<PAGE>

================================================================================

               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 quarter ended September 30, 2001.
                                       OR
[_]  Transition report pursuant to Section 13 or 15(d) of the Securities
     Exchange Act of 1934 For the transition period from __________ to ________


                        Commission file number 0-27798

                       WORKGROUP TECHNOLOGY CORPORATION
            (Exact name of registrant as specified in its charter)


                 Delaware                             04-3153644
     (State or other jurisdiction         (I.R.S. Employer Identification No.)
   of incorporation or organization)


91 Hartwell Avenue, Lexington, Massachusetts             02421
  (Address of principal executive offices)            (Zip code)


      Registrant's telephone number, including area code: (781) 674-2000

                            _______________________


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 the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practical date. Class Outstanding at October 24,
2001

               Class                     Outstanding at October 24, 2001
    ----------------------------         -------------------------------
    Common Stock, $.01 par value                    1,841,121


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<PAGE>

                       WORKGROUP TECHNOLOGY CORPORATION
                                     Index

<TABLE>
<CAPTION>
                                                                             Page(s)
                                                                             -------
<S>                                                                          <C>
Part I. Financial Information:

          Item 1.   Condensed Consolidated Balance Sheets
                         at September 30, 2001 and March 31, 2001             2

                    Consolidated Statements of Operations for the
                         three and six month periods ended
                         September 30, 2001 and 2000                          3

                    Consolidated Statements of Cash Flows for the
                         six month periods ended
                         September 30, 2001 and 2000                          4

                    Notes to Consolidated Financial Statements                5-6


          Item 2.   Management's Discussion and Analysis of Financial
                         Condition and Results of Operations                  7-10


Part II. Other Information:

          Item 1.   Legal Proceedings                                         11

          Item 4.   Submission of Matters to a Vote of Security Holders       11

          Item 5.   Other Information                                         11

          Item 6.   Exhibits and Reports on Form 8-K                          11


Signatures                                                                    12
</TABLE>
<PAGE>

                       WORKGROUP TECHNOLOGY CORPORATION
                     Condensed Consolidated Balance Sheets
                                (in thousands)

<TABLE>
<CAPTION>
                                                      September 30,  March 31,
                                                          2001         2001
                                                      (unaudited)
  Assets
 ------------------------------------------------------------------------------
<S>                                                   <C>            <C>
  Current assets:
        Cash and cash equivalents                       $   4,390     $   7,019
        Accounts receivable, net                              232           556
        Prepaid expenses and other current assets             143           123
                                                     ------------   -----------
               Total current assets                         4,765         7,698
                                                     ------------   -----------

  Property and equipment, net                                 745         1,084
                                                     ------------   -----------
                                                        $   5,510     $   8,782
                                                     ============   ===========

  Liabilities and Stockholders' Equity
  -----------------------------------------------------------------------------
  Current liabilities:
        Accounts payable                                $     215     $     756
        Accrued expenses                                      419           592
        Accrued royalties                                     162            51
        Deferred revenue                                    2,070         2,247
                                                     ------------   -----------
               Total current liabilities                    2,866         3,646
                                                     ------------   -----------

  Stockholders' equity:
        Common stock                                           22            22
        Additional paid-in capital                         44,479        44,479
        Treasury stock                                     (1,757)       (1,753)
        Accumulated deficit                               (40,100)      (37,612)
                                                     ------------   -----------
               Total stockholders' equity                   2,644         5,136
                                                     ------------   -----------
                                                        $   5,510     $   8,782
                                                     ============   ===========

The accompanying notes are an integral part of the consolidated financial statements.
</TABLE>

                                       2
<PAGE>

                       WORKGROUP TECHNOLOGY CORPORATION
                     Consolidated Statements of Operations
                     (in thousands, except per share data)

