UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                    FORM 10-Q

|X|   QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (D) OF THE SECURITIES
      EXCHANGE ACT OF 1934
            For the quarterly period ended: MARCH 31, 2007

|_|   TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES ACT OF
      1934
            For the transition period from ______________ to_______________

                       Commission File Number: 001-11497

                                 AUTOINFO, INC.
             (Exact name of Registrant as specified in its charter)

            DELAWARE                                  13-2867481
(State or other jurisdiction of          (I.R.S. Employer Identification number)
incorporation or organization)

               6413 Congress Ave., Suite 260, Boca Raton, FL 33487
                     (Address of principal executive office)

                                 (561) 988-9456
              (Registrant's telephone number, including area 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 |X| NO |_|

Indicate by check mark whether the Registrant is a large  accelerated  filer, an
accelerated  filer, or a  non-accelerated  filer. See definition of "accelerated
filer and large  accelerated  filer" in Rule 12b-2 of the Exchange  Act.  (Check
one):

Large accelerated filer |_|  Accelerated filer |_| Non-accelerated filer |X|

Indicate by check mark whether the Registrant is a shell company (as defined in
Rule 12b-2 of the Exchange Act).

                                 YES |_| NO |X|

Number of shares  outstanding  of the  Registrant's  common  stock as of May 11,
2007: 32,467,000 shares of common stock.

<PAGE>

                         AUTOINFO, INC. AND SUBSIDIARIES

                                      INDEX

Part I.  Financial Information:

<TABLE>
<CAPTION>
Item 1.           Consolidated Financial Statements:                                Page
<S>               <C>                                                                <C>
                  Balance Sheets
                    March 31, 2007 (unaudited) and December 31, 2006 (audited)......  3

                  Statements of Income (unaudited)
                    Three months ended March 31, 2007 and 2006......................  4

                  Statements of Cash Flows (unaudited)
                    Three months ended March 31, 2007 and 2006......................  5

                  Notes to Unaudited Consolidated Financial Statements..............  6

Item 2.           Management's Discussion and Analysis of Financial
                    Condition and Results of Operations............................. 10

Item 3.           Quantitative and Qualitative Disclosures About Market Risk........ 15

Item 4.           Controls and Procedures........................................... 15

Part II. Other Information

Item 6.           Exhibits.......................................................... 15

Signatures ......................................................................... 16
</TABLE>


                                       2
<PAGE>

                         PART I - FINANCIAL INFORMATION

                         AUTOINFO, INC. AND SUBSIDIARIES
                           CONSOLIDATED BALANCE SHEETS

<TABLE>
<CAPTION>
                                                         March 31,      December 31,
                                                            2007            2006
                                                        ------------    ------------
                                                         Unaudited        Audited
<S>                                                     <C>             <C>
ASSETS

Current assets:
   Cash and cash equivalents                            $    374,000    $    146,000
   Accounts receivable, net of allowance for doubtful
       accounts of $284,000 and $249,000 as of March
       31, 2007 and December 31, 2006, respectively       16,125,000      16,967,000
   Deferred income taxes (Note 2)                          1,445,000       1,445,000
   Other current assets                                      407,000         363,000
                                                        ------------    ------------

         Total current assets                             18,351,000      18,921,000

Fixed assets, net of accumulated depreciation                381,000         324,000

Deferred income taxes (Note 2)                             2,294,000       2,502,000

Advances and other assets                                  2,357,000       2,075,000
                                                        ------------    ------------

                                                        $ 23,383,000    $ 23,822,000
                                                        ============    ============

LIABILITIES AND STOCKHOLDERS' EQUITY

Current liabilities
     Loan payable                                       $  2,598,000    $  3,451,000
     Accounts payable and accrued liabilities              8,275,000       8,375,000
                                                        ------------    ------------
          Total current liabilities                       10,873,000      11,826,000
                                                        ------------    ------------

Stockholders' Equity
    Preferred stock - authorized 10,000,000 shares
        $.001 par value; issued and outstanding
        - 0 shares as of March 31, 2007 and
        December 31, 2006                                         --              --
    Common stock - authorized 100,000,000 shares
        $.001 par value; issued and outstanding -
        32,467,000 shares as of March 31, 2007 and
        32,102,000 shares as of December 31, 2006             32,000          32,000
    Additional paid-in capital                            19,608,000      19,420,000
    Deficit                                               (7,130,000)     (7,456,000)
                                                        ------------    ------------
        Total stockholders' equity                        12,510,000      11,996,000
                                                        ------------    ------------

                                                        $ 23,383,000    $ 23,822,000
                                                        ============    ============
</TABLE>

  The accompanying notes are an integral part of these consolidated financial
                                  statements.


