<PAGE>

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

                                   FORM 10-QSB

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

         For the quarterly period ended October 31, 2003

         [   ]  TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE
                                  EXCHANGE ACT

         For the transition period from ______________ to ________________

         COMMISSION FILE NUMBER: 0-24857

                             POWER TECHNOLOGY, INC.
                     (Exact name of small business issuer as
                            specified in its charter)

             NEVADA                                    88-0395816
             ------                                    ----------
(State or other jurisdiction of             (I.R.S. Employer Identification No.)
Incorporation or organization)


               15 OCEAN VIEW ROAD, LIONS BAY, B.C. V0N 2E0, CANADA
               ---------------------------------------------------
                    (Address of principal executive offices)

                                 (604) 925-0716
                                 --------------
                (Issuer's telephone number, including area code)

                                       N/A
              ----------------------------------------------------
              (Former name, former address and former fiscal year,
                          if changed since last report)


                APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
                   PROCEEDINGS DURING THE PRECEDING FIVE YEARS

                  Check whether the registrant filed all documents and reports
         required to be filed by Section 12, 13 or 15(d) of the Exchange Act
         after the distribution of securities under a plan confirmed by a court.
         Yes [X]    No [ ]

                      APPLICABLE ONLY TO CORPORATE ISSUERS

                  State the number of shares outstanding of each of the issuer's
         classes of common equity, as of the latest practicable date: 47,424,488
         shares as of December 15, 2003.

         Transitional Small Business Disclosure Format (check one):
         Yes [ ]    No [X]

<PAGE>

                             POWER TECHNOLOGY, INC.


                                      INDEX


PART I.  FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS:

             Consolidated Balance Sheet as of October 31, 2003 (unaudited).....3

             Consolidated Statements of Operations for the three months
             and nine months ended October 31, 2003 and 2002...................4

             Consolidated Statements of Cash Flows for the three months
             and nine months ended October 31, 2003 and 2002...................5

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

Item 2.  Management's Discussion and Analysis or Plan of Operations............7

Item 3.  Controls and Procedures..............................................10

PART II. OTHER INFORMATION

Item 1.  Legal Proceedings....................................................10

Item 2.  Changes in Securities................................................10

Item 3.  Defaults on Senior Securities........................................10

Item 4.  Submission of Matters to a Vote of Security Holders..................10

Item 5.  Other Information....................................................10

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

                  Signatures..................................................11


                                       2
<PAGE>

                          PART I. FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS

                             POWER TECHNOLOGY, INC.
                          (a Development Stage Company)
                           Consolidated Balance Sheet
                                   (Unaudited)


                                                                    OCTOBER 31,
                                                                        2003
                                                                    ------------
ASSETS

Current assets:
    Cash and equivalents                                            $     2,606
    Employee advances                                                     1,000
                                                                    ------------
      Total current assets                                                3,606

Fixed assets, net                                                         6,043

Other assets:
    Patents                                                              78,500
                                                                    ------------
                                                                    $    88,149
                                                                    ============

LIABILITIES AND STOCKHOLDERS' (DEFICIT)

Current liabilities:
    Accounts payable                                                $    58,951
    Loans payable                                                        52,174
    Loans payable - related party                                       173,878
                                                                    ------------
      Total current liabilities                                         285,003
                                                                    ------------

                                                                        285,003
                                                                    ------------

Stockholders' (deficit):
    Preferred stock, $0.01 par value, 1,000,000 shares
      authorized, none issued or outstanding                                 --
    Common stock, $0.001 par value, 100,000,000 shares
      authorized, 47,424,488 shares issued and outstanding               47,424
    Additional paid-in capital                                        8,819,379
    (Deficit) accumulated during development stage                   (9,063,657)
                                                                    ------------
                                                                       (196,854)
                                                                    ------------

                                                                    $    88,149
                                                                    ============