<TABLE>
<CAPTION>
                             Three months ended          Six months ended
                                September 30,              September 30,
                             2001          2000         2001           2000
                                 (unaudited)                (unaudited)
---------------------------------------------------------------------------
<S>                         <C>         <C>          <C>           <C>
Revenue
    Software licenses        $    332   $     317    $      621    $    651
    Maintenance and
      services                  1,538       1,529         3,010       2,959
                           ----------  ----------   -----------  ----------
         Total revenue          1,870       1,846         3,631       3,610

Cost of revenue
    Cost of software
      licenses                     75          87           145         145
    Cost of maintenance
      and services                815         560         1,838       1,150
                           ----------  ----------   -----------  ----------
         Total cost of
           revenue                890         647         1,983       1,295

                           ----------  ----------   -----------  ----------
Gross profit                      980       1,199         1,648       2,315

Operating expenses
    Selling and
      marketing                   732         686         1,494       1,330
    Research and
      development                 922       1,087         1,939       2,243
    General and
      administrative              343         612           794       1,154
                           ----------  ----------   -----------  ----------
         Total operating
           expenses             1,997       2,385         4,227       4,727

                           ----------  ----------   -----------  ----------
Loss from operations           (1,017)     (1,186)       (2,579)     (2,412)

Interest income                    29         165            91         328

                           ----------  ----------   -----------  ----------
Net loss                     $   (988)  $  (1,021)   $   (2,488)   $ (2,084)
                           ==========  ==========   ===========  ==========


Basic and diluted net
 loss per common share        $ (0.54)  $   (0.52)   $    (1.35)   $  (1.05)
                           ==========  ==========   ===========  ==========

Weighted average basic
 and diluted shares
outstanding                     1,841       1,973         1,842       1,993
                          =========== ===========   ===========  ==========

The accompanying notes are an integral part of the consolidated financial statements.
</TABLE>

                                       3
<PAGE>

                       WORKGROUP TECHNOLOGY CORPORATION
                     Consolidated Statements of Cash Flows
                                (in thousands)

<TABLE>
<CAPTION>
                                                  Six months ended September 30,
                                                           2001         2000
                                                              (unaudited)
--------------------------------------------------------------------------------
<S>                                                      <C>           <C>
Cash flows from operating activities:
    Net loss                                             $ (2,488)     $ (2,084)
    Adjustments to reconcile net loss to net cash
          used in operating activities:
      Depreciation and amortization                           354           289
      Loss on disposal of property and equipment                3             0
      Provision for doubtful accounts                           -           (10)
      Changes in operating assets and liabilities:
          Accounts receivable                                 324           102
          Prepaid expenses and other current assets           (20)          106
          Accounts payable                                   (541)          389
          Accrued expenses                                   (168)         (368)
          Accrued royalties                                   111           100
          Deferred revenue                                   (177)         (892)

                                                     ------------   -----------
          Net cash used in operating activities            (2,602)       (2,368)

Cash flows from investing activities:
          Purchases of property and equipment                 (18)         (248)

Cash flows from financing activities:
          Proceeds from issuance of common stock                -             5
          Payments for common stock repurchases                (4)         (222)
          Payments of capital lease obligations                (5)           (5)

                                                     ------------   -----------
          Net cash used in financing activities                (9)         (222)

                                                     ------------   -----------
Net decrease in cash and cash equivalents                  (2,629)       (2,838)

Cash and cash equivalents, beginning of period              7,019        12,406

                                                     ------------   -----------
Cash and cash equivalents, end of period                 $  4,390      $  9,568
                                                     ============   ===========

The accompanying notes are an integral part of the consolidated financial statements.
</TABLE>

                                       4
<PAGE>

                       WORKGROUP TECHNOLOGY CORPORATION
                  Notes to Consolidated Financial Statements


1.    Nature of Business

      Workgroup Technology Corporation (the "Company"), incorporated on May 11,
      1992, provides collaborative product data management solutions through its
      WTC ProductCenter family of products. The Company's products and services
      provide product development organizations with product content management
      and process automation to optimize the product development process
      throughout the extended enterprise, including customers, partners and the
      supply chain.

