<PAGE>   1


                                   FORM 10-Q

                       SECURITIES AND EXCHANGE COMMISSION
                            WASHINGTON, D.C.  20549

                 Quarterly Report Under Section 13 or 15(d) of
                      The Securities Exchange Act of 1934



(Mark One)
[X]         QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
            EXCHANGE ACT OF 1934
            For the quarterly period ended June 30, 1997
[ ]         TRANSITION REPORT PURSUANT OR SECTION 13 OR 15(d) OF
            THE SECURITIES EXCHANGE ACT OF 1934
            For the transition period from            to
                                           ----------    ----------

                           Commission File No. 0-7770

                            MCCLAIN INDUSTRIES, INC.
             (Exact name of registrant as specified in its charter)


         Michigan                                           38-1867649
          State of Incorporation              I.R.S. Employer I.D. No.


                               6200 Elmridge Road
                        Sterling Heights, Michigan 48310
                                 (810) 264-3611
         (Address of principal executive offices and telephone number)


     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 August 9, 1997.

Common Stock, No Par Value                           4,744,357          
--------------------------                      ----------------   
          Class                                 Number of Shares








                                    1 of 11




<PAGE>   2


                         PART I.  FINANCIAL INFORMATION

Item 1.  Financial Statements


                            MCCLAIN INDUSTRIES, INC.

                     CONDENSED CONSOLIDATED BALANCE SHEETS

<TABLE>
<CAPTION>

                                       JUNE 30,          SEPTEMBER 30,  
                                         1997                1996       
                                      (unaudited)              *        
                                    --------------       -------------  
<S>                                  <C>                 <C>           
                                                                        
CURRENT ASSETS                                                          
                                                                        
                                                                        
Cash and Cash Equivalents            $ 1,507,580          $ 1,065,039   
Accounts Receivable (Net)             18,244,577           18,502,950   
Inventories                           32,249,506           25,577,000   
Net Investment in Sales Type                                        
   Leases - Current Portion            2,790,000            1,910,000   
                                                                        
Prepaid expenses                         326,111              191,645   
                                     -----------          -----------   
                                                                        
   Total Current Assets               55,117,774           47,246,634   
                                     -----------          -----------   
                                                                        
Property and equipment                41,027,855           38,147,522   
   Accumulated depreciation          (15,393,514)         (13,899,589)  
                                     -----------          -----------   
                                                                        
Net Property and Equipment            25,634,341           24,247,933   
                                     -----------          -----------   
                                                                        
Net Investment in Sales Type                                        
   Leases - Less Current Portion       5,412,071            3,706,350   
                                     -----------          -----------
Other Assets                           3,667,940            4,224,338
                                     -----------          -----------

Total Assets                         $89,832,126          $79,425,255
                                     ===========          ===========

                    LIABILITIES AND STOCKHOLDERS' INVESTMENT

CURRENT LIABILITIES

Current Portion of Long-Term Debt     $2,900,000          $ 2,132,201  
Accounts Payable                      15,246,938           10,547,642  
Accrued Liabilities                    2,499,137            2,165,869  
Federal and State Income Taxes           797,269               29,283  
                                     -----------          -----------  
                                                                       
Total Current Liabilities             21,443,344           14,874,995  
                                     -----------          -----------  
                                                                       
Deferred Income Taxes                  2,100,000            2,100,000  
                                     -----------          -----------  
                                                                       
Long Term Debt - Less                                                  
     Current Portion                  36,395,293           34,217,149  
                                     -----------          -----------  
                                                                       
Other Liabilities                      2,933,589            2,775,856  
                                     -----------          -----------  
                                                                       
Stockholders' Investment              26,959,900           25,457,255  
                                     -----------          -----------  
                                                                       
Total Liabilities and                                                  
     Stockholders' Investment        $89,832,126          $79,425,255  
                                     ===========          ===========  
</TABLE>

                                                                       
See notes to condensed consolidated financial statements.
* Derived from audited financial statements

                                    2 of 11


<PAGE>   3


                            MCCLAIN INDUSTRIES, INC.

                CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                                   UNAUDITED


<TABLE>
<CAPTION>


                         Three Months Ended           Nine Months Ended       
                              June 30,                     June 30,           
                        1997           1996          1997          1996       
                        -------------------          ------------------       
<S>                 <C>            <C>           <C>            <C>

Net Sales              $26,082,847   $24,924,635    $66,372,622   $62,006,070 
Cost of Sales           20,065,011    18,414,853     51,520,407    47,069,571 
                       -----------   -----------    -----------   ----------- 
                                                                              
Gross Profit             6,017,836     6,509,782     14,852,215    14,936,499 
                                                                              
Selling, General                                                              
and Administrative                                                            
Expenses                 3,564,626     3,069,875     10,207,635     9,483,823 
                       -----------   -----------    -----------   ----------- 
                                                                              
Operating Profit         2,453,210     3,439,907      4,644,580     5,452,676 
                       -----------   -----------    -----------   ----------- 
                                                                              
Other Income (Expense)

   Interest expense       (842,055)     (753,650)    (2,511,449)   (2,310,200) 
   Interest income         304,540       196,096        884,975       559,481  
   Other expense          (344,936)     ( 33,278)    (  820,937)     (440,394) 
                       -----------   -----------    -----------   -----------  
                                                                               
Net Other Expense         (882,451)     (590,832)    (2,447,411)   (2,191,113) 
                       -----------   -----------    -----------   -----------  
                                                                               
Income before                                                                  
   Income taxes          1,570,759     2,849,075      2,197,169     3,261,563  
   Income taxes            534,000       969,000        747,000     1,109,000  
                       -----------   -----------    -----------   -----------  
                                                                               
Net Income             $ 1,036,759   $ 1,880,075    $ 1,450,169   $ 2,152,563  
                       ===========   ===========    ===========   ===========
Net Income Per Common
   Equivalent Shares   $       .21   $       .40    $       .30   $       .46
                       ===========   ===========    ===========   ===========

Weighted Average Number
   of Common and Common
   Equivalent  Shares
    Outstanding          4,773,727     4,698,042      4,773,727     4,698,042
                       ===========   ===========    ===========   ===========

</TABLE>




See notes to condensed consolidated financial statements.







                                    3 of 11



<PAGE>   4



                            MCCLAIN INDUSTRIES, INC.

                CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   UNAUDITED



<TABLE>
<CAPTION>


                                                        NINE MONTHS ENDED    
                                                              JUNE 30,        
                                                        ------------------   
                                                        1 9 9 7   1 9 9 6    
                                                        ------------------   
<S>                                                  <C>          <C>          
CASH FLOW FROM OPERATING ACTIVITIES:                                           
Net income                                            $1,450,169   $2,152,563  
Adjustments to reconcile net income to net                                     
  cash used in operating activities:                                           
   Depreciation and amortization                       2,685,268    1,885,700  
   Common stock issued in lieu of cash                    20,244        4,246  
    Changes in operating assets and liabilites                                 
    which provided (used) cash:                                                
     Current assets excluding                                                  
      cash & cash equivalents                         (7,428,600)  (2,863,752) 
     Other assets                                     (1,605,890)  (1,000,881) 
     Accounts payable                                  4,699,296    1,428,184) 
     Accrued liabilities                                 333,268   (  127,057) 
     Federal income tax                                  767,986      433,415  
     Other liabilities                                   151,733      564,101  
                                                     -----------   ----------  
   NET CASH PROVIDED BY OPERATING ACTIVITIES           1,079,474    2,476,519  
                                                     -----------   ----------  
                                                                               
CASH FLOWS FROM INVESTING ACTIVITIES:                                          
  Additions to property and equipment                 (3,615,109)  (1,236,035) 
                                                     -----------   ----------  
                                                                               
   NET CASH USED IN INVESTING ACTIVITIES              (3,615,109)  (1,236,035) 
                                                     -----------   ----------  
                                                                               