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

                                       3
<PAGE>
<TABLE>

                                                 POWER TECHNOLOGY, INC.
                                              (a Development Stage Company)
                                          Consolidated Statements of Operations
                              for the three and nine months ended October 31, 2003 and 2002
                            and for the period June 3, 1996 (inception) to October 31, 2003
                                                       (Unaudited)

<CAPTION>


                                                     FOR THE THREE MONTHS ENDED       FOR THE NINE MONTHS ENDED      JUNE 3, 1996
                                                              OCTOBER 31,                     OCTOBER 31,           (INCEPTION) TO
                                                   ------------------------------  ------------------------------     OCTOBER 31,
                                                         2003            2002            2003            2002            2003
                                                    -------------   -------------   -------------   -------------   -------------
<S>                                                 <C>             <C>             <C>             <C>             <C>
Consulting Revenue                                  $         --    $         --    $         --    $         --    $     26,663
                                                    -------------   -------------   -------------   -------------   -------------

Expenses:
   General administrative expenses                        35,053          82,493          55,080         201,733       2,688,505
   Research & development - related party                     --          53,998              --         144,480       1,350,083
   Consulting fees                                            --              --         156,500              --         156,500
   Consulting fees - related party                            --         408,479          97,700       1,579,616       4,665,022
   Loss from impairment of related party advances             --              --              --              --         127,000
   Depreciation and amortization                           1,040           1,040           3,120           3,120          19,877
                                                    -------------   -------------   -------------   -------------   -------------
                                                          36,093         546,010         312,400       1,928,949       9,006,987

Other income (expense):
   Interest expense                                       (5,498)           (327)             (7)           (699)        (82,196)
   Interest income                                            --               4               2               4             779
   Loss on foreign currency                                   --              --              --              --          (1,916)
                                                    -------------   -------------   -------------   -------------   -------------

Net (loss)                                          $    (41,591)   $   (546,333)   $   (312,405)   $ (1,929,644)   $ (9,063,657)
                                                    =============   =============   =============   =============   =============

Weighted average number of
   common shares outstanding -
   basic and fully diluted                            46,020,738      28,168,888      39,384,738      26,314,409
                                                    =============   =============   =============   =============

Net (loss) per share - basic and fully diluted      $      (0.00)   $      (0.02)   $      (0.01)   $      (0.07)
                                                    =============   =============   =============   =============

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

                                                           4
<PAGE>
<TABLE>

                                            POWER TECHNOLOGY, INC.
                                         (a Development Stage Company)
                                     Consolidated Statements of Cash Flows
                             for the nine months ended October 31, 2003 and 2002
                        and for the period June 3, 1996 (inception) to October 31, 2003
                                                  (Unaudited)
<CAPTION>


                                                                FOR THE NINE MONTHS ENDED           JUNE 3, 1996
                                                                       OCTOBER 31,                   (INCEPTION)
                                                             --------------------------------       TO OCTOBER 31,
                                                                 2003               2002                2003
                                                             -------------      -------------      -------------
<S>                                                          <C>                <C>                <C>
Cash flows from operating activities
Net (loss)                                                   $   (312,405)      $ (1,929,644)      $ (9,063,657)
   Depreciation expense                                             3,120              3,120             19,877
   Loss from impairment of related party advances                      --                 --            127,000
   Stock issued for consulting services - related party            97,700          1,543,953          4,665,022
   Stock issued for consulting services                           156,500                 --            156,500
   Stock issued for interest expense                                   --                 --             60,123
   Stock issued to acquire patents                                     --                 --            (20,000)
Adjustments to reconcile net (loss) to net cash
   (used) by operating activities:
   Increase (decrease) in accounts payable                         (9,972)            (2,662)            58,951
                                                             -------------      -------------      -------------
Net cash (used) by operating activities                           (65,057)          (385,233)        (3,996,184)
                                                             -------------      -------------      -------------

