**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

**FORM 10-QSB**

(Mark One) 

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

**For the quarterly period ended March 31,2005**

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

**000-31469**

(Commission file number) 

**Medical International Technology, Inc.**

(Exact name of small business issuer asspecified in its charter) 

**Colorado**

(State of incorporation) 

**84-1509950**

(IRS ID Number) 

     **2281Guenette Ville Saint-Laurent**

**Montreal, Quebec, Canada HR4 2E9**

(Address of principal executive offices) 

**(514) 339-9355**

(Issuer's telephone number) 

(Former name, former address and formerfiscal year, if changed since last report) 

[X] Check whether the issuer (1) filed all reports requiredto be filed by Section 13 or 15(d) of the Exchange Act during the past 12 months (or forsuch shorter period that the registrant was required to file such reports), and (2) hasbeen subject to such filing requirements for the past 90 days.

| The number of shares outstanding of each of the issuer's    classes of common equity as of |
|--------------------------------------------------------------------------------------------|
| March 31, 2005– 46,593,019 shares of common stock                                     |

**Transitional Small Business Disclosure Format (checkone): Yes [ ] No [X]**

----

**Medical International Technology, Inc.**

**Quarterly Financial Report**

**Index**

|            |                                                                | Page   |  |
|------------|----------------------------------------------------------------|--------|--|
|            |                                                                | Number |  |
|            |                                                                |        |  |
|            |                                                                |        |  |
| PART I.    | FINANCIAL INFORMATION                                          |        |  |
|            |                                                                |        |  |
| Item 1.    | Consolidated Financial Statements                              |        |  |
|            |                                                                |        |  |
|            | Consolidated Balance Sheet, March 31, 2005    (unaudited)      | 4      |  |
|            |                                                                |        |  |
|            | Consolidated Statements of Operations,                         |        |  |
|            | three-months ended March 31, 2005 and 2004    (unaudited),     |        |  |
|            | six-months ended March 31, 2005 and 2004    (unaudited)        | 5      |  |
|            |                                                                |        |  |
|            | Consolidated Statements of Cash Flows,                         |        |  |
|            | six-months ended March 31, 2005 and 2004    (unaudited)        | 6      |  |
|            |                                                                |        |  |
|            | Consolidated Statements of Comprehensive Loss                  | 7      |  |
|            |                                                                |        |  |
|            | Notes to Unaudited Consolidated Financial    Statements        | 8      |  |
|            |                                                                |        |  |
| Item 2.    | Management's Discussion and Analysis of    Financial Condition |        |  |
|            | and Plan of Operations                                         | 11     |  |
|            |                                                                |        |  |
| Item 3.    | Controls and Procedures                                        | 13     |  |
|            |                                                                |        |  |
| Part II.   | OTHER INFORMATION                                              |        |  |
|            |                                                                |        |  |
| Item 1.    | Legal Proceedings                                              | 14     |  |
|            |                                                                |        |  |
| Item 2.    | Unregistered Sales of Equity Securities and    Use of Proceeds | 14     |  |
|            |                                                                |        |  |
| Item 3.    | Defaults Upon Senior Securities                                | 14     |  |
|            |                                                                |        |  |
| Item 4.    | Submission of Matters to a Vote of Security    Holders         | 14     |  |
|            |                                                                |        |  |
| Item 5.    | Other Information                                              | 14     |  |
|            |                                                                |        |  |
| Item 6.    | Exhibits and Reports on Form 8-K                               | 15     |  |
|            |                                                                |        |  |
| SIGNATURES | 15                                                             |        |

----

**PART I. FINANCIAL INFORMATION**

**ITEM 1. Financial Statements**

Consolidated Balance Sheet for the6-month period ending March 31, 2005 (Unaudited) 

and 

Consolidated Statements of Operationfor the 3-month period ending March 31, 2005 and 2004 (Unaudited) and for the 6-monthperiod ending March 31, 2005 and 2004 (Unaudited) 

and 

Consolidated Statements of Cash Flowsfor the 6-month period ending March 31, 2005 and 2004 (Unaudited) 

and 

     ConsolidatedStatements of Comprehensive Loss and Notes to Unaudited Consolidated Financial Statements 

