<PAGE>


                            UNITED STATES
                 Securities and Exchange Commission
                        Washington, DC 20549

                              FORM 10-Q

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

For the Quarterly Period Ended: October 31, 1999

                                 Or

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


For the transition period from             to


                               0-3255
                      (Commission File Number)

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

                DELAWARE                        13-1864519
(State or other jurisdiction of incorporation)   (IRS EIN)

Post Office Box 741528, Houston, Texas          77274
(Address of principal executive offices)     (Zip Code)

                           (713)-783-9184
        (Registrant's telephone number, including area code)


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

     Indicate by check mark whether the registrant (1) has filed all
reports  to  be  filed  by  Section 13 or 15(d)  of  the  Securities
Exchange  Act  of 1934 during the preceding 12 months (or  for  such
shorter  period  that  the  registrant was  required  to  file  such
reports),  and (2) has been subject to such filing requirements  for
the past 90 days.

YES [X] NO [ ]

      Indicate  the  number of shares outstanding  of  each  of  the
issuer's classes of common stock, as of the latest practicable date:

               Class                    Outstanding at October 31,1999
     Common Stock $0.01 Par Value            27,663,597

<PAGE>
                               Part I.
                               Item I.

                 Jayark Corporation and Subsidiaries
                     Consolidated Balance Sheets
<TABLE>
<CAPTION>


                                                      Unaudited        Audit
                                                       10/31/99       4/30/99
                                                      ----------     ---------
<S>                                                      <C>              <C>
Assets
Current Assets
Cash and Cash Equivalents                               $445,010       $209,724
A/R-Trade, Less Allowance For Doubtful Accounts of
$78,000 at 10/31/99 and $59,000 at 4/30/99             1,652,879      1,818,214
Inventories                                              409,277        337,914
Other Current Assets                                      44,591         46,247
                                                      ----------     ---------
Total Current Assets                                   2,551,757      2,412,099

Non Current Assets
Property & Equipment, Less Accum Depr & Amort            120,746        120,410
Excess of Cost Over Net Assets of Businesses
Acquired, Less Accum Amort of $495,000 at 10/31/99
and $485,000 at 4/30/99                                  236,702        247,382
                                                      ----------     ---------
Total Non-Current Assets                                 357,448        367,792
                                                      ----------     ---------
Total Assets                                          $2,909,205     $2,779,891
                                                      ==========     =========

Liabilities
Current Liabilities
Notes Payable & Line of Credit                                $0             $0
Current Maturities of Long Term Debt                     161,332        161,332
Accounts Payable                                         464,635        689,209
Accrued Expenses                                         255,917        253,796
Accrued Salaries                                         453,066        392,420
Accrued Interest                                         504,510        504,510
Other Current Liabilities                                 51,752         39,918
                                                      ----------     ---------
Total Current Liabilities                              1,891,212      2,041,185


Long Term Debt                                         1,387,362      1,424,229
                                                      ----------     ---------
Total Liabilities                                     $3,278,574     $3,465,414
                                                      ==========     =========

Stockholders' Equity (Deficit)
Common Stock of $.01 Par Value.  Authorized 30,000,000
Shares; Issued 27,663,597 Shares at 10/31/99 and 4/30/99 276,636        276,636
Additional Paid-In Capital                            12,350,084     12,350,084
Deficit                                              (12,996,089)   (13,312,243)
                                                      ----------     ---------
Total Stockholders' Equity (Deficit)                   $(369,369)     $(685,523)

Total Liabilities & Stockholders' Equity (Deficit)    $2,909,205     $2,779,891
                                                      ==========     =========
     See accompanying notes to consolidated financial statements
</TABLE>
<PAGE>



                 Jayark Corporation and Subsidiaries
                Consolidated Statements of Operations
                             (Unaudited)