CASH FLOWS FROM INVESTING ACTIVITIES
   Proceeds from loans                                             52,591                 --            752,591
   Proceeds (payments) on loans - related party                   (15,081)            31,812            173,878
   Purchase of equipment                                               --                 --            (21,667)
   Patent acquisition                                                  --                 --            (58,500)
                                                             -------------      -------------      -------------
Net cash provided by investing activities                          37,510             31,812            846,302
                                                             -------------      -------------      -------------

CASH FLOWS FROM FINANCING ACTIVITIES
   Proceeds from convertible debentures                                --             74,633            175,010
   Issuance of common stock                                        30,000            251,456          2,977,478
                                                             -------------      -------------      -------------
Net cash provided by financing activities                          30,000            326,089          3,152,488
                                                             -------------      -------------      -------------
Net increase (decrease) in cash                                     2,453            (27,332)             2,606

Cash and equivalents - beginning                                      153             27,543                 --
                                                             -------------      -------------      -------------
Cash and equivalents - ending                                $      2,606       $        211       $      2,606
                                                             =============      =============      =============

Supplemental disclosures:
   Interest paid                                             $         --       $         --       $         --
                                                             =============      =============      =============
   Income taxes paid                                         $         --       $         --       $         --
                                                             =============      =============      =============
   Non-cash investing and financing activities:
     Number of shares issued for services                       4,872,000          2,316,200         17,165,250
                                                             =============      =============      =============
     Number of shares issued for debt conversion               10,000,000                 --         12,377,958
                                                             =============      =============      =============
     Number of shares issued for interest expense                      --                 --            171,780
                                                             =============      =============      =============
     Number of shares issued to acquire patents                        --                 --            200,000
                                                             =============      =============      =============

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

                                                      5
<PAGE>

                             POWER TECHNOLOGY, INC.
                          (A DEVELOPMENT STAGE COMPANY)
                                      NOTES


NOTE 1 - BASIS OF PRESENTATION AND ABILITY TO CONTINUE AS A GOING CONCERN

The consolidated interim financial statements included herein, presented in
accordance with United States generally accepted accounting principles and
stated in US dollars, have been prepared by the Company, without audit, pursuant
to the rules and regulations of the U.S. Securities and Exchange Commission.
Certain information and footnote disclosures normally included in financial
statements prepared in accordance with generally accepted accounting principles
have been condensed or omitted pursuant to such rules and regulations, although
the Company believes that the disclosures are adequate to make the information
presented not misleading.

These statements reflect all adjustments, consisting of normal recurring
adjustments, which, in the opinion of management, are necessary for fair
presentation of the information contained therein. It is suggested that these
consolidated interim financial statements be read in conjunction with the
financial statements of the Company for its fiscal year ended January 31, 2003
and notes thereto included in the Company's Form 10-KSB annual report. The
Company follows the same accounting policies in the preparation of interim
reports.

Results of operations for the interim periods are not indicative of annual
results.

The accompanying financial statements have been prepared assuming that the
Company will continue as a going concern which contemplates the recoverability
of assets and the satisfaction of liabilities in the normal course of business.
As noted above, the Company is in the development stage and, accordingly, has
not yet generated revenues from operations. Since its inception, the Company has
been engaged substantially in financing activities and developing its product
line, incurring substantial costs and expenses. As a result, the Company
incurred net losses of $9,063,657 during the period June 3, 1996 to October 31,
2003. In addition, the Company's development activities since inception have
been financially sustained by debt and capital contributions from its affiliates
and others.

The ability of the Company to continue as a going concern is dependent upon its
ability to raise additional capital from the sale of common stock and,
ultimately, the achievement of significant operating revenues. The accompanying
financial statements do not include any adjustments that might be required
should the Company be unable to recover the value of its assets or satisfy its
liabilities.

NOTE 2 - FIXED ASSETS

Depreciation expense for the nine months ended October 31, 2003 is $3,120.

NOTE 3 - LOANS PAYABLE

The Company was loaned $52,174 during the nine months ended October 31, 2003.
The loans are non-interest bearing and due on demand.