3 

----

**Medical International Technology, Inc. Quarterly Financial Report**

**Consolidated Balance Sheet**

|                                                                                                                           |       | **March 31, 2005** |             | **September 30,    2004** |             |
|---------------------------------------------------------------------------------------------------------------------------|-------|--------------------|-------------|---------------------------|-------------|
|                                                                                                                           |       |                    |             |                           |             |
|                                                                                                                           |       |                    | (Unaudited) |                           | (Unaudited) |  |
| **Assets**                                                                                                                |       |                    |             |                           |             |  |  |
|    **Current Assets**                                                                                      |       |                    |             |                           |             |  |  |
|       Cash and cash    equivalents                                                          |       | $                  | 40,102      |                           | $           | 6,863 |  |
|       Accounts receivable                                                                   |       |                    | -           |                           |             | - |  |
|       Inventories                                                                           |       |                    | 203,306     |                           |             | 210,577 |  |
|       Receivable from    related parties                                                    |       |                    | -           |                           |             | - |  |
|       Receivable from taxing    authorities                                                 |       |                    | -           |                           |             | - |  |
|       Research tax credit    receivable                                                     |       |                    | 223,603     |                           |             | 115,964 |  |
|       Prepaid expenses                                                                      |       |                    | 9,481       |                           |             | - |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
|             **Total Current Assets**                          |       |                    | 476,492     |                           |             | 333,404 |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
|    **Property and Equipment**                                                                              |       |                    |             |                           |             |  |  |
|       Tooling and machinery                                                                 |       |                    | 204,048     |                           |             | 204,048 |  |
|       Furniture and office    equipment                                                     |       |                    | 59,372      |                           |             | 59,372 |  |
|       Leasehold improvements                                                                |       |                    | 22,163      |                           |             | 22,163 |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
|                                                                                                                           |       |                    | 285,583     |                           |             | 285,583 |  |
|       Less accumulated    depreciation                                                      |       |                    | (137,123)   |                           |             | (117,123) |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
|                                                                                                                           |       |                    | 148,460     |                           |             | 168,460 |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
|    **Other Assets**                                                                                        |       |                    |             |                           |             |  |  |
|       Intangible assets    subject to amortization                                          |       |                    |             |                           |             |  |  |
|             Patents (net accumulated amortization of $717,    | $601) |                    | 1,914       |                           |             | 2,030 |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
|                                                                                                                           |       |                    | 1,914       |                           |             | 2,030 |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
|             **Total Assets**                                  |       | $                  | 626,866     |                           |             | 503,894 |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
| **Liabilities and Stockholders' (Deficit)**                                                                               |       |                    |             |                           |             |  |  |
|    **Current Liabilities**                                                                                 |       |                    |             |                           |             |  |  |
|       Unearned income                                                                       |       | $                  | 64,656      |                           | $           | 78,345 |  |
|       Accounts payable                                                                      |       |                    | 341,889     |                           |             | 170,793 |  |
|       Accounts payable -    related parties                                                 |       |                    | 59,952      |                           |             | - |  |
|       Accrued expenses                                                                      |       |                    | 6,762       |                           |             | - |  |
|       Taxes payable                                                                         |       |                    | 8,914       |                           |             | - |  |
|       Loans payable -    related parties                                                    |       |                    | 272,818     |                           |             | 273,463 |  |
|       Loans payable                                                                         |       |                    | 90,939      |                           |             | - |  |
|       Current portion of    long-term debt                                                  |       |                    | 16,550      |                           |             | 16,550 |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
|             **Total Current Liabilities**                     |       |                    | 862,480     |                           |             | 539,151 |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
|    **Long-term debt**                                                                                      |       |                    | 7,904       |                           |             | 15,172 |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
|             **Total Liabilities**                             |       |                    | 870,384     |                           |             | 554,323 |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
|    **Redeemable Class E Stock**                                                                            |       |                    |             |                           |             |  |  |
|    **Stockholders' (Deficit)**                                                                             |       |                    |             |                           |             |  |  |
| Preferred stock, $.0001 par value;    3,000,000 shares authorized;                                                        |       |                    |             |                           |             |  |
|          none    issued and outstanding as of March 31, 2005                 |       |                    |             |                           |             |  |  |
| Common stock, $.0001 par value;    100,000,000 shares authorized;                                                         |       |                    |             |                           |             |  |
| issued and outstanding 46,593,019    shares as of March 31, 2005                                                          |       | 4,660              |             |                           | 4,584       |  |
|       Additional paid-in    capital                                                         |       |                    | 3,859,716   |                           |             | 3,821,791 |  |
|       Retained deficit                                                                      |       |                    | (4,028,333) |                           |             | (3,791,368) |  |
|       Other comprehensive    loss                                                           |       |                    | (79,561)    |                           |             | (85,436) |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
|             **Total Stockholders' (Deficit)**                 |       |                    | (243,518)   |                           |             | (50,429) |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |
|             **Total Liabilities and Stockholders' (Deficit)** |       | $                  | 626,866     |                           | $           | 503,894 |  |
|                                                                                                                           |       |                    |             |                           |             |  |  |