CASH FLOWS FROM FINANCING ACTIVITIES:                                          
  Additions (repayments of) long term debt             2,945,943   (  540,790) 
  Sale of common stock                                   129,201      169,219  
  Redemption of common stock                           (  96,968)      -       
                                                     -----------   ----------  
                                                                               
  NET CASH PROVIDED (USED) BY FINANCING ACTIVITIES     2,978,176   (  371,571) 
                                                     -----------   ----------  
                                                                               
NET INCREASE IN CASH AND CASH EQUIVALENTS                442,541      868,913  
                                                                               
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD         1,065,039    1,173,370  
                                                     -----------   ----------  
                                                                               
CASH AND CASH EQUIVALENTS, END OF PERIOD             $ 1,507,580   $ 2,042,283 
                                                     ===========   =========== 
</TABLE>
                                                                               
                                                                               

  See notes to condensed consolidated financial statements.


                                   4 of 11




<PAGE>   5



                          MCCLAIN INDUSTRIES, INC.


      NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

                       NINE MONTHS ENDED JUNE 30, 1997


1.   Basis of Presentation

     The accompanying unaudited Condensed Consolidated Financial Statements of
McClain Industries, Inc. and subsidiaries (the "Company") have been prepared in
accordance with generally accepted accounting principles for interim financial
information and with the instructions to Form 10-Q and Rule 10-01 of Regulation
S-X.  Accordingly, such Statements do not include all of the information and
footnotes required by generally accepted accounting principles for complete
financial statements.  In the opinion of management, all adjustments
(consisting of normal recurring accruals) considered necessary for a fair
presentation have been included.  Operating results for the three month and
nine month periods ended June 30, 1997, are not necessarily indicative of the
results that may be expected for the year ending September 30, 1997.  For
further information, refer to the Consolidated Financial Statements and
footnotes thereto included in the Company's Annual Report on Form 10-K for the
year ended September 30, 1996.

2.   Inventories

     Inventories at June 30, 1997 and September 30, 1996 are summarized as
follows:

                                (Unaudited)
                               June 30, 1997      September 30,1996
                               -------------      -----------------

Material and Supplies          $14,512,278          $11,677,000
Work in Process                  8,707,367            6,776,000
Finished Goods                   9,029,861            7,124,000
                               -----------          -----------
                               $32,249,506          $25,577,000
                               ===========          ===========

3.   Earnings per Common Share and Common Equivalent Share

     Earnings per common share and common equivalent share were calculated
using the weighted average number of common shares and common share
equivalents outstanding during the period.  The weighted average number of
common shares actually outstanding was increased by the number of shares
issuable on the exercise of the dilutive stock options when the market
price of the common shares exceeds the option price granted.  This increase
in the number of common shares was reduced by the number of common shares
that are assumed to have been repurchased with the proceeds from the
exercise of the stock options; those repurchases were assumed to have been
made at the average price of the common stock during the period.









                                   5 of 11


<PAGE>   6




                            MCCLAIN INDUSTRIES, INC.

        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

                        NINE MONTHS ENDED JUNE 30, 1997


3.   Earnings per Common Share and Common Equivalent Share - (continued)

     In February 1997, the Financial Accounting Standards Board (FASB) issued
Statement of Financial Accounting Standards (SFAS) No. 128, Earnings Per Share.
SFAS No. 128 simplifies the standards for computing earnings per share (EPS)
and makes them comparable to international EPS standards.  It also replaces the
presentation of primary EPS with a presentation of basic EPS.  Implementation
of SFAS No.  128 is not expected to have a material impact on the Corporation's
reporting of EPS.  SFAS No. 128 is required to be implemented for periods
ending after December 15, 1997.


4.   Depreciation

     For the nine months ended June 30, 1997 and 1996, depreciation charges
were $2,228,700 and $1,791,124. respectively.