                                       3
<PAGE>

                         AUTOINFO, INC. AND SUBSIDIARIES
                        CONSOLIDATED STATEMENTS OF INCOME
                                   (Unaudited)

                                                      Three Months Ended
                                                            March 31,
                                                       2007             2006
                                                   -----------     ------------

Gross revenues                                     $22,054,000     $ 18,096,000
Cost of transportation                              17,200,000       14,108,000
                                                   -----------     ------------

Net revenues                                         4,854,000        3,988,000
                                                   -----------     ------------

Commissions                                          3,124,000        2,478,000
Operating expenses                                   1,115,000          888,000
                                                   -----------     ------------
                                                     4,239,000        3,366,000
                                                   -----------     ------------

Income from operations                                 615,000          622,000
Interest expense                                        46,000            6,000
                                                   -----------     ------------

Income before income taxes                             569,000          616,000
Income taxes (benefit) (Note 2)                        243,000         (539,000)
                                                   -----------     ------------

Net income                                         $   326,000     $  1,155,000
                                                   ===========     ============

Net income per share
     Basic                                         $       .01     $        .04
                                                   -----------     ------------
     Diluted                                       $       .01     $        .03
                                                   -----------     ------------

Weighted average number of common shares
     Basic                                          32,265,000       31,751,000
                                                   -----------     ------------
     Diluted                                        36,368,000       34,506,000
                                                   -----------     ------------

  The accompanying notes are an integral part of these consolidated financial
                                  statements.


                                       4
<PAGE>

                         AUTOINFO, INC. AND SUBSIDIARIES
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (Unaudited)

                                                        Three Months Ended
                                                             March 31,
                                                         2007           2006
                                                     -----------    -----------
Cash flows from operating activities:
Net income                                           $   326,000    $ 1,155,000
Adjustments to reconcile net income to net cash
   provided by operating activities:
     Change in allowance for doubtful accounts            35,000         46,000
     Depreciation and amortization                        29,000         25,000
     Stock-based compensation expense                     77,000         33,000
     Deferred income taxes (benefit)                     208,000       (574,000)
Changes in assets and liabilities:
     Accounts receivable                                 807,000        262,000
     Other current assets                                (44,000)      (124,000)
     Advances and other assets                          (282,000)            --
     Accounts payable and accrued liabilities           (100,000)      (227,000)
                                                     -----------    -----------

Net cash provided by operating activities              1,056,000        596,000
                                                     -----------    -----------

Cash flows from investing activities:
     Capital expenditures                                (88,000)       (34,000)
                                                     -----------    -----------
Net cash used in investing activities                    (88,000)       (34,000)
                                                     -----------    -----------

Cash flows from financing activities:
    Exercise of stock options                            113,000         24,000
    Decrease in  loan payable, net                      (853,000)      (679,000)
                                                     -----------    -----------
Net cash used in financing activities                   (740,000)      (655,000)
                                                     -----------    -----------

Net change in cash and cash equivalents                  228,000        (93,000)
Cash and cash equivalents, beginning of period           146,000        419,000
                                                     -----------    -----------

Cash and cash equivalents, end of period             $   374,000    $   326,000
                                                     ===========    ===========

  The accompanying notes are an integral part of these consolidated financial
                                  statements.