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

4 

----

**Medical International Technology, Inc. Quarterly Financial Report**

**Consolidated Statements of Operations**

|                                                                                                    | **For the    Three-Months Ended** |                 |           | **For the Six    Months Ended** |                 |
|----------------------------------------------------------------------------------------------------|-----------------------------------|-----------------|-----------|---------------------------------|-----------------|
|                                                                                                    |                                   | **March 31,**   |           |                                 |                 | **March 31** |  |  |
|                                                                                                    |                                   | **2005**        |           |                                 | **2004**        |  |  | **2005** |  |  | **2004** |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |
|                                                                                                    |                                   | **(Unaudited)** |           |                                 | **(Unaudited)** |  |  | **(Unaudited)** |  |  | **(Unaudited)** |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Sales                                                                                              | $                                 |                 |           | 80,848                          |                 | $ |  |  | 49,467 |  | $ |  |  | 197,199 |  | $ |  |  | 93,360 |  |
| Cost of sales                                                                                      |                                   |                 |           | (29,921)                        |                 |  |  |  | (24,220) |  |  |  | (103,856) |  |  |  |  | (41,502) |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|          Gross    profit                              |                                   |                 |           | 50,927                          |                 |  |  |  | 25,247 |  |  |  |  | 93,343 |  |  |  |  | 51,858 |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Research and development costs                                                                     |                                   |                 |           | (69,102)                        |                 |  |  |  | (34,970) |  |  |  | (152,194) |  |  |  |  | (60,321) |  |
| Selling, general, and administrative expenses                                                      |                                   |                 |           | (48,905)                        |                 |  |  |  | (45,777) |  |  |  | (108,734) |  |  |  |  | (79,762) |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                    |                                   |                 |           | 118,007                         |                 |  |  |  | (80,747) |  |  |  | (260,928) |  |  |  | (140,083) |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|    Net loss before consulting fees                                                  |                                   |                 |           | (67,080)                        |                 |  |  |  | (55,500) |  |  |  | (167,585) |  |  |  |  | (88,225) |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|       Consulting fees,    non-cash                                   |                                   |                 |           | (38,000)                        |                 |  |  |  | (38,726) |  |  |  |  | (38,000) |  |  |  | (881,536) |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|    Net loss from operations                                                         |                                   |                 | (105,080) |                                 |                 |  |  | (94,226) |  |  |  | (205,585) |  |  |  | (969,761) |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|    Other Income (Expense)                                                           |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|       Interest income                                                |                                   |                 |           | 11                              |                 |  |  |  | 8 |  |  |  |  | 11 |  |  |  |  | 8 |  |
|       Interest expense                                               |                                   |                 |           | (22,515)                        |                 |  |  |  | (10,568) |  |  |  |  | (31,391) |  |  |  |  | (18,642) |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|          Net    loss                                  |                                   | $               | (127,584) |                                 |                 | $ | (104,786) |  |  | $ | (236,965) |  |  | $ | (988,395) |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|          Basic    weighted average shares outstanding |                                   | 46,213,015      |           |                                 | 24,678,114      |  |  | 46,213,015 |  |  | 24,678,114 |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|          Basic    loss per share                      |                                   |                 | $         | (0.0029)                        |                 |  |  | $ | (0.0042) |  |  |  | $ | (0.0051) |  |  |  | $ | (0.0401) |  |
|                                                                                                    |                                   |                 |           |                                 |                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |

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

5 

----

**Medical International Technology, Inc. Quarterly Financial Report**

**Consolidated Statements of Cash Flows**

|                                                                                                                                                                                 | **For the    Six-Months Ended** |           |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------|-----------|
|                                                                                                                                                                                 | **March 31, 2005**              |           | **March 31, 2004** |  |
|                                                                                                                                                                                 |                                 |           |  |  |
|                                                                                                                                                                                 | **(Unaudited)**                 |           | **(Unaudited)** |  |
| **Cash Flows from Operating Activities**                                                                                                                                        |                                 |           |  |  |
|    Net Loss                                                                                                                                                      | $                               | (236,965) |  | $ | (988,395) |  |
|       Adjustments to    reconcile net loss to net cash                                                                                            |                                 |           |  |  |  |  |
|             used in operating activities:                                                                           |                                 |           |  |  |  |  |
|                Depreciation and amortization expense                                                 |                                 | 20,116    |  |  | 23,084 |  |
|                Common stock issued for consulting and legal services                                 |                                 | 38,001    |  |  | 890,720 |  |
|                Accrued expenses                                                                      |                                 | 6,762     |  |  | 5,107 |  |
|                (Increase) Decrease in Assets                                                         |                                 |           |  |  |  |  |
|                      (Increase) Decrease in accounts receivable        |                                 | -         |  |  | 29,622 |  |
|             (Increase) Decrease in receivable from taxing authorities                                               |                                 | (107,639) |  |  | 48,312 |  |
|             (Increase) Decrease in inventories                                                                      |                                 | 7,271     |  |  | (27,526) |  |
|             (Increase) in prepaid expenses                                                                          |                                 | (9,481)   |  |  | - |  |
|                Increase (Decrease) in Liabilities                                                    |                                 |           |  |  |  |  |
|                   (Decrease) Increase in unearned income                              |                                 | (13,689)  |  |  | (2,198) |  |
|                      Increase in accounts payable and accrued expenses |                                 | 180,010   |  |  | (16,232) |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
|                **Net Cash Used in Operating Activities**                                             |                                 | (115,614) |  |  | (37,506) |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
| **Cash Flows from Investing Activities**                                                                                                                                        |                                 |           |  |  |  |  |
|                Equipment acquisition                                                                 |                                 | -         |  |  | (3,610) |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
|                **Net cash provided (used) in investing activities**                                  |                                 | -         |  |  | (3,610) |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
| **Cash Flows from Financing Activities**                                                                                                                                        |                                 |           |  |  |  |  |
|          Advances    from loans                                                                                                    |                                 | 90,939    |  |  | 37,372 |  |
|       Advances from related    parties                                                                                                            |                                 | 59,307    |  |  | 16,699 |  |
|       Advances and    repayments to related parties                                                                                               |                                 | -         |  |  | (7,707) |  |
|       Principal reduction on    small business loan                                                                                               |                                 | (7,268)   |  |  | (8,536) |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
|                **Net Cash Provided by Financing Activities**                                         |                                 | 142,978   |  |  | 37,828 |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
|                **Effect of exchange rates on cash**                                                  |                                 | 5,875     |  |  | 16,446 |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
|                **Net Increase (Decrease) in Cash and Cash Equivalents**                              |                                 | 33,239    |  |  | 13,158 |  |
|                **Beginning Balance - Cash and Cash Equivalents**                                     |                                 | 6,863     |  |  | 12,199 |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
|                **Ending Balance - Cash and Cash Equivalents**                                        | $                               | 40,102    |  | $ | 25,357 |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
| **Supplemental Information:**                                                                                                                                                   |                                 |           |  |  |  |  |
|                Cash Paid For:                                                                        |                                 |           |  |  |  |  |
|                         Interest Expenses               | $                               | 31,391    |  | $ | 9,343 |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |
|                         Income Taxes                    | $                               | -         |  | $ | - |  |
|                                                                                                                                                                                 |                                 |           |  |  |  |  |

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

6 

----

**Medical International Technology, Inc. Quarterly Financial Report**

**Consolidated Statements of Comprehensive Loss**

|                                                            | **Six Months ended** |               | **For the year    ended** |                    |
|------------------------------------------------------------|----------------------|---------------|---------------------------|--------------------|
|                                                            |                      |               | **September 30,**         |                    |
|                                                            | **March 31, 2005**   |               | **2004**                  |                    | **2003** |  |
|                                                            |                      |               |                           |                    |  |  |
|                                                            |                      |               |                           |                    |  |  |
| Net loss                                                   | $                    | (236,965)     |                           | $                  | (1,414,686) |  | $ | (1,696,421) |  |
| Other comprehensive income (loss)                          |                      |               |                           |                    |  |  |  |  |  |
|    Foreign currency translation adjustment  |                      | 5,875         |                           |                    | (64,158) |  |  | (29,164) |  |
|                                                            |                      |               |                           |                    |  |  |  |  |  |
|       Net comprehensive loss | **$**                | **(231,090)** |                           | **$ (1, 478,844)** |  | **$** | **(1,725,585)** |  |
|                                                            |                      |               |                           |                    |  |  |  |  |

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

7 

----

**Medical International Technology, Inc. Quarterly Financial Report**

**Notes to Unaudited Consolidated Financial Statements**

**Note 1 – Basis of Presentation**

**Interim Financial Statements**

The accompanying unaudited consolidated financialstatements are presented in accordance with the requirements for Form 10-QSB and Article10 of Regulation S-X and Regulation S-B. Accordingly, they do not include all thedisclosures normally required by generally accepted accounting principles. Referenceshould be made to the Medical International Technology, Inc. (the "Company")Form 10-KSB for the year ended September 30, 2004, for additional disclosures including asummary of the Company's accounting policies, which have not significantly changed. 

