,512,565 |   |
|                                                                                                                                                                                                    |   |                                 |           |                                                       |   |   |   |
| **Liabilities                and stockholders’ equity**                                                                                                                                           |   |                                 |           |                                                       |   |   |   |
| Current                liabilities:                                                                                                                                                                     |   |                                 |           |                                                       |   |   |   |
| Revolving                credit facilities and note payable                                                                                                                                             |   |                                 | **5,034,828**  |                                                       |   | 1,572,042 |   |
| Accounts                payable                                                                                                                                                                         |   |                                 | **4,774,760**  |                                                       |   | 4,784,102 |   |
| Accrued                expenses and other current liabilities                                                                                                                                           |   |                                 | **3,325,190**  |                                                       |   | 2,963,762 |   |
| Foreign                income taxes payable                                                                                                                                                             |   |                                 | **78,635**     |                                                       |   | — |   |
| Current                maturities of long-term debt and capital lease obligations                                                                                                                       |   |                                 | **341,207**    |                                                       |   | 367,823 |   |
| Total                current liabilities                                                                                                                                                                |   |                                 | **13,554,620** |                                                       |   | 9,687,729 |   |
|                                                                                                                                                                                                    |   |                                 |           |                                                       |   |   |   |
| Long-term                debt and capital lease obligations                                                                                                                                             |   |                                 | **1,104,613**  |                                                       |   | 1,145,279 |   |
| Deferred                lease liability                                                                                                                                                                 |   |                                 | **395,822**    |                                                       |   | 378,031 |   |
| Deferred                income taxes                                                                                                                                                                    |   |                                 | **282,455**    |                                                       |   | 282,455 |   |
| Deferred                income                                                                                                                                                                          |   |                                 | **347,622**    |                                                       |   | 422,634 |   |
| Total                liabilities                                                                                                                                                                        |   |                                 | **15,685,132** |                                                       |   | 11,916,128 |   |
|                                                                                                                                                                                                    |   |                                 |           |                                                       |   |   |   |
| Commitments                and contingencies                                                                                                                                                            |   |                                 |           |                                                       |   |   |   |
|                                                                                                                                                                                                    |   |                                 |           |                                                       |   |   |   |
| Minority                interest                                                                                                                                                                        |   |                                 | **330,906**    |                                                       |   | 341,631 |   |
|                                                                                                                                                                                                    |   |                                 |           |                                                       |   |   |   |
| Stockholders’                equity:                                                                                                                                                              |   |                                 |           |                                                       |   |   |   |
| Common                stock, $.01 par value—shares authorized 10,000,000; and 7,079,169 and                6,978,169 issued,                and 7,001,369 and 6,900,369 outstanding, respectively |   |                                 | **70,792**     |                                                       |   | 69,782 |   |
| Additional                paid-in capital                                                                                                                                                               |   |                                 | **24,822,437** |                                                       |   | 24,548,536 |   |
| Accumulated                deficit                                                                                                                                                                      |   |                                 | **(3,206,169** | **)**                                                      |   | (2,158,271 | ) |
| Accumulated                other comprehensive income                                                                                                                                                   |   |                                 | **475,358**    |                                                       |   | 207,183 |   |
| Treasury                stock, 77,800 shares                                                                                                                                                            |   |                                 | **(412,424**   | **)**                                                      |   | (412,424 | ) |
| Total                stockholders’ equity                                                                                                                                                         |   |                                 | **21,749,994** |                                                       |   | 22,254,806 |   |
|                                                                                                                                                                                                    |   |                                 |           |                                                       |   |   |   |
| Total                liabilities and stockholders’ equity                                                                                                                                         |   | **$**                                | **37,766,032** |                                                       | $      | 34,512,565 |   |

