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                                 UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION

                                  FORM 10-QSB
                        Quarterly or Transitional Report

             [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (D)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

                    FOR THE QUARTER ENDED SEPTEMBER 30, 1997

                                       or

             [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

                         COMMISSION FILE NUMBER 2-29987

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


<TABLE>
<S>                                                                 <C>
     NEW YORK                                                                11-1714403
     --------                                                                ----------
(State or other jurisdiction of                                     (IRS Employer Identification No.)
incorporation or organization)

301 CITY AVENUE, BALA CYNWYD, PA                                                     19004
--------------------------------                                                     -----
(Address of principal executive offices)                                           (Zip Code)
</TABLE>

                                  215 667-8225
                                  ------------
                          (Issuer's telephone number)

         Check whether the issuer (1) 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
                                        ---------     --------- 

                      APPLICABLE ONLY TO CORPORATE ISSUERS

         The number of shares outstanding of the issuer's common stock as of
September 30, 1997 was 8,100,000.

         Transitional Small Business Disclosure Format (check one): Yes    No X
                                                                       ---   ---
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                               TABLE OF CONTENTS

<TABLE>
<S>                                                                              <C>
PART I - FINANCIAL INFORMATION:                                                    PAGE NO.

         ITEM 1. Balance Sheets as of September 30, 1997
                 and September 30, 1996                                              3
                                                               
                 Statements of Operations                      
                 Nine Months Ended September 30, 1997          
                 and September 30, 1996                                              4
                                                               
                 Statement of Cash Flows                       
                 Nine Months Ended September 30, 1997          
                 and September 30, 1996                                              5
                                                               
                 Notes to Financial Statements                                       6

         ITEM 2. Management's Discussion and
                 Analysis of Financial Condition           
                 and Results of Operations                                           7

PART II - OTHER INFORMATION:

         ITEM 1. Legal Proceedings                                                   8

         ITEM 2. Changes in Securities                                               8

         ITEM 3. Defaults Upon Senior Securities                                     8

         ITEM 4. Submission of Matters to a Vote                                     8
                 of Security Holders

         ITEM 5. Other Information                                                   8

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

                 Signatures                                                          9
</TABLE>



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                                                   UPWARD TECHNOLOGY CORPORATION

                                                                        CONTENTS


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


<TABLE>
                 <S>                                                                                       <C>
                 FINANCIAL STATEMENTS
                     Statements of assets, liabilities and stockholder's equity                            3
                     Statements of revenue, expenses and (deficit)                                         5
                     Statements of cash flows                                                              5

                 NOTE TO FINANCIAL STATEMENTS                                                              6
</TABLE>





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                                                   UPWARD TECHNOLOGY CORPORATION

                      STATEMENTS OF ASSETS, LIABILITIES AND STOCKHOLDER'S EQUITY




================================================================================
<TABLE>
<CAPTION>
September 30,                                                                      1997                  1996
-------------------------------------------------------------------------------------------------------------
<S>                                                                      <C>                   <C>
ASSETS

CURRENT ASSETS
    Cash and cash equivalents                                            $      198,849        $      204,760
    Prepaid expenses                                                                422                   422
-------------------------------------------------------------------------------------------------------------

TOTAL ASSETS                                                             $      199,271        $      205,182
=============================================================================================================


LIABILITIES AND STOCKHOLDER'S EQUITY

CURRENT LIABILITIES
    Accrued liabilities                                                  $        --           $        4,321
-------------------------------------------------------------------------------------------------------------

TOTAL LIABILITIES                                                                 --                    4,321
-------------------------------------------------------------------------------------------------------------

STOCKHOLDER'S EQUITY
    Common stock, par value $.02 per share
        Authorized 24,000,000 shares
        Issued and outstanding 8,100,000 shares                                 162,000               162,000
    Additional paid-in capital                                                1,983,208             1,983,208
    (Deficit)                                                                (1,945,937)           (1,944,347)
-------------------------------------------------------------------------------------------------------------

TOTAL STOCKHOLDER'S EQUITY                                                      199,271               200,861
-------------------------------------------------------------------------------------------------------------

                                                                         $      199,271        $      205,182
=============================================================================================================
</TABLE>

        See accompanying independent accountants' compilation report and note to
                                                           financial statements.





