UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-QSB

(Mark One)

[X]             QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934



For the quarterly period ended: April 30, 2004

Or



[  ]            TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934



For the transition period from ____________ to _____________







MEGOLA, INC.

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

(EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)





Nevada                            88-0492605

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

(STATE OR OTHER JURISDICTION              (IRS EMPLOYER

OF                           INDENTIFICATION NO.)

INCORPORATION OR ORGANIZATION)





SEC File Number:  000-49815







446 Lyndock St., Suite 102

N0N 1G0
Corunna, ON



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

(Address of Principal                       (Zip Code)

Executive Offices)



Registrant's telephone number, including area code: Tel: (519) 481-0628





SuperiorClean, Inc.

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

(Former Name or Former Address, if Changed Since Last Report)





1183 S. Huron Street, Denver,

Colorado                             80223

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

(Address of Principal Executive Offices)          (Zip Code)







Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.



Yes [] No [X]



APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS                  DURING THE PRECEDING FIVE YEARS:     Indicate by check mark whether the registrant has filed all  documents and reports required to be filed by Sections 12, 13 or   15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court.                           Yes [ ] No [ ]



APPLICABLE ONLY TO CORPORATE ISSUERS:  Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date: 25,764,549







-i-

---





Megola, Inc.





Table of Contents







Item 1. Unaudited Financial Statements

3

Item 2. Management's Discussion and Plan of Operation

8

Forward-Looking Statements

8

Item 3. Controls and Procedures

10

PART II - OTHER INFORMATION

13

Item 1.  Legal Proceedings

13

Item 2.  Changes in Securities

13

Item 3. Defaults upon Senior Securities.

14

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

14

Item 5. Other Information.

14

Item 6. Exhibits

14























-ii-

---



PART I - FINANCIAL INFORMATION

Item 1. Unaudited Financial Statements



MEGOLA, INC.

BALANCE SHEET

As of April 30, 2004

(Unaudited)



|ASSETS                                                   |          
|-------------------------------------------------------- | ---------
|                                                         |          
|Current Assets                                           |          
|Cash                                                     | $      14
|Accounts receivable, net of $0 allowance                 | 52,131   
|Inventory                                                | 75,151   
|Other                                                    | 7,354    
|                                                         |          
|Total Current Assets                                     | 134,650  
|                                                         |          
|Fixed assets, net of $27,208 accumulated depreciation    | 20,389   
|                                                         |          
|                                                         | $ 155,039
|                                                         |          
|                                                         |          
|                                                         |          
|LIABILITIES AND STOCKHOLDERS DEFICIT                    |          
|                                                         |          
|Current Liabilities                                      |          
|Bank lines of credit                                     | $  44,524
|Current portion of installment note payable              | 5,803    
|Accounts payable                                         | 79,951   
|Accrued expenses                                         | 37,649   
|Notes payable to related parties                         | 203,939  
|                                                         |          
|Total Current Liabilities                                | 371,866  
|                                                         |          
|Long-term portion of installment note payable            | 3,500    
|                                                         |          
|                                                         | 375,366  
|                                                         |          
|Commitments                                              |          
|                                                         |          
|Stockholders Deficit                                    |          
|Preferred stock, $.001 par, 5,000,000 shares authorized, |          
|no shares issued or outstanding                          |          
|Common stock, $.001 par value, 50,000,000 shares         |          
|authorized, 25,764,549 shares issued and outstanding     | 25,765   
|Paid in capital                                          | 735,593  
|Accumulated deficit                                      | (980,757)
|Accumulated other comprehensive loss                     |          
|- foreign currency translation                           | (928)    
|                                                         |          
|Total Stockholders Deficit                              | (220,327)
|                                                         |          
|                                                         | $ 155,039













-3-

---

MEGOLA, INC.