*See      Accompanying Notes to Consolidated Financial Statements.*

----

**MISONIX,      INC.**

**CONSOLIDATED      STATEMENTS OF OPERATIONS**

**(UNAUDITED)**

** **

|                                                                                                                           |   | **For                the nine months                ended****March                31,**  |            |
|--------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------|-----------------|
|                                                                                                                           |   | **2007**                                                                                      |            | 2006 |   |
|                                                                                                                           |   |                                                                                          |            |   |   |
| Net                sales                                                                                                       |   | **$**                                                                                         | **30,865,888**  |   | $ | 29,549,736 |   |
| Cost                of goods sold                                                                                              |   |                                                                                          | **17,687,270**  |   |   | 18,296,682 |   |
| Gross                profit                                                                                                    |   |                                                                                          | **13,178,618**  |   |   | 11,253,054 |   |
|                                                                                                                           |   |                                                                                          |            |   |   |   |   |
| Operating                expenses:                                                                                             |   |                                                                                          |            |   |   |   |   |
| Selling                expenses                                                                                                |   |                                                                                          | **5,524,786**   |   |   | 5,014,110 |   |
| General                and administrative expenses                                                                             |   |                                                                                          | **7,321,668**   |   |   | 7,528,168 |   |
| Research                and development expenses                                                                               |   |                                                                                          | **2,383,903**   |   |   | 2,739,043 |   |
| Total                operating expenses                                                                                        |   |                                                                                          | **15,230,357**  |   |   | 15,281,321 |   |
| Loss                from operations                                                                                            |   |                                                                                          | **(2,051,739**  | **)** |   | (4,028,267 | ) |
|                                                                                                                           |   |                                                                                          |            |   |   |   |   |
| Other                income (expense):                                                                                         |   |                                                                                          |            |   |   |   |   |
| Interest                income                                                                                                 |   |                                                                                          | **53,225**      |   |   | 65,857 |   |
| Interest                expense                                                                                                |   |                                                                                          | **(357,075**    | **)** |   | (168,629 | ) |
| Royalty                income and license fees net of royalty expense                of $16,928 and $75,775, respectively |   |                                                                                          | **655,335**     |   |   | 571,769 |   |
| Other                                                                                                                          |   |                                                                                          | **4,857**       |   |   | (10,663 | ) |
| Total                other income                                                                                              |   |                                                                                          | **356,342**     |   |   | 458,334 |   |
|                                                                                                                           |   |                                                                                          |            |   |   |   |   |
| Loss                before minority interest and income taxes                                                                  |   |                                                                                          | **(1,695,397**  | **)** |   | (3,569,933 | ) |
|                                                                                                                           |   |                                                                                          |            |   |   |   |   |
| Minority                interest in net (loss) income of consolidated subsidiaries                                             |   |                                                                                          | **(12,819**     | **)** |   | 12,659 |   |
|                                                                                                                           |   |                                                                                          |            |   |   |   |   |
| Loss                before income taxes                                                                                        |   |                                                                                          | **(1,682,578**  | **)** |   | (3,582,592 | ) |
|                                                                                                                           |   |                                                                                          |            |   |   |   |   |
| Income                tax benefit                                                                                              |   |                                                                                          | **(634,680**    | **)** |   | (941,006 | ) |
|                                                                                                                           |   |                                                                                          |            |   |   |   |   |
| Net                loss                                                                                                        |   |                                                                                          | **($1,047,898** | **)** |   | ($2,641,586 | ) |
|                                                                                                                           |   |                                                                                          |            |   |   |   |   |
| Net                loss per share - Basic                                                                                      |   |                                                                                          | **($.15**       | **)** |   | ($.39 | ) |
|                                                                                                                           |   |                                                                                          |            |   |   |   |   |
| Net                loss per share - Diluted                                                                                    |   |                                                                                          | **($.15**       | **)** |   | ($.39 | ) |
|                                                                                                                           |   |                                                                                          |            |   |   |   |   |
| Weighted                average common shares outstanding - Basic                                                              |   |                                                                                          | **6,923,044**   |   |   | 6,857,924 |   |
|                                                                                                                           |   |                                                                                          |            |   |   |   |   |
| Weighted                average common shares outstanding - Diluted                                                            |   |                                                                                          | **6,923,044**   |   |   | 6,857,924 |   |