<TABLE>
<CAPTION>

                                    Three Months Ended       Six Months Ended
                                   10/31/99    10/31/98    10/31/99    10/31/98
                                   ---------------------------------------------
<S>                                  <C>          <C>         <C>         <C>

Net Revenues                      $3,657,061  $4,260,743  $7,088,003  $8,308,012

Cost of Revenues                   3,010,907   3,630,414   5,894,745   7,129,676
                                   ---------------------------------------------
Gross Margin                         646,154     630,329   1,193,258   1,178,336

Selling, General & Admin             402,401     428,394     821,792     909,570
                                   ---------------------------------------------

Operating Income                     243,753     201,935     371,466     268,766

Other Income (Expense):
Interest Expense                     (27,924)   (104,786)    (55,312)   (198,461)
                                   ---------------------------------------------

Pre Tax Earnings (Losses)            215,829      97,149      316,154     70,305

Provision for Income Taxes              --          --           --          --
                                   ---------------------------------------------

Net Income (Loss)                   $215,829     $97,149     $316,154    $70,305
                                   =============================================

Basic and Diluted Earnings (Loss) per Common Share
Net Income (Loss)                       $.01        $.01         $.01       $.00
                                   =============================================

Weighted Average Common Shares:
Basic and Diluted                 27,663,597   9,221,199   27,663,597  9,221,199

     See accompanying notes to consolidated financial statements
</TABLE>
<PAGE>



                 Jayark Corporation and Subsidiaries
                Consolidated Statement of Cash Flows
                     For the Three Months Ended
                             (Unaudited)
<TABLE>
<CAPTION>


                                                          10/31/99      10/31/98
                                                          --------      --------
<S>                                                          <C>           <C>

Cash Flows From Operating Activities:
Net Income (loss)                                        $316,154      $70,305

Adjustments to Reconcile Earnings (Loss) to Cash from Operating Activities:

Depr and Amort of Property and Equipment                   33,658       70,483
Changes In Assets and Liabilities:
(Increase) Decrease in Accounts Receivable Net            165,335     (646,114)
(Increase) Decrease in Inventories                        (71,363)    (224,883)
(Increase) Decrease in Other Current Assets                 1,656      (49,382)
Increase (Decrease) in Accounts Payable                  (224,573)     101,559
Increase (Decrease) in Accrued Expenses                     2,120       (9,899)
Increase (Decrease) in Accrued Salaries                    60,646       33,368
Increase (Decrease) in Accrued Interest                       --        87,938
Increase (Decrease) in Other Liabilities                   11,834      110,193
                                                         --------     --------
Net Cash Provided By (Used In) Operating Activities       295,467     (456,432)

Cash Flows From Investing Activities:
Purchases of Property and Equipment                       (23,314)    (817,788)
                                                         --------     --------
Net Cash Provided By (Used In) Investing Activities       (23,314)    (817,788)

Cash Flows From Financing Activities:
Proceeds From Issuance of Long Term Debt                     --        140,940
Proceeds From Issuance of Notes Payable                      --        950,000
Payments of Notes Payable & Subordinated Debentures       (36,867)     (24,581)
                                                         --------     --------
Net Cash Provided By (Used In) Financing Activities       (36,867)   1,066,359

Net Increase (Decrease) in Cash and Cash Equivalents      235,286     (207,861)
Cash & Cash Equivalents at Beginning of Year              209,724      238,858
                                                         --------     --------
Cash & Cash Equivalents at End of Year                   $445,010      $30,997
                                                         ========     ========

     See accompanying notes to consolidated financial statements
</TABLE>
<PAGE>


             Notes to Consolidated Financial Statements
                             (Unaudited)

1.    Jayark  Corporation ("Jayark" or "the Company")  conducts  its
  operations through two wholly owned subsidiaries, AVES Audiovisual
  Systems, Inc. ("AVES") and MED Services Corp. ("Med"), each of which
  constitute a business segment for financial reporting purposes.  The
  consolidated  balance sheet of Jayark Corporation and subsidiaries
  (the   "Company"),  as  of  October  31,  1999,  and  the  related
  consolidated statements of operations and cash flows for the periods
  ended  October  31, 1999 and 1998 are unaudited. The  consolidated
  balance  sheet as of April 30, 1999 has been derived from  audited
  financial statements. The consolidated financial statements should
  be  read in conjunction with the audited financial statements  and
  footnotes  for  the  year ended April 30, 1999,  included  in  the
  Company's report on Form 10-K.