STATEMENTS OF OPERATIONS

For the Three- and Nine-Month Periods

Ended April 30, 2004 and 2003

(Unaudited)





|                         | Three Months Ended | Nine Months Ended
|------------------------ | ------------------ | -----------------
|                         | April 30,          | April 30,        
|                         | 2004               | 2003             
|                         |                    |                  
|Revenue                  | $  80,817          | $ 42,216         
|                         |                    |                  
|Cost of sales            | 56,185             | 29,515           
|Selling                  | 2,668              | 4,232            
|General & administrative | 44,956             | 54,842           
|Depreciation             | 5,957              | 2,496            
|Bad debts                | 25,770             |                  
|Common stock issued for  |                    |                  
|Services                 |                    |                  
|Impairment of cost of    |                    |                  
|public shell             |                    |                  
|Interest                 | 938                | 54               
|                         |                    |                  
|Total expenses           | 136,474            | 91,085           
|                         |                    |                  
|NET LOSS                 | $( 55,657)         | $(48,869)        
|                         |                    |                  
|                         |                    |                  
|                         |                    |                  
|Basic and diluted loss   |                    |                  
|per share                | $(.00)             | $(.00)           
|                         |                    |                  
|Weighted average shares  |                    |                  
|Outstanding              | 25,764,549         | 13,389,591       





























-4-



---

MEGOLA, INC.

STATEMENTS OF CASH FLOW

For the Nine Months Ended April 30, 2004 and 2003

(Unaudited)



|                                              | 2004      | 2003     
|--------------------------------------------- | --------- | ---------
|                                              |           |          
|Cash Flows Used in Operating Activities       |           |          
|Net loss                                      | $(706,917 | $(92,568)
|Adjustments to reconcile net loss to net cash |           |          
|used in operating activities:                 |           |          
|Impairment of cost of public shell            | 457,183   |          
|Shares issued for services                    | 125,000   |          
|Depreciation                                  | 9,417     | 5,193    
|Changes in:                                   |           |          
|Accounts receivable                           | ( 38,312) | ( 15,455)
|Inventory                                     | ( 31,861) | (  5,095)
|Other current assets                          | (  4,442) | (  2,072)
|Accounts payable                              | 78,805    | 3,041    
|Accrued expenses                              | 6,917     | 10,298   
|                                              |           |          
|Net Cash Used in Operating Activities         | (104,210) | ( 96,658)
|                                              |           |          
|Cash Flows Used in Investing Activities       |           |          
|Deposit made toward cost of public shell      | ( 51,465) |          
|Purchase of fixed assets                      | ( 20,829) |          
|                                              |           |          
|Net Cash Used in Investing Activities         | ( 72,294) |          
|                                              |           |          
|Cash Flows From Financing Activities          |           |          
|Loans from investors                          | 198,332   | 48,530   
|Repurchase of shares from a shareholder       | ( 35,680) |          
|Payments on installment note payable          | (  3,907) | (  2,738)
|Increase (decrease) in bank line of credit    | 12,335    | 1,141    
|Sale of common stock                          |           | 67,832   
|Sale of preferred stock                       |           | 12,615   
|                                              |           |          
|                                              | 171,080   | 127,380  
|                                              |           |          
|Effect of Exchange Rate Changes on Cash       | 2,477     | (  1,589)
|                                              |           |          
|Net increase (decrease) in cash               | (  2,947) | 29,133   
|                                              |           |          
|Cash at beginning of period                   | 2,961     | 6,401    
|                                              |           |          
|Cash at end of period                         | $      14 | $  35,534























-5-

---

MEGOLA, INC.

NOTES TO FINANCIAL STATEMENTS





NOTE 1 - BASIS OF PRESENTATION



The accompanying unaudited interim financial statements of Megola, Inc. (“Megola”) have been prepared in accordance with accounting principles generally accepted in the United States of America and the rules of the Securities and Exchange Commission (SEC), and should be read in conjunction with the audited financial statements and notes thereto contained in Megolas latest annual report filed with the SEC on Form 8-K/A.  In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of financial position and the results of operations for the interim periods presented have been reflected herein.  The results of operations for interim periods are not necessarily indicative of the results to be expected for the full year.  Notes to the financial statements which would substantially duplicate the disclosure contained in the audited financial statements for fiscal year 2003, as reported in the 8-K/A, have been omitted.