*See      Accompanying Notes to Consolidated Financial Statements*

----

**MISONIX,      INC.**

**CONSOLIDATED      STATEMENTS OF OPERATIONS**

**(UNAUDITED)**

|                                                                                                                     |   | **For                the three months                ended****March                31,** |           |
|--------------------------------------------------------------------------------------------------------------------------|--------|------------------------------------------------------------------------------------------|----------------|
|                                                                                                                     |   | **2007**                                                                                 |           | 2006 |   |
|                                                                                                                     |   |                                                                                     |           |   |   |
| Net                sales                                                                                                 |   | **$**                                                                                    | **10,583,924** |   | $ | 10,169,778 |   |
| Cost                of goods sold                                                                                        |   |                                                                                     | **6,123,927**  |   |   | 6,216,776 |   |
| Gross                profit                                                                                              |   |                                                                                     | **4,459,997**  |   |   | 3,953,002 |   |
|                                                                                                                     |   |                                                                                     |           |   |   |   |   |
| Operating                expenses:                                                                                       |   |                                                                                     |           |   |   |   |   |
| Selling                expenses                                                                                          |   |                                                                                     | **2,003,430**  |   |   | 1,765,639 |   |
| General                and administrative expenses                                                                       |   |                                                                                     | **2,614,237**  |   |   | 2,502,626 |   |
| Research                and development expenses                                                                         |   |                                                                                     | **735,518**    |   |   | 975,307 |   |
| Total                operating expenses                                                                                  |   |                                                                                     | **5,353,185**  |   |   | 5,243,572 |   |
| Loss                from operations                                                                                      |   |                                                                                     | **(893,188**   | **)** |   | (1,290,570 | ) |
|                                                                                                                     |   |                                                                                     |           |   |   |   |   |
| Other                income (expense):                                                                                   |   |                                                                                     |           |   |   |   |   |
| Interest                income                                                                                           |   |                                                                                     | **11,111**     |   |   | 17,742 |   |
| Interest                expense                                                                                          |   |                                                                                     | **(130,582**   | **)** |   | (54,019 | ) |
| Royalty                income and license fees net of royalty expense                of $5,577 and $38,376, respectively |   |                                                                                     | **208,211**    |   |   | 177,702 |   |
| Other                                                                                                                    |   |                                                                                     | **(7,473**     | **)** |   | 2,718 |   |
| Total                other income                                                                                        |   |                                                                                     | **81,267**     |   |   | 144,143 |   |
|                                                                                                                     |   |                                                                                     |           |   |   |   |   |
| Loss                before minority interest and income taxes                                                            |   |                                                                                     | **(811,921**   | **)** |   | (1,146,427 | ) |
|                                                                                                                     |   |                                                                                     |           |   |   |   |   |
| Minority                interest in net loss of consolidated subsidiaries                                                |   |                                                                                     | **(38,318**    | **)** |   | (6,465 | ) |
|                                                                                                                     |   |                                                                                     |           |   |   |   |   |
| Loss                before income taxes                                                                                  |   |                                                                                     | **(773,603**   | **)** |   | (1,139,962 | ) |
|                                                                                                                     |   |                                                                                     |           |   |   |   |   |
| Income                tax benefit                                                                                        |   |                                                                                     | **(244,567**   | **)** |   | (310,844 | ) |
|                                                                                                                     |   |                                                                                     |           |   |   |   |   |
| Net                loss                                                                                                  |   |                                                                                     | **($529,036**  | **)** |   | ($829,118 | ) |
|                                                                                                                     |   |                                                                                     |           |   |   |   |   |
| Net                loss per share - Basic                                                                                |   |                                                                                     | **($.08**      | **)** |   | ($.12 | ) |
|                                                                                                                     |   |                                                                                     |           |   |   |   |   |
| Net                loss per share - Diluted                                                                              |   |                                                                                     | **($.08**      | **)** |   | ($.12 | ) |
|                                                                                                                     |   |                                                                                     |           |   |   |   |   |
| Weighted                average common shares outstanding - Basic                                                        |   |                                                                                     | **6,962,802**  |   |   | 6,884,169 |   |
|                                                                                                                     |   |                                                                                     |           |   |   |   |   |
| Weighted                average common shares outstanding - Diluted                                                      |   |                                                                                     | **6,962,802**  |   |   | 6,884,169 |   |