**Note 2 – Summary of Significant Accounting Policies**

**Principles of consolidation**

The accompanying consolidated financial statements includethe accounts and transactions of Medical International Technology, Inc. and its whollyowned subsidiary, Medical International Technologies (MIT Canada) Inc. Intercompanytransactions and balances have been eliminated in consolidation. 

**Foreign Currency Translations**

The Company operates out of its offices in Montreal, Canadaand maintains its books and records in Canadian Dollars. The consolidated financialstatements herein have been converted into U.S. Dollars. Balance sheet accounts aretranslated at exchange rates in effect at the end of the period and income statementaccounts have been translated at average exchange rates for the period.****Translationgains and losses are included as a separate component of stockholders’ equity. 

**Allowance for Doubtful Accounts**

The allowance for doubtful accounts on accounts receivableis charged to income in amounts sufficient to maintain the allowance for uncollectibleaccounts at a level management believes is adequate to cover any probable losses.Management determines the adequacy of the allowance based on historical write-offpercentages and the current status of accounts receivable. Accounts receivable are chargedoff against the allowance when collectibility is determined to be permanently impaired. Asof March 31, 2005, the Company did not establish any reserve for doubtful accounts.

**Inventories**

Inventories are stated at the lower of costdetermined by the FIFO method or market. 

**Property and Equipment**

The cost of property and equipment is depreciated over theestimated useful lives of the related assets, which range from 5 to 7 years. Depreciationis computed on the straight-line method for financial reporting purposes and on thedeclining balance method for income tax reporting purposes. Depreciation expense for theThree-months ended March 31, 2005 and 2004were $9,707, and $11,480, respectively. 

**Intangible assets**

Patents are being amortized over their respective remaininglives ranging from 9.5 years through 17 years. 

**Net Loss Per Share**

The Company adopted the provisions of Statement ofFinancial Accounting Standards (“SFAS”) No. 128, “Earnings Per Share”(“EPS”) that established standards for the computation, presentation anddisclosure of earnings per share, replacing the presentation of Primary EPS with apresentation of Basic EPS.

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**Medical International Technology, Inc. Quarterly Financial Report**

**Notes to Unaudited Consolidated Financial Statements**

**Issuances Involving Non-cash Consideration**

All issuances of the Company’s stock for non-cashconsideration have been assigned a dollar amount equaling either the market value of theshares issued or the value of consideration received whichever is more readilydeterminable.

**Cash and Cash Equivalents**

For purpose of the statements of cash flows, the Companyconsiders cash and cash equivalents to include all stable, highly liquid investments withmaturities of three months or less.****

**Use of Estimates**

The preparation of financial statements in conformity withaccounting principles generally accepted in the United States requires management to makeestimates and assumptions that affect the reported amounts of assets and liabilities anddisclosure of contingent assets and liabilities at the date of the financial statementsand the reported amounts of revenues and expenses during the reporting period. Actualresults could differ from those estimates. 

**Long-Lived Assets**

In August 2001, SFAS No. 144, "Accounting for theImpairment or Disposal of Long-Lived Assets," was issued establishing new rules andclarifyingimplementationissues with SFAS No. 121, "Accounting for the Impairment of Long-Lived Assets and forLong-Lived Assets to be Disposed of, "by allowing a probability-weighted cash flowestimation approach to measure the impairment loss of a long-lived asset. The statementalso established new standards for accounting for discontinued operations. Transactionsthat qualify for reporting in discontinued operations include the disposal of a componentof an entity's operations that comprises operations and cash flow that can be clearlydistinguished, operationally and for financial reporting purposes, from the rest of theentity. The Company has adopted this standard and its adoption had no significant effecton the Company's financial statements****

**Reclassification**

Certain amounts in March 31, 2004have been reclassified to conform tothe March 31, 2005presentation. Such reclassification had no effect on net income as previouslyreported. 

**Income Taxes**

The Company accounts for its income taxes under theprovisions of Statement of Financial Accounting Standards 109 ("SFAS 109"). Themethod of accounting for income taxes under SFAS 109 is an asset and liability method. Theasset and liability method requires the recognition of deferred tax liabilities and assetsfor the expected future tax consequences of temporary differences between tax bases andfinancial reporting bases of other assets and liabilities.

**Fair Value of Financial Instruments**

Pursuant to SFAS No. 107, “Disclosures About FairValue of Financial Instruments”, the Company is required to estimate the fair valueof all financial instruments included on its balance sheet as of March 31, 2005. TheCompany considers the carrying value of such amounts in the financial statements toapproximate their face value. 

**Revenue Recognition**

The Company recognizes revenue when the related product isshipped to the respective customer. 