NOTE 2 - COMMON STOCK



On November 26, 2003, Megola was acquired by SuperiorClean, Inc. in a transaction accounted for as a reverse acquisition.  Megolas shareholders were issued 13,389,591 SuperiorClean shares in exchange for 100% of the outstanding common and preferred stock of Megola, plus $250,000 in cash, $200,000 in notes payable and 500,000 common shares were given to the 2 largest shareholders of SuperiorClean as additional compensation.  750,000 shares were issued to two other persons for services rendered.  Immediately after this transaction, SuperiorClean had 21,728,593 shares outstanding.  The former owners of Megola now own 61.6% of the combined entity.  Prior to the merger, SuperiorClean had no assets or operations.



As of July 31, 2003, $196,566 had been paid by Megola towards this acquisition   This amount was shown as a current asset at this date, and was written off as an impairment expense in November 2003.



On December 31, 2003, $391,985 in investor notes payable and $8,132 in accrued interest were exchanged for 4,035,956 common shares.





NOTE 3 - SEGMENT REPORTING



Megola sells in the U.S. and China as well as in Canada, and has two reportable geographic segments, with summary information as follows:



United States

International

Combined

-----------

-----------

-----------

Nine Months ended April 30, 2004

Revenues

$  7,283

$173,506

$180,789

Net loss

4,000

702,917

706,917

Nine Months ended April 30, 2003

Revenues

0

137,484

137,484

Net loss

0

92,568

92,568



-6-

---



Item 2. Management's Discussion and Plan of Operation

Forward-Looking Statements



This  Quarterly  Report  contains  forward-looking statements about   Megola,  Inc.'s  business, financial condition  and prospects that reflect management's assumptions  and beliefs  based on information currently available.  We can give  no assurance  that  the expectations indicated by such forward-looking statements  will   be  realized. If  any  of  our management's assumptions  should prove incorrect, or if any  of  the risks  and uncertainties  underlying  such  expectations  should materialize, Megolas actual results may  differ materially from those indicated by the forward-looking statements.



The  key factors that are not within our control and that  may have  a  direct bearing on operating results include, but are  not limited  to, acceptance of our services, our ability to expand  our customer base, managements' ability to raise capital in the future, the retention of key employees and changes in the regulation of our industry.



There may be other risks and circumstances that management may be  unable  to predict.  When used in this Quarterly Report, words such    as,     "believes,"    "expects,"   "intends," "plans," "anticipates,"  "estimates" and similar expressions are intended to identify forward-looking statements, as defined in Section 21E of the Securities Exchange Act of 1934, although there may be certain forward-looking statements not accompanied by such expressions.



The  safe  harbors of forward-looking statements provided  by Section 21E of the Exchange Act are unavailable to issuers of penny stock. As we issued securities at a price below $5.00 per share, our  shares  are considered penny stock and such safe harbors  set forth under the Reform Act are unavailable to us.



General



Megola, Inc. was incorporated in Ontario, Canada on August 28, 2000 as Corporation No. 1375595.  It was renamed Megola, Inc. on December 21, 2001.  Megola was formed to sell physical water treatment devices to commercial end-users in the United States, Canada and other international locations under a license granted by the German manufacturer, Megola GmbH.  Initial operations and sales began in October 2000.



On November 26, 2003, Megola was acquired by SuperiorClean, Inc. in a transaction accounted for as a reverse acquisition.  Megolas shareholders were issued 13,389,591 SuperiorClean shares in exchange for 100% of the outstanding common and preferred stock of Megola, plus $250,000 in cash and $200,000 in notes payable.  Two major shareholders of SuperiorClean and two other persons then signed consulting contracts for 1,250,000 common shares.  Prior to the merger, SuperiorClean had no assets or operations.