                                       5
<PAGE>

                         AUTOINFO, INC. AND SUBSIDIARIES
              NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

                           Forward Looking Statements

Certain   statements   made  in  this   Quarterly   Report   on  Form  10-Q  are
"forward-looking statements regarding the plans and objectives of management for
future   operations.   Such   statements   involve  known  and  unknown   risks,
uncertainties  and other factors that may cause our actual results,  performance
or  achievements  of the  Company  to be  materially  different  from any future
results,   performance   or   achievements   expressed   or   implied   by  such
forward-looking  statements.  The forward-looking statements included herein are
based on current expectations that involve numerous risks and uncertainties. Our
plans and objectives are based, in part, on assumptions involving judgments with
respect  to,  among  other  things,  future  economic,  competitive  and  market
conditions  and  future  business  decisions,  all of  which  are  difficult  or
impossible  to predict  accurately  and many of which are  beyond  our  control.
Although  we  believe  that  our  assumptions   underlying  the  forward-looking
statements are reasonable,  any of the assumptions  could prove  inaccurate and,
therefore,  there  can  be no  assurance  that  the  forward-looking  statements
included in this report will prove to be accurate.  In light of the  significant
uncertainties  inherent  in  the  forward-looking   statements  included  herein
particularly  in view of the current state of our  operations,  the inclusion of
such information should not be regarded as a statement by us or any other person
that our objectives and plans will be achieved.  Factors that could cause actual
results to differ materially from those expressed or implied by  forward-looking
statements  include,  but are not  limited  to, the  factors set forth under the
headings  "Business,"  and "Risk  Factors" in our Annual Report on Form 10-K for
the year ended  December  31,  2006 as filed with the  Securities  and  Exchange
Commission.

Note 1. - Business and Summary of Significant Accounting Policies

Business

      The Company, through its wholly-owned  subsidiary,  Sunteck Transport Co.,
Inc.  (Sunteck),  is a non-asset based  transportation  services  company.  As a
non-asset  based  provider of  brokerage  and  contract  carrier  transportation
services,  the Company does not own any  equipment and its services are provided
through its strategic alliances with less than truckload,  truckload, air, rail,
ocean common  carriers and  independent  owner-operators  to service  customers'
needs.  The  Company's  brokerage  and  contract  carrier  services are provided
through a network of independent  sales agents  throughout the United States and
Canada.  During its most recently  completed fiscal year, the Company  generated
revenue,  net  revenue  and net income of  approximately  $84.1  million,  $17.7
million and $3.6 million, respectively.

Summary of Significant Accounting Policies

Basis of Presentation

      The  financial  statements  of the Company  have been  prepared  using the
accrual basis of accounting under accounting  principles  generally  accepted in
the United States of America (GAAP).

      The  consolidated  financial  statements,  which are unaudited,  have been
prepared  pursuant to the rules and  regulations  of the Securities and Exchange
Commission (SEC). In management's  opinion,  these financial  statements include
all adjustments  (consisting only of normal recurring adjustments) necessary for
a fair  presentation  of the  results  of  operations  for the  interim  periods
presented.  The results of operations  for the three months ended March 31, 2007
and 2006 are not necessarily indicative of results to be expected for the entire
year.  Pursuant to SEC rules and regulations,  certain  information and footnote
disclosures  normally  included in financial  statements  prepared in accordance
with GAAP have been omitted from these  statements.  The consolidated  financial
statements and notes thereto should be read in


                                       6
<PAGE>

conjunction  with the  financial  statements  and notes  included  in our Annual
Report on Form 10-K for the year ended December 31, 2006.

Principles of Consolidation

      The  consolidated   financial  statements  include  the  accounts  of  the
AutoInfo, Inc. (the Company), its wholly-owned subsidiary Sunteck Transport Co.,
Inc.  and  its  wholly-owned   subsidiary  Sunteck  Transport  Carriers,   Inc.,
collectively (Sunteck).  All significant  intercompany balances and transactions
have been eliminated in consolidation.

Revenue Recognition

      As a third party  transportation  logistics provider,  the Company acts as
the  shippers'  agent and arranges  for a carrier to handle the  freight.  Gross
revenues  consist of the total dollar  value of services  purchased by shippers.
Revenue is  recognized  upon  delivery  of  freight,  at which time the  related
transportation cost, including commission, is also recognized. At that time, the
Company's  obligations are completed and collection of receivables is reasonably
assured.

      Emerging  Issues  Task Force No.  99-19,  "Reporting  Revenues  Gross as a
Principal  Versus  Net as an  Agent"  (EITF  99-19),  establishes  criteria  for
recognizing revenues on a gross or net basis. The Company is the primary obligor
in its transactions,  has all credit risk, maintains  substantially all risk and
rewards,  has discretion in selecting the supplier,  and has latitude in pricing
decisions.  Accordingly,  the  Company  records  all  transactions  at the gross
amount, consistent with the provisions of EITF 99-19.