*See      Accompanying Notes to Consolidated Financial Statements*

----

**MISONIX,      INC.**

**CONSOLIDATED      STATEMENT OF STOCKHOLDERS’ EQUITY**

**(UNAUDITED)**

|                                                   |   | Common                Stock,$.01                Par Value   |      | Treasury                Shares  |   |                                                |   |   |    |                                     |   |                               |   |
|--------------------------------------------------------|--------|-----------------------------------------------------------------------|-----------|--------------------------------------|--------|------------------------------------------------|--------|--------|---------|------------------------------------------|--------|------------------------------------|--------|
|                                                   |   | Number                of                shares                        |      | Amount                               |   | Number                of                shares |   | Amount |    | Additionalpaid-in                capital |   | Accumulated                deficit |   | Accumulated other                comprehensive income |   | Total                stockholders’ equity |   |
| Balance,                June 30, 2006                  |   |                                                                  | 6,978,169 |                                 | $      | 69,782                                         |   |   | (77,800 | )                                        |   | ($412,424                          | )      | $ | 24,548,536 |   |   | ($2,158,271 | ) | $ | 207,183 |   | $ | 22,254,806 |   |
| Net                Loss                                |   |                                                                  |      |                                 |   |                                           |   |   |    |                                     |   |                               |   |   |   |   |   | (1,047,898 | ) |   |   |   |   | (1,047,898 | ) |
| Foreign                currency translation adjustment |   |                                                                  |      |                                 |   |                                           |   |   |    |                                     |   |                               |   |   |   |   |   |   |   |   | 268,175 |   |   | 268,175 |   |
| Comprehensive                loss                      |   |                                                                  |      |                                 |   |                                           |   |   |    |                                     |   |                               |   |   |   |   |   |   |   |   |   |   |   | (779,723 | ) |
| Exercise                of employee stock options      |   |                                                                  | 101,000   |                                 |   | 1,010                                          |   |   |    |                                     |   |                               |   |   | 133,560 |   |   |   |   |   |   |   |   | 134,570 |   |
| Stock-based                compensation                |   |                                                                  |      |                                 |   |                                           |   |   |    |                                     |   |                               |   |   | 140,341 |   |   |   |   |   |   |   |   | 140,341 |   |
| Balance,                March 31, 2007                 |   |                                                                  | 7,079,169 |                                 | $      | 70,792                                         |   |   | (77,800 | )                                        |   | ($412,424                          | )      | $ | 24,822,437 |   |   | ($3,206,169 | ) | $ | 475,358 |   | $ | 21,749,994 |   |

*See      Accompanying Notes to Consolidated Financial Statements*

----

**MISONIX,      INC.**

**CONSOLIDATED      STATEMENTS OF CASH FLOWS**

**(UNAUDITED)**

|                                                                                                      |   |  **For                the nine months ended** **March                31,** |            |
|-----------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------|-----------------|
|                                                                                                      |   | **2007**                                                                             |            | 2006 |   |
| **Operating                activities**                                                                   |   |                                                                                 |            |   |   |
| Net                loss                                                                                   |   |                                                                                 | **($1,047,898** | **)** |   | ($2,641,586 | ) |
| Adjustments                to reconcile net loss to net cash used in operating activities:                |   |                                                                                 |            |   |   |   |   |
| Depreciation                and amortization and other non cash items                                     |   |                                                                                 | **1,467,533**   |   |   | 941,681 |   |
| Bad                debt expense                                                                           |   |                                                                                 | **81,807**      |   |   | 209,084 |   |
| Deferred                income tax benefit                                                                |   |                                                                                 | **(739,076**    | **)** |   | (169,554 | ) |
| Loss                on disposal of equipment                                                              |   |                                                                                 | **117,054**     |   |   | 141,857 |   |
| Minority                interest in net (loss) income of subsidiaries                                     |   |                                                                                 | **(12,819**     | **)** |   | 12,659 |   |
| Stock-based                compensation                                                                   |   |                                                                                 | **140,341**     |   |   | 440,060 |   |
| Deferred                income                                                                            |   |                                                                                 | **(75,013**     | **)** |   | (135,160 | ) |
| Deferred                leasehold costs                                                                   |   |                                                                                 | **17,791**      |   |   | — |   |
| Other                                                                                                     |   |                                                                                 | **—**     |   |   | 6,131 |   |
| Changes                in operating assets and liabilities:                                               |   |                                                                                 |            |   |   |   |   |
| Accounts                receivable                                                                        |   |                                                                                 | **(1,369,184**  | **)** |   | 4,166,860 |   |
| Inventories                                                                                               |   |                                                                                 | **(847,951**    | **)** |   | (1,633,752 | ) |
| Income                tax receivable                                                                      |   |                                                                                 | **826,813**     |   |   | (771,716 | ) |
| Prepaid                expenses and other current assets                                                  |   |                                                                                 | **(174,766**    | **)** |   | (141,308 | ) |
| Other                assets                                                                               |   |                                                                                 | **(803,461**    | **)** |   | (98,064 | ) |
| Accounts                payable and accrued expenses                                                      |   |                                                                                 | **(40,726**     | **)** |   | (1,103,353 | ) |
| Foreign                income taxes payable                                                               |   |                                                                                 | **39,894**      |   |   | — |   |
| Net                cash used in operating activities                                                      |   |                                                                                 | **(2,419,661**  | **)** |   | (776,161 | ) |
|                                                                                                      |   |                                                                                 |            |   |   |   |   |
| **Investing                activities**                                                                   |   |                                                                                 |            |   |   |   |   |
| Acquisition                of property, plant and equipment                                               |   |                                                                                 | **(559,279**    | **)** |   | (737,690 | ) |
| Net                cash used in investing activities                                                      |   |                                                                                 | **(559,279**    | **)** |   | (737,690 | ) |
|                                                                                                      |   |                                                                                 |            |   |   |   |   |
| **Financing                activities**                                                                   |   |                                                                                 |            |   |   |   |   |
| Proceeds                from short-term borrowings                                                        |   |                                                                                 | **5,648,062**   |   |   | 672,746 |   |
| Payments                of short-term borrowings                                                          |   |                                                                                 | **(2,302,175**  | **)** |   | (1,008,686 | ) |
| Principal                payments on capital lease obligations                                            |   |                                                                                 | **(273,066**    | **)** |   | (325,087 | ) |
| Proceeds                from exercise of stock options                                                    |   |                                                                                 | **134,570**     |   |   | 381,511 |   |
| Income                tax benefit - stock options                                                         |   |                                                                                 | **—**     |   |   | (39,841 | ) |
| Payments                of long-term debt                                                                 |   |                                                                                 | **(44,556**     | **)** |   | (44,039 | ) |
| Net                cash provided by (used in) financing activities                                        |   |                                                                                 | **3,162,835**   |   |   | (363,396 | ) |
|                                                                                                      |   |                                                                                 |            |   |   |   |   |
| Effect                of exchange rate changes on cash                                                    |   |                                                                                 | **7,703**       |   |   | (1,132 | ) |
| Net                increase (decrease) in cash                                                            |   |                                                                                 | **191,598**     |   |   | (1,878,379 | ) |
| Cash                at beginning of period                                                                |   |                                                                                 | **675,400**     |   |   | 2,484,534 |   |
| Cash                at end of period                                                                      |   | **$**                                                                                | **866,998**     |   | $ | 606,155 |   |
|                                                                                                      |   |                                                                                 |            |   |   |   |   |
| **Supplemental                disclosure of cash flow information:**                                      |   |                                                                                 |            |   |   |   |   |
| Cash                paid for:                                                                             |   |                                                                                 |            |   |   |   |   |
| Interest                                                                                                  |   | **$**                                                                                | **330,621**     |   | $ | 168,629 |   |
| Income                taxes (refunds of $785,097, net of payments of $22,788 in                2007)      |   |                                                                                 | **($762,309**   | **)** | $ | 40,804 |   |
| **Supplemental                disclosure of non cash investing and financing                activities:** |   |                                                                                 |            |   |   |   |   |
| Capital                lease additions                                                                    |   | **$**                                                                                | **133,146**     |   | $ | 319,657 |   |
| Inventory                transferred to property, plant and equipment                                     |   | **$**                                                                                | **413,567**     |   |   | — |   |