2.    The interim financial statements  reflect   all   adjustments
  (consisting of only normal and recurring accruals and adjustments)
  which  are,  in  the opinion of management, necessary  to  a  fair
  statement  of  the results for the interim periods presented.  The
  Company's operating results for any particular interim period  may
  not be indicative of results for the full year.

3.    Certain reclassifications have been made in the 1998 financial
  statements  to conform them to and make them consistent  with  the
  presentation used in the 1999 financial statements.


<PAGE>


                               Item 2.
     Management's Discussion & Analysis of Results of Operations

 Three Months Ended October 31, 1999 as compared to October 31, 1998

                            NET REVENUES

      Consolidated Revenues of $3,657,000 for the three months ended
October 31, 1999, decreased $604,000, or 14.2%, as compared  to  the
same  period in 1998.  Sales at AVES were down $545,000 as  compared
to  the  same period last year.  This decrease was due to a decrease
in direct sales as compared to the prior year due to a number of one
time  sales  opportunities in the prior year, the dramatic  drop  in
cost  of  video equipment over the past year, and the hesitation  of
AVES'  Broadcast customers to invest in new broadcast  equipment  at
this time, when this well educated customer base knows that there is
new  digital equipment under development.  In addition to the  sales
decrease at AVES, Med reported zero sales as compared to $60,000  in
prior  year  rental  sales,  as  a  result  of  the  November   1998
termination  of  its  distribution  agreements  with  Vivax  Medical
Corporation.

                          COST OF REVENUES

     Consolidated Cost of Revenues of $3,011,000 decreased $621,000,
or  17.1%,  as compared to the same period last year.  The  decrease
was a result of the decrease in sales.

                            GROSS MARGIN

     Consolidated Gross Margin of $646,000 was 17.7% of revenues, as
compared to $630,000, or 14.8%, for the same period last year.   The
Company experienced lower unit sales with higher profit margins that
resulted  in a gross margin increase as compared to the prior  year,
despite the decrease in revenues.

            SELLING, GENERAL AND ADMINISTRATIVE EXPENSES

      Consolidated Expenses of $402,000 decreased $26,000 or 6.1% as
compared  to  the same period last year.  Jayark Corporate  expenses
decreased  $69,000 primarily due to a reduction in  the  President's
salary  accrual and decreased professional fees as compared to  last
year.   Med's  expenses increased $26,000 due to  professional  fees
incurred  in its efforts to pursue additional opportunities  in  the
medical field.  AVES' spending increased $17,000 as compared to  the
same  period  last year primarily due to increased  advertising  and
exhibit costs.

<PAGE>

                          OPERATING INCOME

     Consolidated Operating Income of $244,000 increased $42,000, or
20.7%, as compared to the same period last year.  This increase was
possible, despite the decrease in revenues, due to the increase in
gross margin and decreases in selling, general and administrative
expenses.


                          INTEREST EXPENSE

      Consolidated Interest Expense of $28,000 decreased $77,000, or
73.3%.   This  decrease was primarily a result of  the  decrease  in
subordinated debt and notes payable attributed to the conversion  of
debt  in  conjunction  with  the Rights Offering  which  expired  on
October  30,  1998.  As compared with the prior period, subordinated
debt  was  down  $818,000, with an interest rate  reduction  on  the
$582,000  in  remaining principal from 12% to 8%, and notes  payable
decreased $1,000,000 due to the exchange of equity for debt.