Provision For Doubtful Accounts

      The Company  continuously  monitors the  creditworthiness of its customers
and has  established an allowance for amounts that may become  uncollectible  in
the future based on current economic trends, its historical payment and bad debt
write-off experience, and any specific customer related collection issues.

Cash and cash equivalents

      Cash and cash equivalents consist of cash in banks. From time to time, the
Company has on deposit at  financial  institutions  cash  balances  which exceed
federal  deposit  insurance  limitations.  The Company has not  experienced  any
losses in such accounts and believes it is not exposed to any significant credit
risk on cash.

Fixed Assets

      Fixed  assets as of March  31,  2007 and  December  31,  2006,  consisting
predominantly   of  furniture,   fixtures  and  equipment  and  computer  system
development  costs,  were  carried  at  cost  net of  accumulated  depreciation.
Depreciation of fixed assets was provided on the  straight-line  method over the
estimated  useful  lives of the  related  assets  which range from three to five
years.

Income Per Share

      Basic  income  per share is based on net income  divided  by the  weighted
average  number  of  common  shares   outstanding.   Common  stock   equivalents
outstanding  were  4,103,000 and  2,755,000,  respectively,  for the three month
periods ended March 31, 2007 and 2006.


                                       7
<PAGE>

Use of Estimates

      The  preparation  of these  financial  statements in conformity  with GAAP
requires  management to make certain estimates and assumptions.  These estimates
and  assumptions  affect  the  reported  amounts  of  assets,   liabilities  and
contingent  liabilities at the date of the financial statements and the reported
amounts of revenue  and  expenses  during the  periods  presented.  The  Company
believes that all such  assumptions  are  reasonable  and that all estimates are
adequate, however, actual results could differ from those estimates.

Income Taxes

      The Company  utilizes the asset and liability  method for  accounting  for
income  taxes.  Under the asset and  liability  method,  deferred tax assets and
liabilities  are  recognized  for the future tax  consequences  attributable  to
differences  between the financial statement carrying amounts of existing assets
and  liabilities  and  their  respective  tax bases and  future  benefits  to be
recognized  upon  the  utilization  of  certain  operating  loss  carryforwards.
Deferred  tax  assets and  liabilities  are  measured  using  enacted  tax rates
expected  to apply to  taxable  income  in the  years in which  those  temporary
differences are expected to be recovered or settled.  The effect on deferred tax
assets and  liabilities  of a change in tax rates is recognized in income in the
period that includes the enactment date.

Stock-Based Compensation

      On January 1, 2006, the Company adopted Statement of Financial  Accounting
Standards No. 123R,  "Share-Based  Payment"  (SFAS 123R)  utilizing the modified
prospective  transition method.  SFAS 123R requires employee stock options to be
valued  at fair  value on the date of grant  and  charged  to  expense  over the
applicable vesting period. Under the modified  prospective method,  compensation
expense is recognized for all share based payments issued on or after January 1,
2006 and for all share  payments  issued to  employees  prior to January 1, 2006
that remain unvested.

      The Company's  results of operations  for the three months ended March 31,
2007 and 2006  include an  additional  $10,000  and  $12,000,  respectively,  in
operating  expense  related to the adoption of SFAS 123R. In accordance with the
modified  prospective  method, the consolidated  financial  statements for prior
periods have not been  restated to reflect,  and do not  include,  the impact of
SFAS 123R.

      Adoption of SFAS 123R did not change the  Company's  accounting  for share
based payments issued to non-employees.

Note 2- Income Taxes

      For the three month periods  ended March 31, 2007 and 2006,  respectively,
the provision for income taxes consisted of the following:

<TABLE>
<CAPTION>
                                                     2007                           2006
                                           --------------------------------------------------------
                                             Current       Deferred        Current       Deferred
                                           --------------------------------------------------------
<S>                                        <C>            <C>            <C>            <C>
      Tax expense before application of
           operating loss carryforwards    $   243,000    $        --    $   244,000    $        --
      Tax expense (benefit) of operating
           loss carryforwards                 (208,000)       208,000       (209,000)       209,000
      Change in valuation allowance                                               --       (783,000)
                                           --------------------------------------------------------
      Income tax expense (benefit)         $    35,000    $   208,000    $    35,000    $  (574,000)
                                           --------------------------------------------------------
</TABLE>


