<PAGE>

                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   FORM 10-QSB

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

For the quarterly period ended _______________________________

                                       OR

X  TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT
-

For the transition period from October 1, 2000 to December 31, 2000

                         Commission file number 0-30756

                                  QUESTEC, INC.
                 (Name of Small Business Issuer in Its Charter)

       Wyoming                                       13-1713318
(State or other jurisdiction of                   (I.R.S. Employer
incorporation or organization)                   Identification No.)

160B West Industry Court, Deer Park, New York           11729
(Address of principal executive office)              (Zip Code)

Issuer's telephone number, including area code (631) 243-1880

     The number of shares outstanding of registrant's common stock, as of
December 31, 2000, was 32,371,893.

     Transitional Small Business Format:  Yes  X          No
                                              ---            ---


<PAGE>



CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION

Certain statements contained under "Description of Business", and elsewhere in
this Registration Statement on Form 10-QSB, regarding matters that are not
historical facts, are "forward-looking statements". Because such forward-looking
statements include risks and uncertainties, actual results may differ materially
from those expressed in or implied by such forward-looking statements. There are
several important factors that could cause actual results to differ materially
from those anticipated by the forward-looking statements contained in such
discussions. We undertake no obligation to release publicly the result of any
revisions to these forward-looking statements that may be made to reflect events
or circumstances after the date of this Form 10-QSB or to reflect the occurrence
of unanticipated events.

The issuer has elected to follow Form 10-QSB, Disclosure Alternative 2.

                         Part I - FINANCIAL INFORMATION

Item 1. Financial Statements.

                                  QUESTEC, INC.

                                    CONTENTS
<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------------

                                                                                          Page
                                                                                          ----
<S>                                                                                       <C>
UNAUDITED FINANCIAL STATEMENTS

  Balance Sheets as of December 31, 2000 and June 30, 2000                                 F-2

  Statements of Operations - For the Three Months Ended December 31, 2000 and 1999         F-3

  Statements of Operations - For the Six Months Ended December 31, 2000 and 1999           F-4

  Statements of Cash Flows - For the Six Months Ended December 31, 2000 and 1999           F-5

NOTES TO FINANCIAL STATEMENTS                                                              F-6
</TABLE>

                                      F-1

<PAGE>





                                  QUESTEC, INC.
                                 BALANCE SHEETS
<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------------------------

                                     ASSETS

                                                                                     December 31,       June 30,
                                                                                         2000             2000
                                                                                      (Unaudited)       (Audited)
                                                                                   ---------------   ---------------
<S>                                                                                 <C>               <C>
CURRENT ASSETS:
 Cash                                                                               $          -      $       3,007
 Accounts receivable, net                                                                226,954             51,175
 Note receivable                                                                          17,698             10,000
 Prepaid expenses and other current assets                                                 5,960              6,467
                                                                                   ---------------   ---------------

  Total Current Assets                                                                   250,612             70,649

PROPERTY AND EQUIPMENT, Net                                                              169,018            183,416

OTHER ASSETS:
 Software development costs, net of accumulated amortization of $189,850
  and $135,254, respectively                                                             246,917            301,513
                                                                                   ---------------   ---------------

  TOTAL ASSETS                                                                      $    666,547      $     555,578
                                                                                   ===============   ===============

                      LIABILITIES AND STOCKHOLDERS' DEFICIT

CURRENT LIABILITIES:
 Accounts payable                                                                   $    191,012      $     195,072
 Accrued liabilities, current portion                                                  1,068,746            864,873
 Note payable, bank                                                                        9,625              9,980
 Advances from stockholders                                                              242,676             79,320
                                                                                   ---------------   ---------------

  Total Current Liabilities                                                            1,512,059          1,149,245

OTHER LIABILITIES:
 Accrued liabilities, non-current portion                                                 65,417             68,667
                                                                                   ---------------   ---------------

  TOTAL LIABILITIES                                                                    1,577,476          1,217,912
                                                                                   ---------------   ---------------


COMMITMENTS AND CONTINGENCIES                                                                  -                  -
STOCKHOLDERS' DEFICIT:
 Preferred stock, $0.0001 par value, 20,000,000 shares authorized,
   none issued and outstanding                                                                 -                  -
 Common stock, $0.0001 par value, 80,000,000 shares authorized,
  32,371,893 and 31,571,643 shares issued and outstanding, respectively                    3,237              3,157
 Additional paid-in capital                                                           10,062,310          9,844,295
 Accumulated deficit                                                                 (10,976,476)       (10,509,786)
                                                                                   ---------------   ---------------