                          NET INCOME (LOSS)

      Consolidated Net Income of $216,000 increased as  compared  to
net  income  of  $97,000  during the same  period  last  year.   The
$119,000  increase,  or  122.2%, was a  result  of  increased  gross
margin,  decreased  selling, general and  administrative  costs  and
reduced interest expense.

<PAGE>

  Six Months Ended October 31, 1999 as compared to October 31, 1998

                            NET REVENUES

      Consolidated Revenues of $7,088,000 for the six  months  ended
October 31, 1999 decreased $1,220,000, or 14.7%, as compared to  the
same period in 1998.  Sales at AVES were down $1,120,000 as compared
to the same period last year. This decrease was due to a decrease in
direct  sales as compared to the prior year due to a number  of  one
time  sales  opportunities in the prior year, the dramatic  drop  in
cost  of  video equipment over the past year, and the hesitation  of
AVES'  Broadcast customers to invest in new broadcast  equipment  at
this time, when this well educated customer base knows that there is
new  digital  equipment  under  development.   In  addition  to  the
decrease at AVES, Med reported zero sales as compared to $100,000 in
prior  year  rental  sales,  as  a  result  of  the  November   1998
termination  of  its  distribution  agreements  with  Vivax  Medical
Corporation.

                          COST OF REVENUES

       Consolidated   Cost  of  Revenues  of  $5,895,000   decreased
$1,235,000, or 17.3%, as compared to the same period last year.  The
decrease was a result of the decrease in sales.

                            GROSS MARGIN

     Consolidated Gross Margin of $1,193,000 was 16.8% of  revenues,
as  compared to $1,178,000, or 14.2%, for the same period last year.
The  Company experienced lower unit sales with higher profit margins
that  resulted  in  a  gross margin comparable to  the  prior  year,
despite the decrease in revenues.

            SELLING, GENERAL AND ADMINISTRATIVE EXPENSES

      Consolidated Expenses of $822,000 decreased $88,000 or 9.7% as
compared  to  the same period last year.  Jayark Corporate  expenses
decreased  $107,000, or 50.5%, due to a reduction in the President's
salary  accrual  along  with  decreases  in  professional  fees  and
insurance  expense  as  compared  to  last  year.   Med's   expenses
increased  $5,000,  24.6%,  from the  prior  year  as  a  result  of
increased  professional fees.  AVES' spending increased $14,000,  or
2.1%, as compared to the same period last year.


                          OPERATING INCOME

     Consolidated Operating Income of $371,000 increased $103,000,
or 38.2%, as compared to the same period last year.  This increase
was possible, despite the decrease in revenues, due to an increase
in the gross margin percentage along with the decrease in selling,
general and administrative expenses.

<PAGE>

                          INTEREST EXPENSE

     Consolidated Interest Expense of $55,000 decreased $143,000, or
72.1%.   This  decrease was primarily a result of  the  decrease  in
subordinated debt and notes payable attributed to the conversion  of
debt  in  conjunction  with  the Rights Offering  which  expired  on
October  30,  1998.  As compared with the prior period, subordinated
debt  was  down  $818,000, with an interest rate  reduction  on  the
$582,000  in  remaining principal from 12% to 8%, and notes  payable
decreased $1,000,000 due to the exchange of equity for debt.


                          NET INCOME (LOSS)

      Consolidated Net Income of $316,000 increased as  compared  to
net  income  of  $70,000  during the same  period  last  year.   The
$246,000  increase,  or 349.7%, was a result  of  increased  margin,
decreased  selling,  general and administrative  costs  and  reduced
interest expense.

<PAGE>


                   LIQUIDITY AND CAPITAL RESOURCES

At  October 31, 1999, and at April 30, 1999, consolidated open lines
of  credit  available to the Company for borrowing were  $1,250,000.
It  is  the  opinion  of  the  Company's management  that  operating
expenses,  as well as obligations coming due during the next  fiscal
year,  will  be met primarily by cash flow generated from operations
and from available borrowing levels.