                                       8
<PAGE>

      The deferred tax asset  $3,739,000  and  $3,947,000  at March 31, 2007 and
December  31,  2006,  respectively,   represents  expected  future  tax  savings
resulting   from  the  Company's   utilization   of  its  net   operating   loss
carryforwards.  As of December  31,  2006,  the Company has net  operating  loss
carryforwards  of  approximately  $11.6 million for federal  income tax purposes
which expire through 2014.  Utilization of this benefit is primarily  subject to
the extent of future earning of the Company,  and may be limited by, among other
things,  shareholder changes,  including the possible issuance by the Company of
additional  shares in one or more financing or acquisition  transactions.  Based
upon available objective evidence,  including the Company's  post-merger history
of profitability, management believes it is more likely than not that forecasted
taxable  income  will be  sufficient  to utilize all of the net  operating  loss
carryforwards before its expiration in 2014.


                                       9
<PAGE>

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

Cautionary statement  identifying  important factors that could cause our actual
results to differ from those projected in forward looking statements.

      Readers of this  report  are  advised  that this  document  contains  both
statements of historical facts and forward looking  statements.  Forward looking
statements  are subject to certain  risks and  uncertainties,  which could cause
actual results to differ  materially from those indicated by the forward looking
statements.  We undertake no obligation to revise or update publicly any forward
looking  statements  for any  reason.  Examples  of forward  looking  statements
include,  but are not limited to (i)  projections  of revenues,  income or loss,
earnings per share, capital expenditures, dividends, capital structure and other
financial  items,  (ii)  statements of our plans and objectives  with respect to
business  transactions and enhancement of shareholder value, (iii) statements of
future economic performance, and (iv) statements of assumptions underlying other
statements and statements about our business prospects.

      The following Management's  Discussion and Analysis of Financial Condition
and  Results of  Operations  should be read in  conjunction  with our  financial
statements and the notes thereto appearing elsewhere in this report.

Overview

      Through  our  wholly-owned   subsidiary,   Sunteck   Transport  Co.,  Inc.
(Sunteck), we are a non-asset based transportation  services company,  providing
transportation   capacity  and  related  transportation   services  to  shippers
throughout the United States,  and to a lesser  extent,  Canada.  As a non-asset
based provider of brokerage and contract carrier transportation  services, we do
not own any  equipment  and our  services  are  provided  through our  strategic
alliances with less than truckload,  truckload, air, rail, ocean common carriers
and independent  owner-operators  to service our customers'  needs. Our services
include ground  transportation  coast to coast, local pick up and delivery,  air
freight and ocean freight. We have strategic alliances with less than truckload,
truckload,  air, rail and ocean common carriers to service our customers' needs.
Our business services  emphasize safety,  information  coordination and customer
service and are delivered  through a network of independent  commissioned  sales
agents and third party capacity  providers  coordinated  by us. The  independent
commissioned   sales  agents   typically   enter  into   exclusive   contractual
arrangements   with  Sunteck  and  are  responsible  for  locating  freight  and
coordinating  the  transportation  of the freight  with  customers  and capacity
providers. The third party capacity providers consist of independent contractors
who provide truck capacity to us,  including  owner-operators  who operate under
our contract  carrier  license,  air cargo carriers and railroads.  Through this
network of agents and capacity  providers,  Sunteck  operates a non-asset  based
transportation  services  business with  revenue,  net revenue and net income of
approximately  $84.1  million,  $17.7  million and $3.6  million,  respectively,
during our most recently completed fiscal year and approximately  $22.1 million,
$4.9 million and $326,000, respectively, during the three months ended March 31,
2007.

      During the quarter ended March 31, 2007, the increase in gross revenue and
net revenue is readily measured by the number of transactions we have processed,
which  increased for the  respective  three month periods from 13,750 in 2006 to
17,500 in 2007,  an increase of 27%.  This is the direct result of the expansion
of our agent network.  Both gross revenue and net revenue  increased by 22% over
the prior  year  period  as  compared  to an  increase  of 27% in the  number of
transactions  processed.  The  decrease in revenue  dollars per load (4%) is the
result of revenue mix and the competitive environment during the period.