  TOTAL STOCKHOLDERS' DEFICIT                                                           (910,929)          (662,334)
                                                                                   ---------------   ---------------

  TOTAL LIABILITIES AND STOCKHOLDER'S DEFICIT                                      $     666,547      $     555,578
                                                                                   ===============   ===============
</TABLE>


                                      F-2
<PAGE>

                                 QUESTEC, INC.
                            STATEMENTS OF OPERATIONS
              FOR THE THREE MONTHS ENDED DECEMBER 31, 2000 AND 1999
                                   (UNAUDITED)
<TABLE>
<CAPTION>
------------------------------------------------------------------------------------

                                                    2000                  1999
                                               -----------------    ----------------
<S>                                             <C>                  <C>
NET SALES                                       $        32,852      $       33,182

COST OF GOODS SOLD                                       15,506              37,189
                                               -----------------    ----------------

     GROSS PROFIT                                        17,346              (4,007)
                                               -----------------    ----------------

OPERATING EXPENSES:
  Depreciation and amortization                          44,621              29,613
  Sales and marketing                                    39,096              18,134
  General and administrative                            236,934             174,371
                                               -----------------    ----------------

     TOTAL OPERATING EXPENSES                           320,651             222,118
                                               -----------------    ----------------

     OPERATING LOSS                                    (303,305)           (226,125)
                                               -----------------    ----------------

OTHER INCOME (EXPENSES)
  Interest income, net                                     (973)             (3,160)
  Other expense                                          (2,255)                 (1)
                                               -----------------    ----------------

     TOTAL OTHER EXPENSES                                (3,228)             (3,161)
                                               -----------------    ----------------

     LOSS BEFORE INCOME TAXES                          (306,533)           (229,286)

INCOME TAXES                                                 -                    -
                                               -----------------    ----------------

     NET LOSS                                   $      (306,533)      $    (229,286)
                                               =================    ================

Net Loss Per Share (Basis and Diluted)          $         (0.01)      $       (0.01)
                                               =================    ================

Weighted Average Common Shares Outstanding           32,098,887          30,482,654
                                               =================    ================
</TABLE>



                                       F-3


<PAGE>




                                  QUESTEC, INC.
                            STATEMENTS OF OPERATIONS
               FOR THE SIX MONTHS ENDED DECEMBER 31, 2000 AND 1999
                                   (UNAUDITED)
<TABLE>
<CAPTION>
-------------------------------------------------------------------------------------

                                                       2000                1999
                                                 ----------------    ----------------
<S>                                               <C>                 <C>
NET SALES                                         $      289,302      $       78,312

COST OF GOODS SOLD                                       106,723              74,397
                                                 ----------------    ----------------

     GROSS PROFIT                                        182,579               3,915
                                                 ----------------    ----------------

OPERATING EXPENSES:
  Depreciation and amortization                           88,842              57,540
  Sales and marketing                                     82,191              64,701
  General and administrative                             459,467             316,198
                                                 ----------------    ----------------

     TOTAL OPERATING EXPENSES                            630,500             438,439
                                                 ----------------    ----------------

     OPERATING LOSS                                     (447,921)           (434,524)
                                                 ----------------    ----------------

OTHER INCOME (EXPENSES)
  Interest income, net                                    (7,762)             (3,220)
  Other expense                                          (11,007)                (62)
                                                 ----------------    ----------------

     TOTAL OTHER EXPENSES                                (18,769)             (3,282)
                                                 ----------------    ----------------

     LOSS BEFORE INCOME TAXES                           (466,690)           (437,806)

INCOME TAXES                                                  -                     -
                                                 ----------------    ----------------

     NET LOSS                                     $     (466,690)      $    (437,806)
                                                 ================    ================

Net Loss Per Share (Basis and Diluted)            $        (0.01)      $       (0.01)
                                                 ================    ================

Weighted Average Common Shares Outstanding            31,890,404          30,299,139
                                                 ================    ================
</TABLE>




                                       F-4


<PAGE>




                                  QUESTEC, INC.
                            STATEMENTS OF CASH FLOWS
               FOR THE SIX MONTHS ENDED DECEMBER 31, 2000 AND 1999
                                   (UNAUDITED)
<TABLE>
<CAPTION>
-----------------------------------------------------------------------------------------
                                                             2000               1999
                                                        ---------------   ---------------
<S>                                                      <C>               <C>
CASH FLOWS FROM OPERATING ACTIVITIES:

 Net loss                                                $    (466,690)     $   (437,806)
 Adjustments to reconcile net loss to net cash
   used in operating activities:
    Depreciation and amoritzation                               88,842            57,540
 Changes in operating assets and liabilities:
    Accounts receivable                                       (175,779)           19,512
    Note receivable                                               (168)                -
    Accounts payable                                            (4,060)           28,721
    Accrued expenses                                           300,839           473,612
                                                        ---------------   ---------------