NOTE 4 - RELATED PARTY TRANSACTIONS

The Company repaid a loan in the amount of $15,081 to its President, Secretary,
Treasurer and largest shareholder, Lee A. Balak, during the nine months ended
October 31, 2003.

                                       6
<PAGE>

                             POWER TECHNOLOGY, INC.
                          (A DEVELOPMENT STAGE COMPANY)
                                      NOTES


NOTE 5 - STOCKHOLDERS' EQUITY

During the nine months ended October 31, 2003, the Company issued 4,872,000
shares of its $0.001 par value common stock to various related and non-related
individuals and entities for consulting services valued at $97,700.

During the nine months ended October 31, 2003, the Company issued 10,000,000
shares of its $0.001 par value common stock to convertible noteholders in
exchange for $700,000 of convertible debt.

During the nine months ended October 31, 2003, the Company issued 1,207,500
shares of its $0.001 par value common stock to an unrelated individual for cash
of $20,000.


ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATIONS.

GENERAL

         Power Technology, Inc. (the "Company), a Nevada corporation, was
incorporated on June 3, 1996. However, the Company did not conduct any
significant operations until March 1998 when it acquired all of the issued and
outstanding capital stock and assets of PowerTek Technology Corporation, Inc.
(formerly called Power Technology, Inc.) which is presently a wholly-owned
subsidiary of the Company. The Company changed its corporate name from "Zepplin
Production Corp." to Power Technology, Inc. during March 1998 to reflect the
change in the purposes and nature of its business.

         The Company is a research and development company. It is presently
engaged in research and development activities regarding: (1) batteries for the
automotive and electric car industries, (2) electronic sensors, and (3) pipeline
connection technology.

IN ADDITION TO HISTORICAL INFORMATION, MANAGEMENT'S DISCUSSION AND ANALYSIS
INCLUDES CERTAIN FORWARD-LOOKING STATEMENTS, INCLUDING, BUT NOT LIMITED TO,
THOSE RELATED TO THE GROWTH AND STRATEGIES, FUTURE OPERATING RESULTS AND
FINANCIAL POSITION AS WELL AS ECONOMIC AND MARKET EVENTS AND TRENDS OF THE
COMPANY. ALL FORWARD-LOOKING STATEMENTS MADE BY THE COMPANY, INCLUDING SUCH
STATEMENTS HEREIN, INCLUDE MATERIAL RISKS AND UNCERTAINTIES AND ARE SUBJECT TO
CHANGE BASED ON FACTORS BEYOND THE CONTROL OF THE COMPANY. ACCORDINGLY, THE
COMPANY'S ACTUAL RESULTS AND FINANCIAL POSITION COULD DIFFER MATERIALLY FROM
THOSE EXPRESSED OR IMPLIED IN ANY FORWARD-LOOKING STATEMENT AS A RESULT OF
VARIOUS FACTORS, INCLUDING WITHOUT LIMITATION FACTORS DESCRIBED IN THE COMPANY'S
FILINGS WITH THE SECURITIES AND EXCHANGE COMMISSION REGARDING RISKS AFFECTING
THE COMPANY'S FINANCIAL CONDITION AND RESULTS OF OPERATIONS.

         The following discussion of the Company's consolidated financial
condition and results of operations should be read in connection with the
Company's consolidated financial statements and notes thereto appearing
elsewhere herein. Factors that could cause or contribute to differences from the
consolidated financial statements include, but are not limited to, risks and
uncertainties related to the need for additional funds, any change in the
operations of the Company, and the ability of the Company to operate profitably
after its development stage is completed.