      During the past year and in the last several quarters, the Company has
      continued to invest in its flagship PDM product, WTC ProductCenter. In
      part, because of this continued investment, the Company has generated
      continued losses from operations which has reduced its cash balances.
      Management has taken actions to reduce discretionary spending and has the
      intent and ability to manage expenditures commensurate with the level of
      sales expected over the next year to ensure adequate cash balances to fund
      operations during the next year.

2.    Summary of Significant Accounting Policies

      Basis of Presentation

      As permitted by the rules of the Securities and Exchange Commission
      applicable to Quarterly Reports on Form 10-Q, these notes are condensed
      and do not contain all disclosures required by generally accepted
      accounting principles. Reference should be made to the consolidated
      financial statements and related notes included in the Company's Annual
      Report on Form 10-K for the fiscal year ended March 31, 2001. In the
      opinion of the management of the Company, the accompanying consolidated
      unaudited financial statements contain all adjustments (consisting of only
      normal, recurring adjustments) necessary to present fairly the Company's
      financial position at September 30, 2001, and the results of its
      operations for the three and six months ended September 30, 2001 and 2000,
      and statements of cash flows for the periods presented. The results for
      the three and six month periods ended September 30, 2001 are not
      necessarily indicative of the results to be expected for the full fiscal
      year.

      Risks and Uncertainties

      The preparation of financial statements in conformity with generally
      accepted accounting principles requires management to make estimates and
      assumptions that affect the reported amounts of assets and liabilities and
      disclosures of contingent assets and liabilities at the date of the
      financial statements and the reported amounts of revenue and expenses
      during the reporting period. Actual results could differ from those
      estimates and could impact future results of operations.

3.    Basic and Diluted Earnings Per Share

      On December 21, 2000, the Company effected a one-for-four reverse stock
      split of the Company's common stock. All references to the number of
      common and per common share amounts have been restated to give retroactive
      effect to the stock split for all periods presented. The Company's basic
      net loss per common share is computed by dividing net loss by the weighted
      average number of shares of common stock outstanding. Potential common
      shares include shares issuable upon the exercise of stock options or
      warrants, net of shares

                                       5
<PAGE>

                       WORKGROUP TECHNOLOGY CORPORATION
                  Notes to Consolidated Financial Statements


      assumed to have been purchased by the Company with the related proceeds.
      Potential common shares, which consisted only of stock options, were
      antidilutive for the three and six month periods ended September 30, 2001
      and 2000 and therefore the diluted net loss per common share was the same
      as basic net loss per common share for those periods.

      Options to purchase weighted average shares of the Company's common stock
      of approximately 477,000 and 438,000 were outstanding for the periods
      ended September 30, 2001 and 2000, respectively, at weighted average
      prices of $4.77 and $5.70, respectively, but were not included in the
      computation of diluted earnings per share because they were antidilutive.

                                       6
<PAGE>

                       WORKGROUP TECHNOLOGY CORPORATION
                    Management's Discussion and Analysis of
                 Financial Condition and Results of Operations



RESULTS OF OPERATIONS
---------------------

Revenue. The Company's revenue consists of license fees for its WTC
ProductCenter family of software products, and fees for professional services
and software maintenance. Revenue for the second quarter of fiscal 2002
increased slightly to $1,870,000 from $1,846,000 compared with the same period
of fiscal 2001. Revenue for the six month period ended September 30, 2001
increased slightly to $3,631,000 from $3,610,000 in the comparable period of
fiscal 2001.

Software license revenue for the three month period ended September 30, 2001
increased 5% to $332,000 from $317,000 in the comparable period of fiscal 2001.
Software license revenue for the six month period ended September 30, 2001
decreased 5% to $621,000 from $651,000 in the comparable period of fiscal 2001.