       CASH FLOW USED IN OPERATING ACTIVITIES                 (257,016)          141,579
                                                        ---------------   ---------------

CASH FLOWS FROM INVESTING ACTIVITIES:
 Purchases of property and equipment                           (19,342)           (7,407)
 Collections on note receivable                                 10,000                 -
 Costs incurred in software development                              -           (55,277)
                                                        ---------------   ---------------

       CASH FLOW USED IN INVESTING ACTIVITIES                   (9,342)          (62,684)
                                                        ---------------   ---------------

CASH FLOWS FROM FINANCING ACTIVITIES
 Proceeds from issuance of common stock                        100,350            11,949
 Net changes in due to stockholders                            163,356           (93,183)
 Proceeds from (repayments of) note payable, bank, net            (355)            2,339
                                                        ---------------   ---------------

       CASH FLOW PROVIDED BY  FINANCING ACTIVITIES             263,351          (78,895)
                                                        ---------------   ---------------

       NET DECREASE IN CASH                                     (3,007)               -

CASH, Beginning                                                  3,007                -
                                                        ---------------   ---------------

CASH, Ending                                             $           -     $          -
                                                        ===============   ===============

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:

 Cash paid during the periods for:
   Interest                                              $       5,493     $       3,220
                                                        ===============   ===============
   Taxes                                                 $      -          $           -
                                                        ===============   ===============

 Non-cash investing and financing activities:
   Exercise of options by reducing liabilities           $     100,215     $     595,545
                                                        ===============   ===============
   Exercise of options for note                          $      17,530
                                                        ===============   ===============
</TABLE>


                                      F-5


<PAGE>

                                  QUESTEC, INC.

                          NOTES TO FINANCIAL STATEMENTS
                                   (UNAUDITED)

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

1. BASIS OF PRESENTATION:

The accompanying unaudited financial statements of Questec.Com Inc. (the
"Company") have been prepared in accordance with generally accepted accounting
principles for interim financial information and with the instructions to
prepare them for inclusion as part of the Form 10-QSB. Accordingly, they do not
include all of the information and footnotes required by generally accepted
accounting principles for complete financial statements. The financial
statements for the periods ended December 31, 2000 and 1999 are unaudited and
include all adjustments necessary to a fair statement of the results of
operations for the periods then ended. All such adjustments are of a normal
recurring nature. The results of the Company's operations for any interim period
are not necessarily indicative of the results of the Company's operations for a
full fiscal year. For further information, refer to the financial statements and
footnotes thereto included in the Company's annual report (Form 10-KSB) filed
with the Securities and Exchange Commission for the year ended June 30, 2000.

2. THE COMPANY:

The Company designs, develops and markets proprietary software and hardware
systems, with shared technology bases, which present three-dimensional computer
analyzed images for sports entertainment, business and industrial markets.

3. INCOME (LOSS) PER SHARE:

The Company adopted SFAS No. 128, "Earnings per Share". SFAS No. 128 eliminates
the presentation of primary and fully dilutive earnings per share ("EPS") and
requires presentation of basic and diluted EPS. Basic EPS is computed by
dividing income (loss) available to common stockholders by the weighted-average
number of common shares outstanding for the period. Diluted EPS is based on the
weighted-average number of shares of common stock and common stock equivalents
outstanding for the period. Common stock equivalents are not included in the
computation of diluted EPS for the periods ended December 31, 2000 and 1999 as
such inclusion is antidiluted.

4. EQUITY TRANSACTION:

During the three months ended September 30, 2000, options to purchase 150,000
shares of common stock were exercised by reducing liabilities of $48,500. The
exercise prices of the options are ranging from $0.21 to $0.38 per share.

During the three months ended December 31, 2000, options and warrants to
purchase 392,750 and 257,500 shares of common stock were exercised,
respectively. The Company received $100,350 in cash, $17,530 in note and
reducing liability of $51,715. The exercise prices of the options and warrants
are ranging from $0.21 to $0.38 per share.

                                       F-6


<PAGE>


                                  QUESTEC, INC.