-7-



---

|                               | Three Months
      Ended | Nine Months
      Ended
|------------------------------ | ------------------------ | -----------------------
|                               | April 30,                | April 30,              
|                               | 2004                     | 2003                   
|                               |                          |                        
|Revenue                        | $  80,817                | $ 42,216               
|                               |                          |                        
|Cost of sales                  | 56,185                   | 29,515                 
|Selling                        | 2,668                    | 4,232                  
|General &
      administrative | 44,956                   | 54,842                 
|Depreciation                   | 5,957                    | 2,496                  
|Bad debts                      | 25,770                   |                        
|Common stock issued for        |                          |                        
|Services                       |                          |                        
|Impairment of cost of          |                          |                        
|public shell                   |                          |                        
|Interest                       | 938                      | 54                     
|                               |                          |                        
|Total
      expenses           | 136,474                  | 91,085                 
|                               |                          |                        
|NET LOSS                       | $( 55,657)               | $(48,869)              
|                               |                          |                        



Three months ended April 30, 2004 vs. Three months ended April 30, 2003.



Our revenues for the three months ended April 30, 2004 vs. three months ended April 30, 2003 increased   91.44% from $42,216 to $80,817 because of the increased sales the Company had with customers located in China, Singapore and Indonesia.



Our cost of sales for the three months ended April 30, 2004 vs. three months ended April 30, 2003 increased 52.53% from $29,515 to $56,185 because of the addition of sales staff, cost of extra raw materials and because of the sharp decline in the exchange rate between the Canadian Dollar and the Euro, as our raw material purchases are made in Euros.



Our selling expenses for the three months ended April 30, 2004 vs. three months ended April 30, 2003 decreased 36.96% from $4,232 to $2,668 because of the decreased costs in advertising & promotion.



Our general and administrative expenses for the three months ended April 30, 2004 vs. three months ended April 30, 2003 decreased 18.03% from $54,842 to $44,956 because of the decrease in professional fees for this period.



Our depreciation for the three months ended April 30, 2004 vs. three months ended April 30, 2003 increased 138.66% from $2,496 to $5,957 because of new equipment purchases.



Our common stock for services for the three months ended April 30, 2004 vs. three months ended April 30, 2003 had no change.



-8-

---

Our impairment cost of public shell for the three months ended April 30, 2004 vs. three months ended April 30, 2003 had no change from $0 to $0.



Our interest expense for the three months ended April 30, 2004 vs. three months ended April 30, 2003 increased 1,637% from $54 to $938 because the Companys increased use of its line of credit.



Accordingly, our net loss for the three months ended April 30, 2004 vs. three months ended April 30, 2003 increased 13.89% from $48,869 to $55,657.



Nine months ended April 30, 2004 vs. Nine months ended April 30, 2003.



Our revenues for the nine months ended April 30, 2004 vs. nine months ended April 30, 2003 increased 31.50% from $137,484 to $180,789 because of the increased sales the Company had with customers located in China, Singapore and Indonesia.



Our cost of sales for the nine months ended April 30, 2004 vs. nine months ended April 30, 2003 increased 90.86% from $48,559 to $92,681 because of the addition of sales staff, cost of extra raw materials and because of the sharp decline in the exchange rate between the Canadian Dollar and the Euro, as our raw material purchases are made in Euros.



Our selling expenses for the nine months ended April 30, 2004 vs. nine months ended April 30, 2003 decreased 20.59% from $15,412 to $12,239 because of the decrease in advertising & promotion.



Our general and administrative expenses for the nine months ended April 30, 2004 vs. nine months ended April 30, 2003 decreased 2.72% to $160,282 from $155,921 because of the decrease in professional fees during the end of this period.