      During the next twelve months,  we plan to continue to offer our brokerage
and contract carrier  transportation  services and expand our agent network.  We
are presently  profitable and have adequate available lines of credit to satisfy
our working capital requirements during the next twelve months.


                                       10
<PAGE>

Results of operations

For the three months ended March 31, 2007 and 2006

      During the quarter  ended March 31, 2007,  we  continued to implement  our
strategic  growth business plan consisting  primarily of the expansion of client
services,  the  opening  of  regional  operations  centers  in key  geographical
markets,  and the addition of independent  sales agents providing  brokerage and
contract  carrier  services.  Our net  revenues  (gross  revenues  less  cost of
transportation)  are the primary  indicator of our ability to source,  add value
and resell  service that are provided by third parties and are  considered to be
the primary measurement of growth.  Therefore,  the discussion of the results of
operations  below focuses on the changes in our net  revenues.  The increases in
net revenues and all related cost and expense  categories  are the direct result
of our business expansion.

The following table represents certain statement of operation data as a
percentage of net revenues:

                                              2007      2006
                                             ------    ------

                 Net revenues                 100.0%    100.0%

                    Commissions                64.4%     62.1%
                    Operating expenses         23.0%     22.3%
                    Interest expense             .9%       .1%
                    Income taxes (benefit)      5.0%    (13.5)%

                 Net income                     6.7%     29.0%

Revenues

      Gross  revenues,  consisting  of freight fees and other  related  services
revenue,  totaled  $22,054,000 for the quarter ended March 31, 2007, as compared
with $18,096,000 in the prior year period, an increase of 22%. Net revenues were
$4,854,000 for the quarter ended March 31, 2007, as compared with  $3,988,000 in
the prior year period, an increase of 22%. This increase is the direct result of
the continued expansion of our agent network and customer base which resulted in
a 27% increase in the number of transactions processed.

Costs and expenses

      Commissions  totaled  $3,124,000  for the quarter ended March 31, 2007, as
compared  with  $2,478,000  in the prior year period,  an increase of 26%.  This
increase is the result of the increase in net  revenues.  As a percentage of net
revenues, commissions were 64% and 62% for the quarters ended March 31, 2007 and
2006, respectively. This increase is the result of agent and revenue mix as well
as  agent  rate  increases  based  upon  achieving   revenue  and  profitability
benchmarks.

      Operating  expenses  totaled  $1,115,000  for the quarter  ended March 31,
2007, as compared with $888,000 in the prior year period, an increase of 26%. As
a percentage  of net  revenues,  operating  expenses  were 23.0% for the quarter
ended March 31,  2007,  as  compared  with 22.3% in the prior year  period.  The
increase  is  the  direct  result  of  the  increase  in  selling,  general  and
administrative expenses in connection with our business expansion.  During 2006,
we moved our  headquarters,  increasing  our space to 5,300 square feet. We have
increased  administrative  staff  commensurate  with the increase in transaction
volume.  We presently  have  adequate  facilities  and  management to handle the
present  and  anticipated  transaction  volume  in 2007  without  a  significant
increase in overhead.


                                       11
<PAGE>

      Interest  expense was $46,000 for the  quarter  ended March 31,  2007,  as
compared  with $6,000 in the prior year period.  This  increase is primarily the
result of increased borrowings pursuant to our $2.5 million line of credit.

Income tax

      Income tax  expense  for the  quarter  ended  March 31,  2007 of  $243,000
consisted of the  utilization  of the deferred tax benefit of $208,000 and state
income  taxes of $35,000  compared to an income tax benefit of $539,000  for the
quarter ended March 31, 2006 which consisted of a benefit of $783,000  resulting
from  the  anticipated   future   utilization  of  available  federal  tax  loss
carryforwards,  net of the  utilization  of the deferred tax benefit of $209,000
and state income taxes of $35,000.  The increase in income taxes is because,  as
of December 2006, we had fully recognized the anticipated  future utilization of
available  federal  tax loss  carryforwards  as  management  believes it is more
likely  than not  that  they  will be  realized  by the end of the  carryforward
periods.