5.   Contingencies

     Legal Proceedings

     The Company is from time to time subject to various claims from existing
or former employees alleging gender, age or racial discrimination and
anti-union activity, none of which are expected to have a material adverse
affect on the Company.  In addition, as a manufacturer of industrial products,
the Company is, from time to time, subjected to various product liability
claims.  Such claims typically involve personal injury or wrongful death
associated with the use or misuse of the Company's products.  While such claims
have not been material to the Company in any year and the Company believes that
it maintains adequate product liability insurance, there can be no assurance
that such insurance will continue to be available on terms acceptable to the
Company.  Any product liability claim not fully covered by insurance, as well
as any adverse publicity from a product liability claim, could have a material
adverse effect on the Company.  The Company is currently defending a few legal
proceedings involving product liability claims relating to McClain, Galion Dump
and E-Z Pack brand products.  Galion Holding, pursuant to an indemnification it
provided Peabody



                                    6 of 11


<PAGE>   7



                            MCCLAIN INDUSTRIES, INC.

        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

                        NINE MONTHS ENDED JUNE 30, 1997


5.   Contingencies - (continued)

Galion Division of Peabody International Corporation ("Peabody") in connection
with the Galion Acquisition, is currently defending a number of legal
proceedings involving product liability claims arising out of products
manufactured by Peabody prior to the date
of the Galion Acquisition.  These claims are also covered by
insurance.  Although the Company has already settled many of these cases and
the Company believes that it can continue to successfully resolve these product
liability claims, there can be no assurance that the Company can continue to do
so.  The Company is not presently a party to any material legal proceedings
except as described above.

     Environmental Matters

The Company's operations are subject to extensive federal, state and local
regulation under environmental laws and regulations concerning, among other
things, emissions into the air, discharges into the waters and the generation,
handling, storage, transportation, treatment and disposal of waste and other
materials.  Inherent in manufacturing operations and in owning real estate is
the risk of environmental liabilities as a result of both current and past
operations, which cannot be predicted with
certainty.  The Company has incurred and will continue to incur costs, on an
ongoing basis, associated with environmental regulatory compliance in its
business.























                                    7 of 11


<PAGE>   8


                            MCCLAIN INDUSTRIES, INC.


ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS.

Overview

     The following discussion should be read in conjunction with the condensed
consolidated financial statements, including the notes thereto, appearing
elsewhere in this report.

     Selected financial data for the Company for the periods indicated:


<TABLE>
<CAPTION>
                           (unaudited)                (unaudited)
                        Three Months ended         Nine Months ended
                             June 30,                   June 30,
                        1997          1996        1997           1996
                        -----         ----        ----           ----
<S>                <C>           <C>            <C>           <C>
Net Sales           $26,082,847   $24,924,635      $66,372,622   $62,006,070

Net Income          $ 1,036,759   $ 1,880,075      $ 1,450,169   $ 2,152,563

Net Earnings Per
Common and Common
Equivalent Share    $       .21   $       .40      $       .30    $      .46

</TABLE>



<TABLE>
<CAPTION>
                                             (unaudited)
                                                As of             As of
                                               June  30,      September 30,
                                                 1997              1996
                                              -----------     -------------
<S>                                         <C>             <C>
                                       
Working Capital                               $33,674,430       $32,371,639
                                       
Total Assets                                   89,832,126        79,425,255
                                       
Long-Term Debt                                 36,395,293        34,217,149
                                       
Stockholders' Investment                       26,959,900        25,427,255
                                       
Weighted Average Number                
of Common and Common Equivalent        
Shares Outstanding                              4,773,727         4,752,050
                                       
Current Ratio                                      2.57:1            3.18:1
                                       
Long-Term Debt to Stockholders'Equity              1.35:1            1.34:1
                                       
</TABLE>


                                   8 of 11




<PAGE>   9
                            MCCLAIN INDUSTRIES, INC.