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**Medical International Technology, Inc. Quarterly Financial Report**

**Notes to Unaudited Consolidated Financial Statements**

**Note 3 - Intangible Assets**

Amortization expense for the Six-months ended March 31,2005 and 2004 were $116, and $69, respectively.

**Note 4 - Stock Activity**

For the six-months ended March 31, 2005, the Company issued760,004 shares of its common stock for consulting services. The value assigned to theseshares totaled $38,001 based upon the market value of the shares on the date of issuance.Of the 760,004, shares issued none were issued to the officers, directors and otherrelated parties.

**Note 5 – Commitment and Contingency**

On May 14, 2003 the Company issued 100,000 common sharesfor services rendered. Due to the lack of value of the shares issued, the creditor hasrequested additional shares to be issued to make up for the shortfall. The total amount indispute is $46,537.

However the company has agreed with the creditor toreimburse the equivalent of $1,000 CDN or $780US per month, and so far it has paid Threemonth so the amount in dispute is reduced to $44,197, the ultimate resolution of thismatter is not expected to have a material adverse effect on The Company’s financialposition.****

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**Medical International Technology, Inc. Quarterly Financial Report**

**Item 2. Management's Discussion and Analysis ofFinancial Condition and Plan of Operations**

All statements that are included in this Quarterly Report,other than statements of historical fact, are forward looking statements. Althoughmanagement believes that the expectations reflected in these forward looking statementsare reasonable, it can give no assurance that such expectations will prove to have beencorrect.

**Results of Operations for the Three-Months endedMarch 31, 2005****and 2004**
For the three-months ended March 31, 2005, the Companyexperienced a net loss from operations of $127,584, primarily comprised of research anddevelopment expenses of $69,102 and selling, general and administrative expenses of$48,905. For the three-months ended March 31, 2004, the Company’s net loss fromoperations was $104,786.

Selling, general and administrative expenses for thethree-months ended March 31, 2005 were $48,905; compared to $45,777 the previous year. 

For the three-months ended March 31, 2005, theCompany’s sales were $80,848 resulting in an increase in sales of $31,381 compared tosales for the same period last year.

Gross profit for the three-months ended March 31, 2005 was$50,927 or 62% of sales as compared to 51% for the same period last year. MIT utilizesmachined components in our products resulting in reduced unit costs as order volumesincrease. Small quantity and customized orders significantly impact the gross profitderived from the sale of our products. 

As of March 31, 2005, the Company maintains $64,656 asadvances towards future sales pertaining to its non-exclusive distribution agreement withWLT Distributors Inc.

**Liquidity and Capital Resources**

For the six months ended March 31, 2005 the Company’scash position increased by $33,239. The Company spent $115,614 from its operations andreceived $142,978 from financing activities. Financing activities included an amountreceived from related parties of $59,307.****

For the six months ended March 31, 2004 the Company’scash position increased by $13,158. The Company spent $37,506 from its operations andreceived $37,828 from financing activities. Financing activities included the repaymentsof its principal amount of its business loan of $8,536. 

Medical International Technology, Inc. expects thatrevenues from existing and developing sales may not meet its liquidity requirements forthe next 12 month period at its current level of operations. The company continues to relyon management to develop the business and work to develop sales. Management has and maycontinue to supplement cash flows from sales with additional equity and debt financing.Substantially, expanded operations are expected to require additional capital, either froma future offering of equity or the company pursuing other methods of financing, asappropriate. 

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**Medical International Technology, Inc. Quarterly Financial Report**

**Management Plan of Operations**

Medical International Technology, Inc. (MIT) is receivingrevenues from sales. The company has maintained operations from these revenues and throughequity and debt financing. Products are currently developed, assembled and shipped fromour facility. Component manufacturing is subcontracted to various suppliers and machineshops. 

MIT continues to promote its injectors in many countriesincluding the United States of America. MIT is exerting every effort and using itsresources to promote its products and to open markets for its technology. As we continueto market our products, we hope to gain broader acceptance of the needle-free injectiontechnology. 

Distribution and Sales

MIT has adopted an approach with potential distributors;whereby, new distributors are allowed six months to test the market for the AGRO-JET. MITis then able better evaluate potential distributors before signing long term DistributionAgreements.

MIT has experienced difficulties with distributors meetingtheir purchasing schedules. Several distributors are not meeting contracted purchasingschedules, some of which have been revised to reduce minimum purchase schedules andeliminate exclusivity in the associated market. We continue to work with thesedistributors to assist them in developing their respective markets.