Software license revenues for the three and six month periods ended September
30, 2001 reflect new license sales of the Company's current PDM product, WTC
ProductCenter 7. Since its release, WTC ProductCenter 7, has been provided as a
no-charge upgrade to existing customers with fully paid-up maintenance
agreements. The Company currently expects to start initial shipments of its new
product, WTC ProductCenter 8, to new and existing customers before the end of
its third fiscal quarter ending December 31, 2001. WTC ProductCenter 8, will be
provided to existing customers with fully paid-up maintenance agreements only
after they have paid an additional 15% software license upgrade fee.

Cost of Revenue and Gross Profit. The Company's cost of software license revenue
consists primarily of third party royalties payable upon the license of products
for which another party is entitled to receive compensation, as well as costs
associated with media, packaging, documentation and delivery of the Company's
products. Gross profit associated with software license revenue for the second
quarter of fiscal 2002 increased to $257,000 or 77% of software license revenue
from $230,000 or 73% of software license revenue in the second quarter of fiscal
2001. This increase in gross profit is due primarily to higher software license
revenue and lower employee related expenses. For the six months ended September
30, 2001, gross profit from software license revenue decreased to $476,000 or
77% of software license revenue from $506,000 or 78% for the same period of
fiscal 2001. This decrease in gross profit is due primarily to lower software
license revenue in fiscal 2002.

Cost of maintenance and services revenue consists primarily of personnel and
related costs for the Company's customer support and professional services
organizations. The Company's gross profit from maintenance and services revenue
decreased to $723,000 or 47% of maintenance and services revenue in the second
quarter of fiscal 2002 from $969,000 or 63% of maintenance and service revenue
in the second quarter of fiscal 2001. For the six months ended September 30,
2001 gross profit from maintenance and services revenue decreased to $1,172,000
or 39% from $1,809,000 or 61% of the associated revenue in the comparable period
of fiscal 2001. These decreases in gross profit are due primarily to a higher
utilization of existing engineering resources for maintenance support.

                                       7
<PAGE>

                       WORKGROUP TECHNOLOGY CORPORATION
                    Management's Discussion and Analysis of
                 Financial Condition and Results of Operations


Selling and Marketing. Selling and marketing expenses increased 7% and 12% for
the three and six month periods ended September 30, 2001 to $732,000 and
$1,494,000, respectively, from $686,000 and $1,330,000, respectively, for the
same periods of fiscal 2001. This increase resulted primarily from an increase
in headcount and related expenses in the sales organization. As a result of
these increases, selling and marketing expenses as a percentage of revenue
increased to 39% and 41% in the three and six month periods of fiscal 2002 from
37% and 37% in the same periods of fiscal 2001.

Research and Development. Research and development expenses decreased 15% and
14% for the three and six month periods ended September 30, 2001 to $922,000 and
$1,939,000, respectively, from $1,087,000 and $2,243,000, respectively, for the
same periods of fiscal 2001. This decrease resulted primarily from lower
headcount in the development organization mostly due to a higher utilization of
existing engineering resources for maintenance support included in cost of
maintenance and services. As a result of these decreases, research and
development expenses as a percentage of revenue decreased to 49% and 53% in the
three and six month periods of fiscal 2002 from 59% and 62% in the same periods
of fiscal 2001.

General and Administrative. General and administrative expenses decreased 44%
and 31% for the three and six month periods ended September 30, 2001 to $343,000
and $794,000, respectively, from $612,000 and $1,154,000, respectively, for the
same periods of fiscal 2001. This decrease resulted primarily from lower
employee related and professional advisor costs. As a result of these decreases,
general and administrative expenses as a percentage of revenue decreased to 18%
and 22% for the three and six month periods of fiscal 2002 from 33% and 32% in
the same periods of fiscal 2001.