Our depreciation for the nine months ended April 30, 2004 vs. nine months ended April 30, 2003 increased 91.91% from $4,907 to $9,417 because of new equipment purchases.



Our common stock for services for the nine months ended April 30, 2004 vs. nine months ended April 30, 2003 increased from $0 to $125,000 because the Company issued shares to Consultants and employees for services during this period.





-9-

---





Our impairment cost of public shell for the nine months ended April 30, 2004 vs. nine months ended April 30, 2003 increased from $0 to $457,183 because of the cost associated to the reverse acquisition.



Our interest expense for the nine months ended April 30, 2004 vs. nine months ended April 30, 2003 increased 964.46% from $892 to $9,495 because the Companys increased use of its line of credit.



Accordingly, our net loss for the nine months ended April 30, 2004 vs. nine months ended April 30, 2003 increased 663.67% from $92,568 to $706,917.



Segment Reporting



Megola sells in the U.S. and China as well as in Canada, and has two reportable geographic segments, with summary information as follows:



United States

International

Combined

-----------

-----------

-----------

Nine Months ended April 30, 2004

Revenues

$  7,283

$173,506

$180,789

Net loss

4,000

702,917

706,917

Nine Months ended April 30, 2003

Revenues

0

137,484

137,484

Net loss

0

92,568

92,568



As we increase sales efforts in the US, we hope our US sales continue to increase, although there is no assurance they will.



Liquidity and Capital Resources



At April 30, 2004, we had a deficit of $162,707.  We had $14 of cash available as of April 30, 2004.  We also had $52,131 of accounts receivable as of that date.  Assuming we collect all receivables, we believe that we can continue operations for approximately 6 months.  Thereafter, we will need to generate further operating  revenues or secure other funding on or before August 2004 in the  amount of $175,000 to remain operational until March, 2005. We have recently secured a $300,000 funding and as of May 31, 2004, $187,500 has been advanced to Megola with the balance due on or before August 1, 2004.



In  order  to  become profitable, we will still  need  to  secure additional debt or equity funding.  We hope to be able  to  raise additional  funds from an offering of our stock  in  the  future. However, this offering may not occur, or if it occurs, may not raise the  required  funding. There are no preliminary or  definitive agreements or understandings with any party for such financing.  We cannot predict when, if ever, that will happen.



The Bank of Montreal granted a $35,000 USD line of credit to Megola that is used by overdrafting Megolas checking account at the bank.  Interest is at bank prime + 1% and the loan is secured by substantially all Megola assets and the individual guarantees of a director and two investors.  As of April 30, 2004, the balance is $44,524. The line is reviewed yearly with the next review in December 2004.





-10-



---

In addition, we had the following outstanding obligations at April 30, 2004:



Current portion of installment note payable

5,803

Accounts payable

79,951

Accrued expenses

37,649





In connection with the reverse merger, we issued  two promissory notes to a director and a shareholder, each in the  amount  of $100,000 (the "Notes"), bearing interest at the rate of 6% simple interest  per  annum.  The  Notes shall  be  paid  in  full,  all principal  and accrued interest, July 31, 2004.  In addition to standard language, the Notes have the following terms and conditions:



[i] The Notes may assigned and may be used to satisfy debts and obligations of Superior and/or redeem shares held by shareholders of  Superior,  all without the consent of Megola, and  thereafter any  payments  due  on the Notes shall be paid directly  to  such assignee[s].   The Notes may be pledged, sold, hypotheticated, or assigned  by any assignee of Superior without consent of  Megola. All  payments shall be made by wire transfer on the due  date  to accounts as specified by the holders the Notes.