                                       7
<PAGE>

RESULTS OF OPERATIONS

         A. The following table sets forth certain operating information
regarding the Company for the three months ended October 31, 2003 and 2002:

                                                      Three Months Ended
                                                           October 31
                                                      2003            2002
                                                   -----------     ----------
                                                           (unaudited)
Revenues ....................................      $     -0-       $     -0-
General and administrative expenses .........      $  35,053       $  82,493
Research and Development ....................      $     -0-       $  53,998
Consulting fees .............................      $     -0-       $ 408,604
Net income (loss) ...........................      $ (41,591)      $(546,333)
Net income (loss) per share .................      $   (0.00)      $   (0.02)


Three months ended October 31, 2003 compared with three months ended October 31,
--------------------------------------------------------------------------------
2002
----

         REVENUES. The Company had no revenues during the three months ended
October 31, 2003 and 2002, and is in the development stage.

         GENERAL AND ADMINISTRATIVE EXPENSES. General and administrative
expenses decreased approximately 42.5% to $35,053 in the three month period
ended October 31, 2003, from $82,493 in 2002. This decrease is principally
attributable to decreased activity in its research and development activities.

         RESEARCH AND DEVELOPMENT COSTS. Research and development costs
decreased 100% during the three months ended October 31, 2003 to $-0-, compared
to $53,998 during the three month period ended October 31,2002.

         CONSULTING FEES. Fees paid to consultants by the Company decreased 100%
from $408,479 during the three month period ended October 31, 2002, to $-0-
during the three month period ended October 31, 2003.

         RESULTS OF OPERATIONS. The net loss of the Company decreased to
$(41,591) during the three month period ended October 31, 2003, as compared with
a loss of $(546,333) during the same period of 2002, a decrease of approximately
92.3%, and was due primarily to the decrease in its research and development
activities and lack consulting fees.

         B. The following table sets forth certain operating information
regarding the Company for the nine months ended October 31, 2003 and 2002:

                                                        Nine Months Ended
                                                            October 31
                                                  ------------------------------
                                                      2003               2002
                                                  -------------     ------------
                                                            (unaudited)
Revenues ....................................     $       -0-       $       -0-
General and administrative expenses .........     $    55,080       $   201,733
Research and Development ....................     $       -0-       $   144,480
Consulting fees .............................     $   156,500       $ 1,579,616
Net income (loss) ...........................     $  (312,405)      $(1,929,644)
Net income (loss) per share .................     $      (.01)      $     (0.07)


                                       8
<PAGE>

Nine months ended October 31, 2003 compared with nine months ended October 31,
------------------------------------------------------------------------------
2002
----

         REVENUES. The Company had no revenues during the first nine months of
2003 and 2002, and is in the development stage.

         GENERAL AND ADMINISTRATIVE EXPENSES. General and administrative
expenses decreased approximately 72.7% to $55,080 in the nine month period ended
October 31, 2003, from $201,733 in 2002. This decrease is principally
attributable to decreased activity in its research and development activities.

         RESEARCH AND DEVELOPMENT COSTS. Research and development costs
decreased 100% during the first nine months of fiscal 2003 to $-0-, compared to
$144,480 during the first nine months of 2002.

         CONSULTING FEES. Fees paid to consultants by the Company decreased
90.2% from $1,579,616 during the nine month period ended October 31, 2002, to
$154,200 during the nine month period ended October 31, 2003. These fees were
paid primarily by the issuance of common stock of the Company as compensation
for services.

         RESULTS OF OPERATIONS. The net loss of the Company decreased to
$(312,405) during the nine month period ended October 31, 2003, as compared with
a loss of $(1,929,644) during the same period of 2002, a decrease of
approximately 83.8%, and was due primarily to the decrease in its research and
development activities and consulting fees.

CAPITAL EXPENDITURES, CAPITAL RESOURCES AND LIQUIDITY

         The following summary table (unaudited) presents comparative cash flows
of the Company for the periods indicated.