Interest Income. Interest income consists primarily of interest earned on cash
and cash equivalents. Interest income for the three and six month periods ended
September 30, 2001 decreased $136,000 or 82% and $237,000 or 72%, respectively,
from the same periods of fiscal 2001. These decreases are primarily the result
of lower interest income due to lower cash and cash equivalent balances during
fiscal 2002.


LIQUIDITY AND CAPITAL RESOURCES
-------------------------------

Cash and cash equivalents at September 30, 2001 decreased $2,629,000 to
$4,390,000 from $7,019,000 at March 31, 2001. This decrease resulted primarily
from cash used for operating activities of $2,602,000 and capital expenditures
of $18,000 during the six month period ended September 30, 2001. Working capital
decreased $2,153,000 to $1,899,000 at September 30, 2001 from $4,052,000 at
fiscal 2001 year end.

In June, 2000, the Board of Directors authorized the repurchase of an additional
250,000 shares of the Company's outstanding common stock. This program is in
addition to previously authorized repurchases of up to 187,500 shares. During
the first two quarters of fiscal 2002, the Company repurchased approximately
4,000 shares of its common stock for $4,000. At September 30, 2001, the Company
had repurchased approximately 333,000 shares of the 437,500 shares authorized by
the Board of Directors.

                                       8
<PAGE>

                       WORKGROUP TECHNOLOGY CORPORATION
                    Management's Discussion and Analysis of
                 Financial Condition and Results of Operations


The Company has generated continued losses from operations which has reduced its
cash balances. Management has taken actions to reduce discretionary spending and
has the intent and ability to manage expenditures commensurate with the level of
sales expected over the next year to ensure adequate cash balances to fund
operations during the next year.

To date, neither foreign currency exposure nor inflation has had a material
impact on the Company's financial results.


CERTAIN FACTORS THAT MAY AFFECT FUTURE RESULTS
----------------------------------------------

The Company does not provide forecasts of its future financial performance.
However, from time-to-time information provided by the Company or statements
made by its employees may contain "forward-looking" information that involves
risks and uncertainties. In particular, statements contained in filings with the
Securities and Exchange Commission (including this Form 10-Q), press releases
and oral statements which are not historical facts constitute forward-looking
statements and are made under the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. The Company's actual results of
operations and financial condition have varied and may in the future vary
significantly from those stated in any forward-looking statements and there can
be no assurance that the results set forth in those statements will be achieved.
Factors that may cause such differences include, but are not limited to, the
factors discussed below. Each of these factors, and others, are discussed from
time to time in the Company's filings with the Securities and Exchange
Commission, including the Company's Form 10-K filed in June 2001.

On August 31, 2001, the Company received notice from The Nasdaq Stock Market,
Inc. that it is subject to possible delisting by The Nasdaq SmallCap Market on
November 29, 2001, unless anytime before November 29, 2001 the bid price of the
Company's common stock is at least $1.00 for a minimum of ten (10) consecutive
trading days. On September 27, 2001, The Nasdaq Stock Market announced that it
had suspended the minimum bid and public float requirements for continued
listing on Nasdaq until January 2, 2002. Under the temporary relief provided by
the new rules, companies will not be cited for bid price or market value of
public float deficiencies. Companies currently under review for deficiencies or
in the hearings process will be taken out of the process with respect to the bid
price or market value of public float requirements. As further described in the
Company's Annual Report on Form 10-K filed in June 2001, the listing of the
Company's securities was transferred to The Nasdaq SmallCap Market on October
30, 2000. There can be no assurance that the Company's common stock will remain
listed on The Nasdaq SmallCap Market. Delisting of the common stock could have
an adverse effect on the market price of, and the efficiency of the trading
market for, the Company's common stock. Also, if in the future the Company
determines that it needs to seek additional equity capital, it could have an
adverse effect on its ability to raise capital in the public equity markets.