On September 15th, 2004, the Japanese Ministry ofAgriculture, Fishery and Forestry (MAFF) granted MIT's Japanese Distributor "FrontierInternational Co. Ltd" permission to market and sell freely MIT's AGRO-JETneedle-free injectors in Japan. Frontier International had initially signed a 3-yearagreement with MIT in September 2003, for the distribution of the AGRO-JET. Due toregulations imposed by MAFF in January 2004 on new technology imports, it was forced tosuspend the sales pending clearance from MAFF and the issuance of an official importpermit. In anticipation of receiving that permit, Frontier had placed an order for theAGRO-JET with predetermined deliveries; it is expected that Frontier International willresume its purchase schedule as agreed to in the current Distribution Agreement. 

On March 8, 2005 we announced the sale of 25 of MED-JET --MBX low pressure needle-free injectors designed for anesthetics use to Winsor (Hong Kong)Inc.Dr. Stephen Chow ofWinsor (Hong Kong) Inc. had initially placed an order of 2 units at the 63rd AnnualMeeting of the American Academy of Dermatology in New Orleans. The order was laterincreased to 25 units. Winsor (Hong Kong) Inc. is a leading esthetic products distributorin Hong Kong, with a staff of 200 employees. Winsor has the largest distribution networkin Hong Kong and caters to over 500 Skin Care salons. 

The MED-JET -- MBX is being tested for its efficacy inanesthetizing patients who receive medical treatments which involve multiple injectionssuch as for hyperhidrosis (excessive sweating of the hands, feet and under arms) andBOTOX(r) injections. 

Product Development

Medical International Technologies has filed for FDAapproval for its needle-free injector - the MED-JET, designed specifically for human massinoculations. The MED-JET is capable of delivering many types of medications likevaccines, insulin and other types of injectables. Its low-pressure technology offers anadvantage to alternative high pressure systems that can cause blowbacks and expose medicalworkers and patients alike to microscopic traces of blood.

Other advantages include its light weight (0.5 kg) and anexcellent medication absorption rate. The system is designed to inject up to 600individuals an hour. The MED-JET has patent protection and is already approved for use inhuman medicine in Canada.

The approval process can be expensive and may take andextended period of time. There can be no assurance that this system will receive approvalfrom the FDA or if approved gain broad acceptance by the medical community or individualpatients.

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**Medical International Technology, Inc. Quarterly Financial Report**

On April 25, 2005 we announced that our needle freeinjector has been chosen for testing in a study regarding the treatment of Hyperhydrosis.Dr. Antranik Benohanian MD, FRCPC, Dermatologist at Saint-Luc Hospital of The MontrealUniversity Hospital Centre, has begun tests of MIT's human injectors in his Hyperhydrosisstudies. In addition to the underarms, Hyperhydrosis often occurs in the palms, soles ofthe feet and even the face. Currently, treatments typically carried out by needleinjections that must be repeated every 4-6 months, resulting in excessive pain topatients. Many patients are reluctant to receive multiple injections in their hand andtheir face due to the pain associated with traditional injections. 

MIT's MedJet(r) MBX injector is expected to reducepatient’s pain and discomfort in these sensitive areas of the body that is caused bytraditional needle injections. In addition, MIT's needle free injector results in a lesssevere puncture since it has a volume of .02cc to .3cc. It is important to be able toincrease or decrease the volume and pressure of injection, based on the comfort level ofthe patient. This technology is unique to MIT's MedJet(r) MBX Injector. 

Hyperhydrosis is the medical term for excessive sweating.Millions of people worldwide suffer from this condition. In a recent survey (J Am Acad Dermatol 2004:51(2):241-258), an estimated 2.8% of the U.S. population is affected by some form of thiscondition, with about a third of them describing their excessive sweating as barelytolerable or worse. BOTOX(r) injections were approved by the FDA in July 2004 to treatsevere Hyperhydrosis. Phase III clinical studies supporting the FDA approval show that 80%of patients experienced a 50% decrease in sweat production. (source: Allergan, Inc. July 20, 2004 

press release) 

MIT is continually researching and developing its productsto respond to the market needs. 

Forward-Looking Statements

Certain statements concerning the Company's plans andintentions included herein may constitute forward-looking statements for purposes of theSecurities Litigation Reform Act of 1995 for which the Company claims a safe harbor underthat Act. There are a number of factors that may affect the future results of the Company,including, but not limited to, (a) the ability of the company to obtain additional fundingfor operations, (b) the continued availability of management to develop the business planand (c) successful development and market acceptance of the company’s products. 

This periodic report may contain both historical facts andforward-looking statements. Any forward-looking statements involve risks anduncertainties, including, but not limited to, those mentioned above. Moreover, futurerevenue and margin trends cannot be reliably predicted. 