     The following table presents, as a percentage of net sales, certain
selected financial data for the Company for the periods indicated:



<TABLE>
<CAPTION>
                                                (Unaudited)           (Unaudited)                        
                                           Three Months Ended       Nine Months Ended                    
                                                June 30,                June 30,                         
                                            -----------------       -----------------                    
                                            1997         1996       1997         1996                    
                                            ----         ----       ----         ----                    
<S>                                     <C>        <C>             <C>         <C>       

Net Sales                                100.00%       100.00%     100.00%     100.00%
Cost of Sales                             76.93         73.88       77.62       75.91
                                         ------        ------      ------      ------
                                                                    
Gross Profit                              23.07         26.12       22.38       24.09
                                                                    
Selling, General &                                                  
Administrative Expenses                   13.67         12.32       15.38       15.30
                                         ------        ------      ------      ------
                                                                    
Operating Income                           9.40         13.80        7.00        8.79
Other Expenses                           ( 3.38)       ( 2.37)     ( 3.69)      (3.53)
                                         ------        ------      ------      ------
                                                                    
Income Before Income Taxes                 6.02         11.43        3.31        5.26
                                                                    
Provision for Income Taxes                 2.05          3.89        1.13        1.79
                                         ------        ------      ------      ------
                                                                    
Net Income                                 3.97%         7.54%       2.18%       3.47%
                                         ======       =======      ======      ======
</TABLE>
                                                                 
                                                                












                                   9 of 11



<PAGE>   10



                            MCCLAIN INDUSTRIES, INC.

                      DISCUSSION OF RESULTS OF OPERATIONS



     Net sales for the quarter ended June 30, 1997 (Quarter 1997) increased
4.64% to $26.1 million from $24.9 million for the quarter ended June 30, 1996
(Quarter 1996).  The increase in sales is attributable primarily to the
acquisition of the Demopolis facility in August of 1996 (see the Company's
annual report on Form 10-K for the year ended September 30, 1996).  The
restructuring and consolidation of certain national and regional refuse haulers
continues to create intense competition among manufacturers in the Solid Waste
Equipment Industry causing significant pressure on selling prices and gross
margins.  Management believes that the Company's continuing efforts to evaluate
and upgrade its internal processes together with the diverse product line the
Company has to offer will provide better cost conrols and increased sales
allowing for stronger profits to be generated.  Cost of sales increased to
76.92% for the Quarter 1997 compared to 73.88% for the Quarter 1996.  Selling,
General, and Administrative expenses increased to 13.67% of net sales for the
Quarter 1997 compared to 12.32% for the Quarter 1996  due primarily to
increased sales costs and the addition of the Demopolis facility.

     Net sales for the nine months ended June 30, 1997 increased to 7.04% to
$66.4 million from $62.0 million for the nine months ended June 30, 1996.  Cost
of sales for the nine months ended June 30, 1997 increased to 77.62% from
75.91% for the nine months ended June 30, 1996.  Selling, General, and
Administrative expenses increased to 15.38% of net sales for the nine months
ended June 30, 1997 from 15.30% for the nine months ended June 30, 1996.




                       DISCUSSION OF FINANCIAL CONDITION


     The Company had working capital of approximately $33.7 million at June 30,
1997 compared to $32.4 million at September 30, 1996.  The ratio of current
assets to current liabilities was 2.57 to 1 at June 30, 1997 compared to 3.18
to 1 at September 30, 1996.  Cash flows provided by operations were
approximately $1.1 million for the nine months ended June 30, 1997.  During
this period the Company utilized $3.6 million for the acquisition of machinery
and equipment.


                                    10 of 11


<PAGE>   11






                                  SIGNATURES





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









                                                McCLAIN INDUSTRIES, INC.



Date:    AUGUST 11, 1997          By:   /s/ Kenneth D. McClain 
       --------------------           -------------------------------
                                        Kenneth D. McClain, President



Date:    AUGUST 11, 1997          By:   /s/ Mark S. Mikelait 
       --------------------           -------------------------------
                                        Mark S. Mikelait, Treasurer

















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<PAGE>   12
                                EXHIBIT INDEX


EXHIBIT NO.                     DESCRIPTION
-----------                     -----------

27                      Financial Data Schedule