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                                                   UPWARD TECHNOLOGY CORPORATION

                                   STATEMENTS OF REVENUE, EXPENSES AND (DEFICIT)


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


<TABLE>
<CAPTION>
Nine months ended September 30,                                                      1997               1996
-------------------------------------------------------------------------------------------------------------
<S>                                                                      <C>                  <C>
REVENUE
    Interest income                                                      $          6,493     $        7,291
-------------------------------------------------------------------------------------------------------------

EXPENSES
    Administrative                                                                  6,365              4,795
-------------------------------------------------------------------------------------------------------------

NET INCOME                                                                            128              2,496

(DEFICIT), at beginning of period                                              (1,946,065)        (1,946,843) 
-------------------------------------------------------------------------------------------------------------

(DEFICIT), at end of period                                              $     (1,945,937)        (1,944,347) 
=============================================================================================================

GAIN (LOSS) PER SHARE                                                    $            .00     $          .00
=============================================================================================================


WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING                                   8,100,000          8,100,000
=============================================================================================================
</TABLE>

        See accompanying independent accountants' compilation report and note to
                                                           financial statements.





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                                                   UPWARD TECHNOLOGY CORPORATION

                                                        STATEMENTS OF CASH FLOWS


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


<TABLE>
<CAPTION>
Nine months ended September 30,                                                        1997              1996
-------------------------------------------------------------------------------------------------------------
<S>                                                                             <C>               <C>
CASH FLOWS FROM OPERATING ACTIVITIES
    Net income                                                                  $       128       $     2,496
    (Decrease) in accrued liabilities                                                (7,546)           (3,679)
-------------------------------------------------------------------------------------------------------------

NET CASH (USED IN) OPERATING ACTIVITIES                                              (7,418)           (1,183)

CASH AND CASH EQUIVALENTS, at beginning of period                                   206,267           205,943
-------------------------------------------------------------------------------------------------------------

CASH AND CASH EQUIVALENTS, at end of period                                     $   198,849       $   204,760
=============================================================================================================
</TABLE>

        See accompanying independent accountants' compilation report and note to
                                                           financial statements.





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                                                   UPWARD TECHNOLOGY CORPORATION

                                                    NOTE TO FINANCIAL STATEMENTS


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


1.    BASIS OF                  The accompanying unaudited financial statements 
      PRESENTATION              have been prepared in accordance with generally
                                accepted accounting principles for interim
                                financial reporting and instructions to Form
                                10-QSB and of Regulation S-B (including Item
                                310(b) thereof). These statements do not include
                                all of the information and footnotes required by
                                generally accepted accounting principles for
                                complete financial statements. These statements
                                should be read in conjunction with the audited
                                financial statements for 1996 included in the
                                Company's Form 10-KSB Annual Report to the
                                Securities and Exchange Commission. In the
                                opinion of management, all adjustments necessary
                                (consisting only of normal recurring accruals)
                                for a fair presentation have been made to the
                                accompanying financial statements for the
                                interim periods.

                                The results of operations for the nine months
                                ended September 30, 1997 are not necessarily
                                indicative of results to be expected for the
                                entire year ending December 31, 1997.





                   See accompanying independent accountants' compilation report.

                                                                               6
<PAGE>   8
ITEM 2 - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS

         The following discussion and analysis provides information which the
Company's management believes is relevant to an assessment and understanding of
the Company's results of operations and financial condition. This discussion
should be read in conjunction with the financial statements and notes thereto
included elsewhere herein.

RESULTS OF OPERATIONS

         The Company, having sold its operating assets in 1989, had no
operations for the quarter ending September 30, 1997.  Although the Company is
spending only minimum amounts to keep current with required Exchange Act
filings and stock transfers, declining interest rates continue to erode the
Company's principal asset, cash and cash equivalents.

         Management is continuing to search for a suitable merger partner that
can utilize our public vehicle. There is no assurance that a suitable partner
will be found in the near future, although management continues to review
business plans of companies seeking such a combination.

LIQUIDITY AND CAPITAL RESOURCES

                 All assets are cash or cash equivalents. The Company's working
capital and cash position at September 30, 1997 is approximately $199,000.
Because the regulatory and accounting expenses for maintaining the corporate
structure exceeds the low interest yield on the Company's cash deposits,
liquidity can be expected to diminish.





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                          PART II - OTHER INFORMATION


         ITEM 1. LEGAL PROCEEDINGS
                          None

         ITEM 2. CHANGES IN SECURITIES
                          None

         ITEM 3. DEFAULTS UPON SENIOR SECURITIES
                          None

         ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF
                          SECURITY HOLDERS
                          None

         ITEM 5. OTHER INFORMATION
                          None

         ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
                          None





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                                   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, duly authorized at Bala Cynwyd, Pennsylvania on the 13th day of
November, 1997.



                        UPWARD TECHNOLOGY CORPORATION
                        
                        
                        
                        
                        BY:      /s/ ALBERT M. ZLOTNICK
                           ----------------------------
                                 Albert M. Zlotnick, President
                                 and Chief Executive Officer
                        
                        
                        
                        
                        BY:      /s/ IRVING I. LASSOFF
                                 ---------------------
                                 Irving I. Lassoff, Secretary, Treasurer
                                 and Principal Financial Officer
                        




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