                          NOTES TO FINANCIAL STATEMENTS
                                   (UNAUDITED)

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


5. GOING CONCERN:

As shown in the accompanying unaudited financial statements, the Company
incurred a net loss of $466,690 during the period ended December 31, 2000 and,
as of that date, the Company's current liabilities exceeded its current assets
by $1,261,447 and its total liabilities exceeded its total assets by $910,929.
These factors, as well as the uncertain conditions that the Company faces
relative to capital raising activities, create an uncertainty as to the
Company's ability to continue as a going concern. The Company is working on
raising more capital through public and/or private placement offering, setting
up strategic partners to reduce future development costs, expansion of revenue
earnings for customers utilizing its existing systems and setting up additional
sources of revenue, such as internet services, which require little capital but
potentially generate additional revenue. The ability of the Company to continue
as a going concern is dependent upon the success of the offering or alternative
financing arrangements and expansion of its operations. The unaudited financial
statements do not include any adjustments that might be necessary should the
Company be unable to continue as a going concern.













                                      F-7


<PAGE>


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

The Company is continuing the installation of its patented "SuperVision" pitch
tracking system into all 30 Major League ballparks, establishing its internet
baseball production as a standard per game feature, and continuing development
of HitTrax. The Company continues to pursue expansion of its TennisProView
production service through contracts with major world-wide providers of tennis
coverage and to establish internet tennis production service as a standard per
match feature. The company is continuing development of a new version of
GolfProView and a 3-D virtual ski jump tracking system.

The Company's recent five (5) year Agreement with Major League Baseball ("MLB")
to provide a new version of their state-of-the-art PitchTrax pitch measurement
technology in support of MLB's previously announced strike zone initiatives is
proof of the accuracy, reliability and value of its technology. The development
is now in the final stages for this customized version of the Company's
measurement technology. The Company has also been contracted to install,
operate, and maintain the new "Umpire Information System" for the term of the
Agreement. This new system includes several key modifications to the Company's
commercial PitchTrax product currently licensed exclusively to the FOX Channels
Group as "in-game enhancement" during live television broadcasts of Major League
Baseball games. PitchTrax appears as a sponsored feature during FOX Sports Net
productions.

The Company has already begun to receive revenue from the five year contract
with Major League Baseball. Major League Baseball will pay the Company for each
stadium installation and will pay additional fees to operate the system on a per
game basis for the term of the agreement. Additional sources of revenue are
derived from a number of relatively small projects, such as contributions to Fox
Sports Network's regional and national baseball broadcasts and ISL Worldwide's
world feed television coverage of ATP Tour's Master Series Tennis tournament.

The Company and its new Board of Directors have established new, clear business
strategies and principles relating to business development, operating
efficiency, managerial tasks, product pricing, debt reduction and investor
relations. The Board has begun implementing its pure business approach to
running the Company by reshaping its corporate structure, amending the Company's
name to better identify the Company and its products, and increasing revenues.
The Board is concluding its pursuit and selection of private placement funding
which will be formalized shortly.
<PAGE>

                                     PART II

                                OTHER INFORMATION

Item 1.  Legal Proceedings.

None.

Item 2.  Changes in Securities and Use of Proceeds.

None.

Item 3.  Defaults Upon Senior Securities.

None.

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

None.

Item 5.  Other Information.

On February 12, 2001, at a Special Meeting of the Board of Directors of the
Company, the resignations of Michael W. Russo as President of the Company and
Deirdre Gallagher as Secretary of the Company were accepted. Steven B.
Greenfield was elected Chairman of the Board of Directors of the Company, Derek
Donaldson was named President and Bruce Nesenger became Secretary. At such
meeting, the Board of Directors also approved the execution of an agreement
between the Company and Major League Baseball wherein the Company will become
the sole provider of pitch tracking technology to Major League Baseball. The
Company and MLB have committed to the use of pitch tracking technology at a
minimum of 2,000 games during the next five (5) years. The contract between the
Company and MLB was completed on February 9, 2001, and the system will be in
operation at the beginning of the upcoming 2001 season in April.


<PAGE>


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

(a) Index to Exhibits

    2.  Charter and By-Laws*

    6.  Material Contracts*

    6a. Agreements with Atlantic Aerospace Electronics Corporation dated
        September 9, 1998*

    6b. Agreement with Live Motion Company dated June 9, 1999*

    15. Private Placement Memorandum dated October 1, 1997*

    21. Subsidiaries.

---------------------------
* Incorporated by reference from Form 10-SB filed on March 2, 2000

(b) Reports on Form 8-K.

None.

                                   SIGNATURES

                  In accordance with Section 13 or 15(d) of the Exchange Act,
the registrant caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.

                           QUESTEC, INC.

February 20, 2001                       By:      /s/ Steven B. Greenfield
                                                 ----------------------------
                                                 Steven B. Greenfield
                                                 Chairman of the Board

February 20, 2001                                /s/ Derek Donaldson
                                                 ----------------------------
                                                 Derek Donaldson
                                                 President