Trends and uncertainties

      The  transportation  industry is highly competitive and highly fragmented.
Our primary  competitors  are other non-asset based as well as asset based third
party logistics companies, freight brokers, carriers offering logistics services
and freight  forwarders.  We also compete with customers' and shippers' internal
traffic and  transportation  departments as well as carriers  internal sales and
marketing  departments  directly seeking shippers'  freight.  We anticipate that
competition for our services will continue to increase.  Many of our competitors
have substantially greater capital resources,  sales and marketing resources and
experience.  We cannot  assure you that we will be able to  effectively  compete
with our  competitors  in  effecting  our  business  expansion  plans.  The most
significant trend contributing to our growth during the past four years has been
the  expansion of our  brokerage  services  agent  network and  expansion of our
contract carrier agent and owner operator network.  Sales agents are independent
contractors  and, as such,  there are no assurances  that we can either maintain
our existing agent network or continue to expand this network.

      For the quarter  ended March 31,  2007,  our gross  revenues  increased to
$22.1 million from $18.1 million in the prior year. As of March 31, 2007, we had
an accumulated deficit of $7.1 million.  Factors that could adversely affect our
operating results include:

            o     the success of Sunteck in expanding  its business  operations;
                  and

            o     changes in general economic conditions.

      Depending on our ability to generate  revenues,  we may require additional
funds to expand  Sunteck's  business  operations  and for  working  capital  and
general corporate  purposes.  Any additional equity financing may be dilutive to
stockholders, and debt financings may involve restrictive covenants that further
limit  our  ability  to make  decisions  that  we  believe  will be in our  best
interests.  In  the  event  we  cannot  obtain  additional  financing  on  terms
acceptable to us when required,  our ability to expand Sunteck's  operations may
be materially adversely affected.

Liquidity and capital resources

      During the past two years,  our  sources  for cash have been the cash flow
generated from operations and available borrowings under our line of credit.

      At March 31, 2007, we had outstanding $2,598,000 under our $4,000,000 line
of credit. The line of credit facility,  obtained from a bank in May 2003, is at
an interest rate of LIBOR plus 2% and is subject to the  maintenance  of certain
financial  covenants,  is secured by  accounts  receivable  and other  operating
assets,  and matures in June 2008.  We believe that we have  sufficient  working
capital  to meet  our  short-term  operating  needs  and that we will be able to
increase, extend or replace the line of credit on terms acceptable to us.


                                       12
<PAGE>

      At March  31,  2007,  we had  liquid  assets  of  approximately  $374,000.
Available cash is used to reduce borrowings on our line of credit.

      The total  amount of debt  outstanding  as of March 31,  2007 and 2006 was
$2,598,000  and $601,000,  respectively.  The following  table presents our debt
instruments and their weighted  average  interest rates as of March 31, 2007 and
2006, respectively:

<TABLE>
<CAPTION>
                                          Weighted                          Weighted
                         Balance        Average Rate        Balance       Average Rate
                       ------------------------------------------------------------------
                                   2007                               2006
                       ------------------------------------------------------------------
<S>                     <C>                <C>              <C>                <C>
       Line of Credit   2,598,000          7.32%            601,000            8.25%
</TABLE>

      Inflation  and changing  prices had no material  impact on our revenues or
the  results of  operations  for the period  ended March 31,  2007.  Higher fuel
prices have had no material  impact on our revenues or the results of operations
for the period ended March 31, 2007  because,  as a broker,  we are able to pass
through to our customers any increased costs  incurred.  The higher cost of fuel
passed  through as a fuel  surcharge  has  become an  industry  standard  and an
acceptable business practice.

Critical accounting policies

      Preparation  of our  financial  statements  requires  management  to  make
estimates  and  assumptions  that  affect  the  reported  amounts  of assets and
liabilities  and disclosure of contingent  assets and liabilities at the date of
the  financial  statements  and the  reported  amounts of revenues  and expenses
during the reporting  period.  Note 1 to the notes to the  financial  statements
included  in this  report  includes  a  summary  of the  significant  accounting
policies and methods used in the  preparation of our financial  statements.  The
most  significant  areas  involving  management  estimates and  assumptions  are
described  below.  Actual  results  could differ  materially  from  management's
estimates under different assumptions or conditions.

Revenue Recognition

      As a  third  party  transportation  logistics  provider,  we  act  as  the
shippers' agent and arrange for a carrier to handle the freight.  Gross revenues
consist of the total dollar value of services purchased by shippers.  Revenue is
recognized   upon  the   delivery  of   freight,   at  which  time  the  related
transportation cost, including commission, is also recognized. At that time, our
obligations are completed and collection of receivables is reasonably assured.