*See      Accompanying Notes to Consolidated Financial Statements*

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**MISONIX,      INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS**

| 1. | Basis                of Presentation |
|----|--------------------------------------|

| 2. | Net                Loss Per Share |
|----|-----------------------------------|

| 3. | Comprehensive                  Loss |
|----|-------------------------------------|

| 4. | Stock-Based                Compensation |
|----|-----------------------------------------|

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**MISONIX,      INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS**

|                                                                         | March                31,   |
|------------------------------------------------------------------------------|----------------------------|
|                                                                         | **2007**                   |   | 2006 |
| Risk-free                interest rate                                       | **4.67%**                  |   | 4.43% |
| Expected                life                                                 | **6                years** |   | 5.7                years |
| Expected                volatility                                           | **53.8%**                  |   | 54.7% |
| Expected                dividend yield                                       | **0%**                     |   | 0% |
| Weighted-average                fair value of options                granted | **$2.57**                  |   | $3.82 |

----

**MISONIX,      INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS**

|                                                            |   | Options |      | Weighted                AverageExercise                Price |   | Weighted                Average Remaining Contractual Term                (yrs.) |   | Aggregate                Intrinsic                Value |   |
|-----------------------------------------------------------------|--------|---------|-----------|--------------------------------------------------------------|--------|----------------------------------------------------------------------------------|--------|---------------------------------------------------------|--------|
| Outstanding                at June 30, 2006                     |   |    | 1,837,973 |                                                         | $      | 5.72                                                                             |   |                                                    | 5.7    |   |   |   |   |
| Granted                                                         |   |    | 127,400   |                                                         |   | 4.61                                                                             |   |                                                    |   |   |   |   |   |
| Exercised                                                       |   |    | (101,000  | )                                                            |   | 1.33                                                                             |   |                                                    |   |   |   |   |   |
| Forfeited                                                       |   |    | (28,277   | )                                                            |   | 6.81                                                                             |   |                                                    |   |   |   |   |   |
| Expired                                                         |   |    | (7,500    | )                                                            |   | 4.00                                                                             |   |                                                    |   |   |   |   |   |
| Outstanding                at March 31, 2007                    |   |    | 1,828,596 |                                                         | $      | 5.88                                                                             |   |                                                    | 5.7    |   | $ | 519,385 |   |
| Options                vested and exercisable at March 31, 2007 |   |    | 1,634,163 |                                                         | $      | 5.92                                                                             |   |                                                    | 5.3    |   | $ | 419,825 |   |
| Options                available for grant at March 31, 2007    |   |    | 672,823   |                                                         |   |                                                                             |   |                                                    |   |   |   |   |   |