[ii]   Holders  of the Notes shall have the option  at  any  time prior  to the due date so long as there is no default to  convert all  unpaid principal and accrued interest into common shares  of stock  of  Superior  ("Superior Common Stock")  at  the  rate  of US$0.10 per share.  This option may be exercised in whole  or  in part  at any time prior to repayment of the Notes. If there is  a default  in the Notes, then Holders of the Notes shall  have  the option at any time the Notes are in default to convert all unpaid principal  and accrued interest into shares of stock of  Superior at the lower of (i) $0.10 per share; and (ii) the average trading price  of  Superior Common Stock for the twenty (20)  day  period immediately prior to the date of the option exercise notice  from the Holders.  This option may be exercised in whole or in part at any  time  the Notes are in default.  Further, to the extent  any shares are acquired under this option, the owners of these shares if  the  option is exercised collectively shall have a  one  time right  to  require that Superior register the shares  for  resale within 90 days of such request on a registration statement  filed with   the  Securities  Exchange  Commission  ("SEC")  and   kept effective  until  all such shares are resold, all  at  Superior's expense.



[iii]  Payment of the Notes shall be personally guaranteed by Mr. Joel Gardner which guarantee  shall  be  backed  by  a security interest in all of his issued and outstanding stock of Megola.



[iv] Megola will be obligated to pay the outstanding Notes  before their due dates if they are successful in obtaining adequate funding of $600,000.  If this amount is not met, then payment due will be pro rata to the amount of funding obtained however the balance will still be due on due date.





-11-

---





No customers accounted for 100 percent of 2003 and 2002 sales.  One vendor accounted for 100 percent of fiscal 2003 and 2002 cost of sales.



Megolas office lease expires December 31, 2009.  Minimum lease payments of $5,313 are due in the year ended July 31, 2004, and $12,750 are due in each of the years ended July 31, 2005 - 2009, with $5,313 due in the year ended July 31, 2010.



Our  ability to continue as a going concern is dependent  on our   ability  to  raise
funds  to  implement  our  planned development; however we may not be able to raise
sufficient funds to do so. Our independent auditors have indicated that here is substantial doubt about our ability to continue as a going  concern  over  the  next
twelve  months.  Our   poor financial condition could inhibit our ability to achieve our business  plan,  because  we are currently  operating  at  a substantial loss with no operating history and revenues,  an investor cannot determine if we will ever become profitable.



Item 3. Controls and Procedures



The Corporation maintains disclosure controls and procedures designed to ensure that information required to be disclosed in reports filed under the Securities Exchange Act of 1934, as amended, is recorded, processed, summarized and reported within the specified time periods. As of the end of the period covered by this report, the Corporation's Chief Executive Officer and Chief Financial Officer evaluated the effectiveness of the Corporation's disclosure controls and procedures. Based on the evaluation, which disclosed no significant deficiencies or material weaknesses, the Corporation's Chief Executive Officer and Chief Financial Officer concluded that the Corporation's disclosure controls and procedures are effective as of the end of the period covered by this report. There were no changes in the Corporation's internal control over financial reporting that occurred during the Corporation's most recent fiscal quarter that have materially affected, or are reasonably likely to materially affect, the Corporation's internal control over financial reporting.



PART II - OTHER INFORMATION



Item 1.  Legal Proceedings



None



Item 2.  Changes in Securities



NONE







-12-

---

Item 3. Defaults upon Senior Securities.



NONE



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



NONE



Item 5. Other Information.



NONE









Item 6. Exhibits



Exhibit           Name and/or Identification of Exhibit

Number

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





31                
Certification



32                
Certification



Reports on Form 8-K

8-K/A [html][text] 40 KB [Amend]Current report, item 7 2004-04-14







-13-

---



SIGNATURES



Pursuant  to  the requirements of the Securities and Exchange

Act  of  1934,  the registrant has duly caused this  Report to  be

signed on its behalf by the undersigned hereunto duly
authorized.



Megola, Inc.

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

(Registrant)



By: /s/ Joel Gardner

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

Joel Gardner

President, CEO, Principal Financial Officer and Principal

Accounting Officer





Date: June 10, 2004



-14-

---