      Emerging  Issues  Task Force No.  99-19,  "Reporting  Revenues  Gross as a
Principal  Versus  Net as an  Agent"  (EITF  99-19),  establishes  criteria  for
recognizing  revenues on a gross or net basis. We are the primary obligor in our
transactions, have all credit risk, maintain substantially all risk and rewards,
have  discretion  in  selecting  the  supplier,  and have  latitude  in  pricing
decisions.  Accordingly,  we  record  all  transactions  at  the  gross  amount,
consistent with the provisions of EITF 99-19.

Income Taxes

      The deferred tax asset  represents  expected future tax savings  resulting
from our net operating loss  carryforwards.  As of December 31, 2006, we had net
operating loss  carryforwards of approximately  $11.6 million for federal income
tax purposes which expire through 2014. Utilization of this benefit is primarily
subject to the extent of our future earnings,


                                       13
<PAGE>

and may be limited by, among other things,  stockholder  changes,  including the
possible  issuance of additional  shares in one or more financing or acquisition
transactions.  As of December  2006,  we had fully  recognized  the  anticipated
future  utilization of available  federal tax loss  carryforwards  as management
believes it is more likely than not that they will be realized by the end of the
carryforward periods.

Provision For Doubtful Accounts

      We  continuously  monitor the  creditworthiness  of our customers and have
established an allowance for amounts that may become uncollectible in the future
based on current economic trends,  our historical payment and bad debt write-off
experience, and any specific customer related collection issues.

Off-balance sheet arrangements

      We do not have any off-balance sheet arrangements.


                                       14
<PAGE>

           QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

      None.

                             CONTROLS AND PROCEDURES

      Our management,  with the participation of our chief executive officer and
chief  financial  officer,  has evaluated the  effectiveness  of our  disclosure
controls  and  procedures  (as  such  term is  defined  in Rules  13a-15(e)  and
15d-15(e)  under the Securities  Exchange Act of 1934, as amended (the "Exchange
Act"))  as of the end of the  period  covered  by  this  report.  Based  on that
evaluation,  our chief  executive  officer  and  chief  financial  officer  have
concluded  that,  as of the end of such  period,  our  disclosure  controls  and
procedures are effective to ensure that information  required to be disclosed by
us in the  reports  that  we file or  submit  under  the  Exchange  Act is:  (i)
recorded, processed,  summarized and reported, within the time periods specified
in the  SEC's  rules  and  forms;  and  (ii)  accumulated  and  communicated  to
management,  including our chief  executive  and chief  financial  officers,  as
appropriate to allow timely decisions regarding required disclosure.

      There have not been any changes in our  internal  control  over  financial
reporting (as such term is defined in Rules  13a-15(f)  and 15d-15(f)  under the
Exchange Act) that occurred  during the period  covered by this report that have
materially affected, or are reasonably likely to materially affect, our internal
control over financial reporting.

                           Part II - OTHER INFORMATION

Item 1 - 5: Inapplicable.

Item 6:     Exhibits

31A         Certification of Chief Executive Officer Pursuant to Section 302 of
            the Sarbanes-Oxley Act of 2002.*

31B         Certification of Chief Financial Officer Pursuant to Section 302 of
            the Sarbanes-Oxley Act of 2002.*

32A         Certification  of Chief  Executive  Officer  Pursuant  to 18  U.S.C.
            Section   1350,   as  adopted   Pursuant   to  Section  906  of  the
            Sarbanes-Oxley Act of 2002.*

32B         Certification  of Chief  Financial  Officer  Pursuant  to 18  U.S.C.
            Section   1350,   as  adopted   Pursuant   to  Section  906  of  the
            Sarbanes-Oxley Act of 2002.*

-----------------------
*Filed as an exhibit hereto.


                                       15
<PAGE>

                                   SIGNATURES

           Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.

                                    AUTOINFO, INC.


                                        /s/ Harry Wachtel
                                        ----------------------------------------
                                         Harry Wachtel
                                        President and Chief Executive Officer
                                        (Principal Executive Officer)


                                        /s/ William Wunderlich
                                        ----------------------------------------
                                        William Wunderlich
                                        Chief Financial Officer
                                        (Principal Financial Officer)

Date: May 11, 2007


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