| 5. | Inventories |
|----|-------------|

|                                  |   | **March                31, 2007** |           | June                30, 2006 |   |
|---------------------------------------|--------|-----------------------------------|----------------|------------------------------|--------|
| Raw                material           |   | **$**                             | **6,338,758**  |                         | $      | 5,702,171 |   |
| Work-in-process                       |   |                              | **2,846,779**  |                         |   | 2,250,826 |   |
| Finished                goods         |   |                              | **5,356,427**  |                         |   | 5,456,684 |   |
|                                  |   |                              | **14,541,964** |                         |   | 13,409,681 |   |
| Less                valuation reserve |   |                              | **2,339,508**  |                         |   | 2,102,455 |   |
|                                  |   | **$**                             | **12,202,456** |                         | $      | 11,307,226 |   |

| 6. | Accrued                Expenses and Other Current                Liabilities |
|----|------------------------------------------------------------------------------|

|                                                            |   | **March                31, 2007**  |          | June              30, 2006 |   |
|-----------------------------------------------------------------|--------|-----------------------------------------|---------------|----------------------------|--------|
| Customer                deposits and current deferred contracts |   | **$**                                   | **840,902**   |                       | $      | 870,760 |   |
| Accrued                payroll and vacation                     |   |                                    | **685,315**   |                       |   | 549,933 |   |
| Accrued                VAT and sales tax                        |   |                                    | **213,226**   |                       |   | 94,813 |   |
| Accrued                commissions and bonuses                  |   |                                    | **593,971**   |                       |   | 446,165 |   |
| Accrued                professional and legal fees              |   |                                    | **69,483**    |                       |   | 208,650 |   |
| Litigation                expense                               |   |                                    | **419,000**   |                       |   | 419,000 |   |
| Other                                                           |   |                                    | **503,293**   |                       |   | 374,441 |   |
|                                                            |   | **$**                                   | **3,325,190** |                       | $      | 2,963,762 |   |

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**MISONIX,      INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS**

| 7. | Revolving                Credit Facilities |
|----|--------------------------------------------|

----

| 8. | Commitments                and Contingencies |
|----|----------------------------------------------|

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**MISONIX,      INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS**

| 9. | Business                Segments |
|----|----------------------------------|

|                                               |   | **Medical****Device Products** |       | **Laboratory                  and****Scientific Products** |   | **Corporate                  and****Unallocated** |   | **Total** |        |
|----------------------------------------------------|--------|--------------------------------|------------|------------------------------------------------------------|--------|---------------------------------------------------|--------|-----------|-------------|
| Net                  sales                         |   | $                              | 17,082,915 |                                                       | $      | 13,782,973                                        |   | $         | —     |   | $ | 30,865,888 |   |
| Cost                  of goods sold                |   |                           | 9,595,991  |                                                       |   | 8,091,279                                         |   |      | —     |   |   | 17,687,270 |   |
| Gross                  profit                      |   |                           | 7,486,924  |                                                       |   | 5,691,694                                         |   |      | —     |   |   | 13,178,618 |   |
| Selling                  expenses                  |   |                           | 3,701,453  |                                                       |   | 1,823,333                                         |   |      | —     |   |   | 5,524,786 |   |
| Research                  and development expenses |   |                           | 1,503,853  |                                                       |   | 880,050                                           |   |      | —     |   |   | 2,383,903 |   |
| General                  and administrative        |   |                           | —    |                                                       |   | —                                           |   |      | 7,321,668   |   |   | 7,321,668 |   |
| Total                  operating expenses          |   |                           | 5,205,306  |                                                       |   | 2,703,383                                         |   |      | 7,321,668   |   |   | 15,230,357 |   |
| Income                  (loss) from operations     |   | $                              | 2,281,618  |                                                       | $      | 2,988,311                                         |   |      | ($7,321,668 | ) |   | ($2,051,739 | ) |