The Company's future results are subject to substantial risks and uncertainties.
Because the Company derives a substantial portion of its revenue from software
license fees, the Company's quarterly and annual operating results are sensitive
to the size, timing and shipment of individual orders, customer order deferrals
in anticipation of new products or the lengthening of the sales cycle either
generally or with respect to individual customers. In addition, the Company's
growth is dependent on achieving broader market acceptance of its products, the
growth of the product data

                                       9
<PAGE>

                       WORKGROUP TECHNOLOGY CORPORATION
                    Management's Discussion and Analysis of
                 Financial Condition and Results of Operations


management market and the ability of the Company to introduce enhancements and
additional integrations to its products in a timely manner to meet the evolving
needs of its customers. The Company also relies on certain intellectual property
protections to preserve its intellectual property rights. Any invalidation of
the Company's intellectual property rights or lengthy and expensive defense of
those rights could have a material adverse effect on the Company. The segment of
the software industry in which the Company is engaged is extremely competitive.
Certain current and potential competitors of the Company are more established
and benefit from greater market recognition and have substantially greater
financial, development and marketing resources than the Company.

The Company's quarterly and annual operating results are impacted by a variety
of factors that could materially adversely affect revenues and profitability,
including the timing and shipment of enhancements to the Company's products and
changes or anticipated changes in economic conditions. Because the Company's
operating expenses are relatively fixed, an unanticipated shortfall in revenue
in a quarter may have an adverse impact on the Company's results of operations
for that quarter. As a result of the foregoing and other factors, the Company
may experience material fluctuations in future operating results on a quarterly
or annual basis which could materially and adversely affect its business,
financial condition and stock price.

                                       10
<PAGE>

                       WORKGROUP TECHNOLOGY CORPORATION
                           Part II Other Information


Item 1.   Legal Proceedings

          The Company is not a party to any litigation that it believes would
          have a material impact on its business.


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

          On July 27, 2001, the Company held its Annual Meeting of Stockholders.
          At the meeting, the Stockholders acted upon a proposal to elect one
          Class III director to serve for a three-year term or until his or her
          successor is elected and qualified. The Board of Directors nominated
          and recommended that Mr. Douglas A. Catalano, who is currently a
          director, be elected a Class III director. The proposal was approved
          by the Stockholders. Holders of 1,280,463 shares of common stock voted
          for the proposal. Holders of 57,718 shares withheld and there were no
          broker non-votes. The terms of directors Patrick H. Kareiva, James M.
          McConnell and Frederick H. Phillips continued after the Annual Meeting
          of Stockholders.


Item 5.   Other Information

          Proposals of stockholders intended for inclusion in the proxy
          statement to be furnished to all stockholders entitled to vote at the
          next Annual Meeting of Stockholders of the Company must be received at
          the Company's principal executive offices not later than February 26,
          2002. The deadline for providing timely notice to the Company of
          matters that stockholders otherwise desire to introduce at the next
          annual meeting of stockholders of the Company is February 26, 2002,
          provided, however, notice shall not be given prior to January 29,
          2002. Further, any proposals must comply with the other procedural
          requirements set forth in the Company's By-laws, a copy of which is on
          file with the SEC, and as set forth by the SEC. In order to curtail
          any controversy as to the date on which a proposal was received by the
          Company, it is suggested that proponents submit their proposals by
          Certified Mail, Return Receipt Requested to Workgroup Technology
          Corporation, 91 Hartwell Avenue, Lexington, Massachusetts, 02421,
          Attention: Corporate Secretary.


Item 6.   Exhibits and Reports on Form 8-K

          (a) Exhibits

               None

          (b) Reports on Form 8-K

               No reports on Form 8-K were filed during the quarter ended
               September 30, 2001.

                                       11
<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.


                                   WORKGROUP TECHNOLOGY CORPORATION
                                   Registrant



Date:  October 26, 2001            /s/ Patrick H. Kareiva
      -----------------            ----------------------------------
                                   President, Chief Executive Officer, Chief
                                   Financial Officer, Treasurer and Secretary

                                       12