FORM 10-Q.B.-QUARTERLY OR TRANSITIONAL REPORT UNDER
                            SECTION 13 OR 15 (d) OF
                      THE SECURITIES EXCHANGE ACT OF 1934
                        Quarterly or Transitional Report
                    U.S. Securities and Exchange Commission
                             Washington, D.C. 20549

(Mark One)
[XX]    QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
        EXCHANGE ACT OF 1934

        For Quarterly period ended October 31, 1997

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

        For the transition period from                     to               

        Commission File Number: 0-25024       

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

              NEW MEXICO                               85-0388759          
       (State or other jurisdiction         (IRS Employer Identification No.)
     of incorporation or organization)                       

                 3206 Candelaria Road NE. Albuquerque, NM 87107
                    (Address of principal executive offices)

                                 (505) 884-0272
                          (Issuer's telephone number)

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


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

Yes [ X ]  No [   ]

         The number of shares of the registrant's common stock outstanding as of
         February 20, 1998, was:
        
         No Par Value Common              22,016,411


Transitional Small Business Format:     Yes [   ]    No [ X ]  


                         PART I. FINANCIAL INFORMATION


ITEM 1. FINANCIAL STATEMENTS

                   Titan Technologies, Inc. and Subsidiaries
                           CONSOLIDATED BALANCE SHEET
                                October 31, 1997
                                   UNAUDITED

ASSETS

        Current Assets
                Cash ..........................................     $    42,108
                Accounts receivable - stockholder .............             609
                                                                    -----------
                        Total Current Assets ..................          42,717

        Property and Equipment, at cost
                Furniture and fixtures ........................           8,058
                Machinery .....................................           8,362
                Automotive ....................................          23,000
                                                                    -----------
                                                                         39,420

                Less accumulated depreciation .................          (9,551)
                                                                    -----------
                        Net property and equipment ............          29,869
                                                                    -----------

                                                                    $    72,586
                                                                    ===========

LIABILITIES AND STOCKHOLDERS' EQUITY

        Current Liabilities
                Accounts payable ..............................     $    14,453
                Note payable stockholder ......................         112,000
                Other accrued liabilities .....................          26,406
                                                                    -----------
                        Total Current Liabilities .............         152,859


        Stockholders' Equity
                Common stock - no par value; authorized,
                50,000,000 shares; issued and
                outstanding, 22,016,411 shares ................       1,305,695
                Accumulated deficit ...........................      (1,385,968)
                                                                    -----------
                                                                        (80,273)

                                                                    $    72,586
                                                                    ===========

   The Accompanying Notes Are An Integral Part of These Financial Statements


                   Titan Technologies, Inc. and Subsidiaries
                     CONSOLIDATED STATEMENTS OF OPERATIONS
                     For the Three Months Ended October 31
                                   UNAUDITED


                                                       1997             1996   
                                                   ------------     ------------
REVENUES

        Gain on sale of assets ................    $       --       $    163,314
        Other income ..........................             859            3,090
                                                   ------------     ------------
                                                            859          166,404

COSTS AND EXPENSES

        General and administrative ............          75,792          111,250
        Outside services ......................          11,713            8,933
        Depreciation and amortization .........           1,310            1,988
        Interest ..............................           3,360            1,862
                                                   ------------     ------------
                                                         92,175          124,033
                                                   ------------     ------------

        Earnings (loss) before income taxes ...         (91,316)          42,371

        Provision for income taxes ............            --               -- 
                                                   ------------     ------------

        Net earnings (loss) ...................     $ ( 91,316)     $     42,371
                                                   ============     ============
        Weighted average common shares
                outstanding (Note 2) ..........      21,852,498       18,316,846
                                                   ============     ============

Net earnings (loss) per common share ..........    $       0.00     $       0.00
                                                   ============     ============

   The Accompanying Notes Are An Integral Part of These Financial Statements


                   Titan Technologies, Inc. and Subsidiaries
                     CONSOLIDATED STATEMENTS OF CASH FLOWS
                     For the Three Months Ended October 31
                                   UNAUDITED


                                                          1997            1996  
Cash flows from operating activities
        Interest received ........................     $     859      $   3,090
        Cash paid for suppliers and
           subcontractors ........................       (74,892)      (123,887)
        Interest paid ............................        (3,360)        (1,862)
                                                       ---------      ---------
        Net cash provided by (used in)
           operating activities ..................       (77,393)      (122,659)

Cash flows from investing activities
        Acquisition of property
           and equipment .........................       (28,624)          --   

Cash flows from financing activities
        Payments on borrowing ....................          --             --   
        Proceeds from stockholder loan ...........          --          112,000
        Proceeds from sale of common stock .......       145,000           --   
                                                       ---------      ---------
                                                         145,000        112,000

        Net increase (decrease) in cash ..........        38,983        (10,659)
                                                       ---------      ---------

        Cash at beginning of year ................         3,125        272,714
                                                       ---------      ---------

        Cash at end of period ....................     $  42,108      $ 262,055
                                                       =========      =========

Reconciliation of Net earnings (loss) to
   Cash Provided by (used in)
   Operating Activities
        Net earnings (loss) ......................     $ (91,316)     $  42,371
        Adjustments
        Gain on sale of assets ...................          --         (163,314)
        Depreciation and amortization ............         1,310          1,988
        Changes in assets and liabilities
        (Decrease) increase
            in accounts payable ..................        11,914         (5,093)
        Increase in interest payable .............         3,360            518
        (Decrease) increase in
            accrued liabilities ..................        (2,661)           871
                                                       ---------      ---------
        Net cash provided by (used in)
            operating activities .................     $ (77,393)     $(122,659)
                                                       =========      =========

Noncash investing and financing activities:
During the three months ending October 31,1996 certain rights and patents with a
net book value of  approximately  $75,000 were  transferred  to the developer in
exchange  for notes  payable,  accrued  interest  and other  liabilities  to the
developer totaling approximately $238,000.