|                                                     |   | **Medical****Device Products** |      | **Laboratory                and****Scientific Products** |   | **Corporate                and****Unallocated** |   | **Total** |        |
|----------------------------------------------------------|--------|--------------------------------|-----------|----------------------------------------------------------|--------|-------------------------------------------------|--------|-----------|-------------|
| Net                sales                       |   | $                              | 6,031,451 |                                                     | $      | 4,552,473                                       |   | $         | —     |   | $ | 10,583,924 |   |
| Cost                of goods sold         |   |                           | 3,415,415 |                                                     |   | 2,708,512                                       |   |      | —     |   |   | 6,123,927 |   |
| Gross                profit                              |   |                           | 2,616,036 |                                                     |   | 1,843,961                                       |   |      | —     |   |   | 4,459,997 |   |
| Selling                expenses           |   |                           | 1,357,631 |                                                     |   | 645,799                                         |   |      | —     |   |   | 2,003,430 |   |
| Research                and development expenses         |   |                           | 454,827   |                                                     |   | 280,691                                         |   |      | —     |   |   | 735,518 |   |
| General                and administrative                |   |                           | —   |                                                     |   | —                                         |   |      | 2,614,237   |   |   | 2,614,237 |   |
| Total                operating expenses                  |   |                           | 1,812,458 |                                                     |   | 926,490                                         |   |      | 2,614,237   |   |   | 5,353,185 |   |
| Income                (loss) from operations   |   | $                              | 803,578   |                                                     | $      | 917,471                                         |   |      | ($2,614,237 | ) |   | ($893,188 | ) |

----

**MISONIX,      INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS**

|                                                     |   | **Medical****Device Products** |       | **Laboratory                and****Scientific Products** |   | **Corporate                and****Unallocated** |   | **Total** |        |
|----------------------------------------------------------|--------|--------------------------------|------------|----------------------------------------------------------|--------|-------------------------------------------------|--------|-----------|-------------|
| Net                sales                       |   | $                              | 15,526,996 |                                                     | $      | 14,022,740                                      |   | $         | —     |   | $ | 29,549,736 |   |
| Cost                of goods sold         |   |                           | 8,967,482  |                                                     |   | 9,329,200                                       |   |      | —     |   |   | 18,296,682 |   |
| Gross                profit                              |   |                           | 6,559,514  |                                                     |   | 4,693,540                                       |   |      | —     |   |   | 11,253,054 |   |
| Selling                expenses           |   |                           | 3,127,838  |                                                     |   | 1,886,272                                       |   |      | —     |   |   | 5,014,110 |   |
| Research                and development expenses         |   |                           | 1,686,533  |                                                     |   | 1,052,510                                       |   |      | —     |   |   | 2,739,043 |   |
| General                and administrative                |   |                           | —    |                                                     |   | —                                         |   |      | 7,528,168   |   |   | 7,528,168 |   |
| Total                operating expenses                  |   |                           | 4,814,371  |                                                     |   | 2,938,782                                       |   |      | 7,528,168   |   |   | 15,281,321 |   |
| Income                (loss) from operations   |   | $                              | 1,745,143  |                                                     | $      | 1,754,758                                       |   |      | ($7,528,168 | ) |   | ($4,028,267 | ) |

|                                                     |   | **Medical****Device Products** |      | **Laboratory                and****Scientific Products** |   | **Corporate                and****Unallocated** |   | **Total** |        |
|----------------------------------------------------------|--------|--------------------------------|-----------|----------------------------------------------------------|--------|-------------------------------------------------|--------|-----------|-------------|
| Net                sales                       |   | $                              | 5,082,180 |                                                     | $      | 5,087,598                                       |   | $         | —     |   | $ | 10,169,778 |   |
| Cost                of goods sold         |   |                           | 2,856,373 |                                                     |   | 3,360,403                                       |   |      | —     |   |   | 6,216,776 |   |
| Gross                profit                              |   |                           | 2,225,807 |                                                     |   | 1,727,195                                       |   |      | —     |   |   | 3,953,002 |   |
| Selling                expenses           |   |                           | 1,237,229 |                                                     |   | 528,410                                         |   |      | —     |   |   | 1,765,639 |   |
| Research                and development expenses         |   |                           | 587,535   |                                                     |   | 387,772                                         |   |      | —     |   |   | 975,307 |   |
| General                and administrative                |   |                           | —   |                                                     |   | —                                         |   |      | 2,502,626   |   |   | 2,502,626 |   |
| Total                operating expenses                  |   |                           | 1,824,764 |                                                     |   | 916,182                                         |   |      | 2,502,626   |   |   | 5,243,572 |   |
| Income                (loss) from operations   |   | $                              | 401,043   |                                                     | $      | 811,013                                         |   |      | ($2,502,626 | ) |   | ($1,290,570 | ) |