Working  capital  was  $661,000 at October 31, 1999,  compared  with
$371,000 at April 30, 1999.

Net  cash provided by operating activities was $295,000 in  1999  as
compared with net cash used of $456,000 in 1998.

Cash  flows  used in investing activities were $23,000  in  1999  as
compared to $818,000 in 1998.

Cash  used by financing activities was $37,000 in 1999, compared  to
cash  provided of $1,066,000 in 1998 as a result of the issuance  of
notes payable and long-term debt.

On  December  2,  1999,  the  Company  amended  its  Certificate  of
Incorporation  to effect a one-for-ten reverse stock  split  of  the
issued and outstanding shares of common stock.

Year 2000

The year 2000 issue is the result of computer programs being written
using  two  digits  rather than four to define the applicable  year.
Certain information technology systems and their associated software
("IT  Systems"), and certain equipment that uses programmable  logic
chips  to  control  aspects  of  their  operation  ("embedded   chip
equipment"), may recognize "00" as a year other than the year  2000.
The  year 2000 issue could result, at the Company and elsewhere,  in
system   failures   or   miscalculations  causing   disruptions   of
operations, including, among other things, a temporary inability  to
process   transactions  or  to  engage  in  other  normal   business
activities.

The  Company has addressed, and continues to address, its year  2000
issues,  including efforts relating to IT Systems and embedded  chip
equipment  used  within the Company, efforts to address  issues  the
Company faces if third parties who do business with the Company  are
not  prepared  for  the  year 2000, and contingency  planning.   The
Company  has used both internal and external resources to  identify,
correct,  upgrade  or replace and test its IT systems  and  embedded
chip equipment for year 2000 compliance.

The  Company's  IT  Systems have been tested and  determined  to  be
compliant  in a simulated year 2000 environment.  As a  result,  the
Company  believes that its IT systems are ready for the  year  2000,
although  isolated incidences of non-compliance may be  experienced.
The   Company  plans  to  allocate  internal  resources  and  retain
dedicated consultants and vendor representatives to be ready to take
action should these events occur.

<PAGE>

The  Company  has  identified  some non-IT  systems,  embedded  chip
equipment, such as telephones, fax machines, climate control devices
and  building security systems, which may be impacted  by  the  year
2000  problem.  These non-IT systems are minor in nature  and  would
not significantly impact the Company's operations.

With respect to the IT and non-IT Systems of critical third parties,
such  as product vendors, utilities, communications, transportation,
government,  banking and other important services, the  Company  has
established  communication  to  obtain  assurances  regarding  their
respective year 2000 efforts.  While the Company expects such  third
parties to address the year 2000 issues based on the representations
it  has  received to date, the Company cannot guarantee  that  these
systems  will  be  made  year 2000 compliant  in  a  timely  manner.
Computer  errors  or  failures in any of these areas  may  have  the
potential to disrupt business operations.  The Company will continue
to monitor the progress of such third parties.

Although  the  Company  values established  relationships  with  key
vendors,  substitute products for most goods may  be  obtained  from
other vendors.  If certain vendors are unable to deliver product  on
a  timely  basis,  due  to their own year 2000 issues,  the  Company
anticipates  that there will be others who will be able  to  deliver
similar  goods.  However, the lead-time involved in sourcing certain
goods may result in temporary shortages of relatively few items.

The  Company  expects all expenditures relating to their  year  2000
readiness  to be funded by cash flows from operations and that  this
will not materially impact other operating or investment plans.

The  Company  believes  that  the IT and non-IT  technologies  which
support  its critical functions will be ready for the transition  to
the  year  2000.  There can be no assurance that similar  unresolved
issues for key third parties will not cause an adverse effect on the
Company.  Although the Company believes that its efforts to  address
the  year 2000 issue will be sufficient to avoid a material  adverse
impact on the Company, there can be no assurances that these efforts
will be fully effective.