   The Accompanying Notes Are An Integral Part of These Financial Statements


                   Titan Technologies, Inc. and Subsidiaries
                         NOTES TO FINANCIAL STATEMENTS
                  For the Three Months Ended October 31, 1997


1)  NOTES TO FINANCIAL STATEMENTS

The balance sheet at October 31, 1997, and the statements of operations and cash
flow for the three  months  ended  October 31, 1997 and 1996 have been  prepared
without audit. In the opinion of management,  all adjustments,  including normal
recurring  adjustments  necessary  to  present  fairly the  financial  position,
results of operations and cash flows,  have been made.  Certain  information and
footnote  disclosures  normally  included in  financial  statements  prepared in
accordance with generally accepted accounting  principles have been condensed or
omitted. It is suggested that these financial  statements be read in conjunction
with the Company's audited financial statements at July 31, 1997. The results of
operations  for the three  months  ended  October 31,  1997 are not  necessarily
indicative of operating results for the full year.

2)  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Net earnings (loss) per common share is calculated  using the  weighted  average
number of share outstanding during each period.

3)  ISSUANCE OF COMMON STOCK

In March 1997, the Company exchanged  3,000,000 shares of its common stock for a
28.5% interest in ESA Recycling GMBH ("ESA"), an Austrian company. No investment
was recorded  because the  estimated  fair value of the net assets of ESA at the
time of the exchange were nominal.  ESA has no current  operations  but plans to
develop a tire recycling plant in Europe.

In August  1997 the company  sold  580,000  shares of common  stock for which it
received $145,000.

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

Results of Operations

During the three months ended October 31, 1997 and October 31, 1996, the Company
had no  licensing  revenue.  During  the year ended  July 31,  1996 the  Company
granted tire  recycling  license rights for Europe,  Australia,  New Zealand and
South Africa to a company.  The agreement  requires the payment of licensee fees
of  $1,500,000  to  $2,500,000  to the  Company for each plant  constructed  and
royalties of 3.5% of the gross sales price of  by-products  from the plants.  No
plants are scheduled for  construction at October 31, 1997. As a result of these
activities by management general and  administrative  expenses decreased $35,458
to $75,792 and outside services increased $2,780 to $11,713 for the three months
ended October 31, 1997 as compared to the three months ended October 31, 1996.

Financial Condition

The Company's  liquidity increased in the three months ended October 31, 1997 as
cash increased by $38,983 since July 31, 1997.  Operations used $77,393 compared
to the same  period of the prior year in which  operations  used  $122,659.  The
Company  did not repay a note due  September  24,  1997 and is in default of the
note. The Company is attempting to renegotiate the note.  Pending  renegotiation
of the note and based on the results of fiscal 1997 and its  prospects for 1998,
management  considers  the  Company's  liquidity  position  adequate  with funds
sufficient to meet its operating needs.


                           PART II. OTHER INFORMATION


ITEM 1.  LEGAL PROCEEDINGS

1. The Company has filed suit against two individuals for fraud and/or negligent
misrepresentation  seeking  the  return  of  approximately  2,264,000  shares of
company stock issued to these individuals for technology and license rights. One
of these individuals  subsequently filed  counterclaims  against the Company. In
the opinion of  management,  the ultimate  resolution  of these matters will not
have a  materially  adverse  effect  on  the  Company's  consolidated  financial
position or consolidated results of operations;  however, due to the uncertainty
of the matters, it is at least reasonably possible that management's view of the
outcome will change in the near future.

In the event the Company fails to renegotiate the note referenced  above in Item
2, the company has substantial  offset against the claimed  indebtedness  and is
prepared to litigate if there is no amicable resolution of this matter.

On February  12,  1998 the Company  filed a lawsuit  against a  stockholder  for
fraud,  breach  of  contract,  conversion,  and  breach  of  oral  agreement  in
connection  with contracts and  agreements for the sale and/or  licensing of the
Company's  recycling  technology  and certain  geographic  marketing  rights and
raising  capital  funds  for  recycling   plants  in  Europe.   The  suit  seeks
compensatory  and punitive  damages in excess of $50,000 plus attorney fees. Due
to the early stage of this litigation, management cannot estimate the likelihood
or amount of a favorable verdict.

The  Company  knows of no other  legal  proceedings  pending or  threatened,  or
judgement  against any  director or officer of the Company in their  capacity as
such.


ITEM 2.  CHANGES IN SECURITIES

NONE

ITEM 3.  DEFAULTS IN SENIOR SECURITIES

NONE

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

NONE

ITEM 5.  OTHER INFORMATION

NONE

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

     (a) There are no exhibits required by Item 601 of Regulation S-K

     (b)  Reports on Form 8-K.  State  whether any reports on Form 8-K have been
filed  during the  quarter  for which this  report is filed,  listing  the items
reported, any financial statements filed, and the dates of any such reports.

NONE

                                   SIGNATURES

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

        TITAN TECHNOLOGIES, INC. AND SUBSIDIARIES
                


February 20, 1998  Ronald L. Wilder
                   -------------------------------------------------------    
                   Ronald L. Wilder, President and Chief Executive Officer



February 20, 1998  Bruce R. Clark
                   --------------------------------------------------------
                   Bruce R. Clark, General Counsel, Chief Financial Officer
                   and Chief Accounting Officer