|                             |   | Nine                Months  |           | Three                Months |   |
|----------------------------------|--------|----------------------------------|----------------|-----------------------------|--------|
|                             |   | **2007**                         |           | 2006                        |   | **2007** |   | 2006 |   |
| United                States     |   | **$**                            | **17,913,069** |                        | $      | 18,629,700 |   | **$** | **5,988,210** |   | $ | 5,978,889 |   |
| United                Kingdom    |   |                             | **8,275,812**  |                        |   | 6,915,710 |   |   | **2,835,142** |   |   | 2,612,004 |   |
| Europe                           |   |                             | **2,536,617**  |                        |   | 1,748,641 |   |   | **843,923** |   |   | 608,701 |   |
| Asia                             |   |                             | **1,394,017**  |                        |   | 1,031,670 |   |   | **640,683** |   |   | 433,279 |   |
| Canada                and Mexico |   |                             | **331,296**    |                        |   | 515,986 |   |   | **149,163** |   |   | 280,221 |   |
| Middle                East       |   |                             | **87,413**     |                        |   | 268,640 |   |   | **31,176** |   |   | 138,085 |   |
| Other                            |   |                             | **327,664**    |                        |   | 439,389 |   |   | **95,627** |   |   | 118,599 |   |
|                             |   | **$**                            | **30,865,888** |                        | $      | 29,549,736 |   | **$** | **10,583,924** |   | $ | 10,169,778 |   |

----

**MISONIX,      INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS**

| 10. | Effects                of Recently Issued Accounting                Pronouncements |
|-----|------------------------------------------------------------------------------------|

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**MISONIX,      INC.**

**NOTES      TO CONSOLIDATED FINANCIAL STATEMENTS**

----

**MISONIX,      INC.**

**MANAGEMENT’S      DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND**

**RESULTS      OF OPERATIONS**

**Item      2. Management’s Discussion and Analysis of Financial Condition and Results of      Operations.**

**Net      sales**

**Gross      profit:**

**Selling      expenses:**

----

**MISONIX,      INC.**

**MANAGEMENT’S      DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND**

**RESULTS      OF OPERATIONS**

**General      and administrative expenses**

**Research      and development expenses**

**Other      income (expense):**

**Income      taxes:**

**Net      sales**

----

**MISONIX,      INC.**

**MANAGEMENT’S      DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND**

**RESULTS      OF OPERATIONS**

**Gross      profit:**

**Selling      expenses**
**:      **

**General      and administrative expenses**

**Research      and development expenses**

**Other      income (expense):**

**Income      taxes:**

**Critical      Accounting Policies:**

----

**MISONIX,      INC.**

**MANAGEMENT’S      DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND**

**RESULTS      OF OPERATIONS**

**Forward      Looking Statements**

**Liquidity      and Capital Resources**

**Revolving      Credit Facilities**

----

**MISONIX,      INC.**

**MANAGEMENT’S      DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF      OPERATIONS**

----

**Off-Balance      Sheet Arrangements**

**Other**

----

**MISONIX,      INC.**

**Item      3. Quantitative and Qualitative Disclosures About Market      Risk.**

*Market      Risk:*

*Foreign      Exchange Rates:*

*Interest      Rate Risk*

**Item      4. Controls and Procedures.**

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**MISONIX,      INC.**

**PART      II - **
**OTHER      INFORMATION**

**Item      1A.**
**Risk      Factors.**

**Item      6.**
**Exhibits.**

----

**SIGNATURES**

|         |                                                                                       |                                     |
|--------------|--------------------------------------------------------------------------------------------|------------------------------------------|
|         | MISONIX,                INC.(Registrant)                                                   |
|    |                                                                                  |                                |
|              | By:                                                                              | /s/              Michael A. McManus, Jr. |
|         | Michael                A. McManus, Jr.President                and Chief Executive Officer |

|   |                                                                                                                                     |                             |
|--------|------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------|
|        | By:                                                                                                                            | /s/              Richard Zaremba |
|   | Richard                  ZarembaSenior                  Vice President, Chief Financial Officer,Treasurer                  and Secretary |

----