                                                          Nine months ended
                                                              October 31
                                                     ---------------------------
                                                        2003              2002
                                                     ----------       ----------
                                                            (unaudited)
Net cash used in operating activities ........       $ (65,057)       $(385,233)
Net cash provided by investing activities ....       $  37,510        $  31,812
Net cash provided by financing activities ....       $  30,000        $ 326,089

         CAPITAL EXPENDITURES. The Company incurred no capital expenditures for
office equipment, office furniture or other fixed assets during the nine month
period ended October 31, 2003.

         LIQUIDITY AND CAPITAL RESOURCES. The Company's capital resources have
historically been provided by the sale of its Common Stock, the exercise of
warrants and options, the conversion of convertible debt, and by short term
loans.

         The Company intends to raise additional capital through an offering of
its Common Stock or other securities to provide additional working capital to
fund future operations.

         At October 31, 2003, the Company had current assets of $88,149, and
current liabilities of $285,003, resulting in a working capital deficit of
$(196,854), as compared to a working capital deficit of $(956,576) at January
31, 2003.

         Net cash used in operating activities decreased approximately 83.1% to
$(65,057) for the nine months ended October 31, 2003, from $(385,233) for the
nine months ended October 31, 2002. The decrease in net cash used in operating
activities was primarily attributable to the decrease in its research and
development costs regarding its battery technology.

                                       9
<PAGE>

ITEM 3.  CONTROLS AND PROCEDURES

         The disclosure controls and procedures of the Company, as defined in
Rule 13a-14(c) and Rule 15d-14(c) under the Securities and Exchange Act of 1934
have been reviewed and evaluated by the President and by the Secretary and
Treasurer of the Company within 90 days of the filing date of this quarterly
report for the nine month period ended October 31, 2002, and have concluded that
the controls and procedures have been and are effective.

         There have been no significant changes in internal controls of the
Company or other factors that could significantly affect these controls
subsequent to the date of their evaluation, including any corrective actions
with regard to significant deficiencies and material weaknesses.

                           PART II - OTHER INFORMATION

ITEM L.  LEGAL PROCEEDINGS

         The Company filed a civil action against Mr. Alvin A. Snaper, a former
director and officer of the Company, and against Neo-Dyne Research, Inc.
("Neo-Dyne"), his research and development company, based upon allegations of
breach of fiduciary relationship and breach of contract, and seeking an
injunction, declaratory relief and the turnover of Company property. Mr. Snaper
and Neo-Dyne filed an answer and asserted counterclaims alleging fraud and
misrepresentation, breach of contract, and intentional interference with
prospective economic advantage, and seeking an injunction and declaratory
relief. The litigation involves the ownership and rights to the battery
technology and patent rights of the Company. Because the principal business
operations of the Company has involved research and development of its battery
technology, the rights to continue its research and development activities
regarding batteries and its rights to license and market such technology is
significantly important to the Company and its future business operations. The
litigation is in the discovery stage and it is not reasonably possible to fully
evaluate and predict the outcome of such litigation.

ITEM 2.  CHANGES IN SECURITIES

         During the three month period ended October 31, 2003, the Company
issued 1,000,000 shares of its common stock to Fran Aberle for $20,000 in cash
in reliance upon Section 4(2) under the Securities Act of 1933, as amended.

ITEM 3.  DEFAULTS UPON SENIOR SECURITIES

         None

ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

         None

ITEM 5.  OTHER INFORMATION.

         Not applicable.

                                       10
<PAGE>

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

         (a) Exhibits
             --------

                  10.      Material Contracts

                           None

                  99.1     Certification of Lee A. Balak
                  99.2     Certification of Lee A. Balak

         (b) Reports on Form 8-K.
             --------------------

                  No reports on Form 8-K were filed by the Company during the
                  fiscal quarter ended October 31, 2003.


                                   SIGNATURES

         In accordance with the requirements of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.

                                               POWER TECHNOLOGY, INC.


Date: December 18, 2003                        By:  /s/ Lee A. Balak
                                               ---------------------------------
                                                Lee A. Balak, President and
                                                Chief Financial Officer
                                                and Principal Accounting Officer

                                       11