**Item 3. Controls and Procedures**

Medical International Technology, Inc. management,including the Principal Executive Officer and Principal Financial Officer, have conductedan evaluation of the effectiveness of disclosure controls and procedures pursuant toExchange Act Rule 13a-14(c) and 15d-14(c). This evaluation was conducted within 90 daysprior to the filing of this report. Based on that evaluation, the Principal ExecutiveOfficer and Principal Financial Officer concluded that the disclosure controls andprocedures are effective in ensuring that all material information required to be filed inthis quarterly report has been made known to them in a timely fashion. There have been nosignificant changes in internal controls or in other factors that could significantlyaffect internal controls subsequent to the date the Principal Executive Officer andPrincipal Financial Officer completed their evaluation. 

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**Medical International Technology, Inc. Quarterly Financial Report**

**Part II. OTHER INFORMATION**

**Item 1. Legal Proceedings**

Medical International Technology, Inc. has not receivednotice of and legal proceedings being against the company as of the date of this report. 

On May 14, 2003 the Company issued 100,000 common sharesfor services rendered. Due to the lack of value of the shares issued, the creditorrequested additional shares to be issued to make up for the shortfall. The total amount indispute was $46,537 and had not been reconciled between the parties. The parties haverecently agreed to reimburse the creditor approximately $780 per month. As of March 31,2005 the amount in dispute has been reduced to $44,197, the resolution of this matter isnot expected to have a material adverse effect on The Company’s financial position.****

**Item 2. Unregistered Sales of Equity Securities and Useof Proceeds**

For the six-months ended March 31, 2005, the Company issued760,004 shares of its common stock as payment for account payables related to consultingservices. The value assigned to these shares totaled $38,001 based upon the market valueof the shares on the date of issuance. Of the 760,004, shares issued none were issued tothe officers, directors and other related parties. The Company’s payables werereduced by $38,001 as a result of the stock transaction. All shares were issued asexempted transactions under Section 4(2) of the Securities Act of 1933 and are subject toRule 144 of the Securities Act of 1933. The recipient(s) of our stock took their sharesfor investment purposes without a view to distribution. Furthermore, they had access toinformation concerning our Company and our business prospects; there was no generalsolicitation or advertising for the purchase of our shares; there were no commissionspaid; and the securities are restricted pursuant to Rule 144. 

During the six-months ended March 31, 2005, the Companyreceived requests to distribute the 10,500,000 common shares that were held by our whollyowned subsidiary Medical International Technology (MIT Canada) Inc. These shares wereoriginally issued for the acquisition of the operations of MIT Canada in July of 2002. Theshares were subject to distribution to approximately 24 shareholders upon their conversionof preferred shares in MIT Canada, Inc., pursuant to the acquisition agreement.

All shares were converted and reissued as exemptedtransactions under Section 4(2) of the Securities Act of 1933 and are subject to Rule 144of the Securities Act of 1933. Exemptions being non exclusive the transactions arebelieved to be exempt from registration under Regulation D promulgated under Section 4(2)of the Securities Act and Regulation “S” related any the foreign transactions.The recipient(s) of our stock took their shares for investment purposes without a view todistribution. The transactions were an exchange resulting in an investment similar to theone originally entered into by the recipient(s), management and business operationsremained constant for the recipient(s). Furthermore, they had access to informationconcerning our Company and our business prospects; there was no general solicitation oradvertising for the purchase of our shares; there were no commissions paid; and thesecurities are restricted pursuant to Rule 144.
**Item 3. Defaults Upon Senior Securities**   None**Item 4. Submission of Matters to a Vote of Security    Holders**   None.**Item 5. Other Information**   None
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**Medical International Technology, Inc. Quarterly Financial Report**

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

Reports on Form 8-K

No reports were filed on form 8-K during this period. 

Exhibits

Medical International Technology includes herewith thefollowing exhibits. 
31.1Certification of Principal Executive Officer    (Rule 13a-14(a)/15(d)-14(a))31.2Certification of Principal Accounting Officer    (Rule 13a-14(a)/15(d)-14(a))32.1Certification of Principal Executive Officer    (18 U.S.C. 1350)32.2Certification of Principal Accounting Officer    (18 U.S.C. 1350)
**SIGNATURES**

In accordance with the requirements of the Exchange Act,the registrant caused this report to be signed on its behalf by the undersigned, thereuntoduly authorized. 
**Medical International Technology, Inc.**   Registrant
Date: May 12, 2005 
By: \s\Karim Menassa, PresidentKarim Menassa, President and    Principal Executive Officer
Date: May 12, 2005 
By: \s\Michel Bayouk, SecretaryMichel Bayouk, Secretary and    Principal Accounting Officer
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