<PAGE>

                     PART II. OTHER INFORMATION


ITEM 4.   Submission of Matter to a Vote of Security Holders.

      At  the  Annual Meeting of Shareholders held on  November  22,
1999,  pursuant to the Notice of Annual Meeting of the  Shareholders
and  Proxy Statement dated October 26, 1999, the voting results were
as follows:

a)   Each  of  the  two  nominees (Arthur G. Cohen  and  Jeffrey  P.
     Koffman) were elected to the Board of Directors as follows:

     Director's Name       Shares Voted FOR        Shares WITHHELD
     --------------------------------------------------------------
     Arthur G. Cohen          19,974,196               11,813
     Jeffrey P. Koffman       19,974,196               11,813

b)   The  appointment  of  BDO Seidman, LLP  as  independent  public
     accountants for the Company for the fiscal year ending April 30,
     2000 was approved (19,677,938 shares voted FOR; 5,863 shares voted
     AGAINST; and 2,208 shares WITHHELD).

c)   An  amendment to the Company's Certificate of Incorporation  to
     effect  a  one-for-ten reverse stock split of  the  issued  and
     outstanding shares of common stock was approved (19,634,325 shares
     voted FOR; 48,743 shares voted AGAINST; and 2,941 shares WITHHELD).


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

     (a)  Exhibits - None

     (b)  Report on Form 8-K - None

<PAGE>

                             Signatures

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

                                   JAYARK CORPORATION
                                   Registrant

     /s/  David L. Koffman                     December 13, 1999
     David L. Koffman, President
     Chief Executive Officer



     /s/ Robert C. Nolt                        December 13, 1999
     Robert C. Nolt
     Chief Financial Officer

<PAGE>

[ARTICLE] 5
[CIK] 0000053260
[NAME] JAYARK CORPORATION
[MULTIPLIER] 1000
<TABLE>
<S>                             <C>                     <C>
[PERIOD-TYPE]                   3-MOS                   6-MOS
[FISCAL-YEAR-END]                          APR-30-2000             APR-30-2000
[PERIOD-START]                             AUG-01-1999             MAY-01-1999
[PERIOD-END]                               OCT-31-1999             OCT-31-1999
[CASH]                                             445                     445
[SECURITIES]                                         0                       0
[RECEIVABLES]                                    1,731                   1,731
[ALLOWANCES]                                      (78)                    (78)
[INVENTORY]                                        409                     409
[CURRENT-ASSETS]                                 2,552                   2,552
[PP&E]                                             453                     453
[DEPRECIATION]                                   (332)                   (332)
[TOTAL-ASSETS]                                   2,909                   2,909
[CURRENT-LIABILITIES]                            1,891                   1,891
[BONDS]                                              0                       0
[PREFERRED-MANDATORY]                                0                       0
[PREFERRED]                                          0                       0
[COMMON]                                           277                     277
[OTHER-SE]                                       (646)                   (646)
[TOTAL-LIABILITY-AND-EQUITY]                     2,909                   2,909
[SALES]                                          3,657                   7,088
[TOTAL-REVENUES]                                 3,657                   7,088
[CGS]                                            3,011                   5,895
[TOTAL-COSTS]                                    3,011                   5,895
[OTHER-EXPENSES]                                   402                     822
[LOSS-PROVISION]                                     0                       0
[INTEREST-EXPENSE]                                  28                      55
[INCOME-PRETAX]                                    216                     316
[INCOME-TAX]                                         0                       0
[INCOME-CONTINUING]                                216                     316
[DISCONTINUED]                                       0                       0
[EXTRAORDINARY]                                      0                       0
[CHANGES]                                            0                       0
[NET-INCOME]                                       216                     316
[EPS-BASIC]                                        .01                     .01
[EPS-DILUTED]                                      .01                     .01
</TABLE>