SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 10-Q
             QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
                         SECURITIES EXCHANGE ACT OF 1934

(X)     Quarterly report for the quarterly period ended         June 30, 1997

                                       OR

(   )      Transition Report Pursuant to Section 13 or 15(d) of The Securities
           Exchange Act of 1934

Commission file number 1-9601

                           K-V PHARMACEUTICAL COMPANY
             (Exact name of registrant as specified in its charter)

           DELAWARE                                     43-0618919
(State or other jurisdiction of             (I.R.S. Employer Identification No.)
incorporation or organization)

                2503 SOUTH HANLEY ROAD, ST. LOUIS, MISSOURI 63144
                    (Address or principal executive offices)
                                   (Zip Code)

                                 (314) 645-6600
              (Registrant's telephone number, including area code)

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

        Indicate by check mark whether the  registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the  Securities  Exchange  Act of
1934 during the preceding 12 months (or 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

             Title of Class of                           Number of Shares
               Common Stock                   Outstanding as of this Report Date
               ------------                   ----------------------------------

Class A Common Stock, par value $.01 per share              7,750,439
Class B Common Stock, par value $.01 per share              4,300,575


<PAGE>
                                     PART I

                              FINANCIAL INFORMATION

                   KV PHARMACEUTICAL COMPANY AND SUBSIDIARIES
                      CONSOLIDATED STATEMENTS OF OPERATIONS

                For the Three Months Ended June 30, 1997 and 1996
                                   (Unaudited)



                                              1997                  1996
                                             ------                 -----      

Net Revenues                             $18,201,740             $13,067,817

Costs and Expenses:
Manufacturing costs and expenses          10,218,168               7,138,276
Research and development                   1,507,721               1,163,274
Selling and administrative                 3,589,518               3,287,422
Interest expense                              74,952                 114,763
Amortization of intangible assets             50,014                  48,683
                                         -----------             -----------
  Total Costs and Expenses                15,440,373              11,752,418
                                          ----------              ----------

Income before income taxes                 2,761,367               1,315,399
Provision for income taxes                   920,500                  30,000
                                         -----------             -----------
Net Income                               $ 1,840,867             $ 1,285,399
                                         ===========             ===========

Net Income per Common Share (after
    preferred dividends of $105,438 in 
    1997 and 1996):
                                            $0.14                    $0.10
                                            =====                    =====



                 See Accompanying Notes to Financial Statements
<PAGE>
                   KV PHARMACEUTICAL COMPANY AND SUBSIDIARIES
                           CONSOLIDATED BALANCE SHEETS
                        June 30, 1997 and March 31, 1997
                                   (Unaudited)

                                              06/30/97              03/31/97
                                              --------              --------
ASSETS
Current Assets:
Cash and equivalents                      $  6,208,777           $  7,627,523
Receivables                                 12,184,402              8,579,598
Inventories                                 13,571,801             12,785,588
Prepaid and other                              910,763              1,230,193
                                           -----------            -----------
   Total Current Assets                     32,875,743             30,222,902

Net Property and Equipment                  12,976,875              8,117,809

Goodwill and other                           3,372,177              3,021,009
                                           -----------          -------------

TOTAL ASSETS                               $49,224,795            $41,361,720
                                           ===========            ===========

LIABILITIES
Current Liabilities:
Current maturities of long-term debt       $   584,649            $   351,316
Accounts payable                             2,616,916              2,045,048
Accrued liabilities                          4,824,380              2,809,571
                                           -----------            -----------
  Total Current Liabilities                  8,025,945              5,205,935

Long-term debt                               5,402,447              2,158,025
Other                                          950,025                913,319
                                           -----------             ----------
  Total Liabilities                         14,378,417              8,277,279
                                           -----------             ----------

Commitments and Contingencies

SHAREHOLDERS' EQUITY
Preferred stock                                  2,410                  2,410
Class A common stock                            77,742                 77,175
Class B common stock                            43,243                 43,766
Additional paid-in capital                  33,871,149             33,844,685
Retained earnings (deficit)                    906,787               (828,642)
Less cost of Class A and Class B 
  common stock in treasury                     (54,953)               (54,953)
                                           -----------             ---------- 

TOTAL SHAREHOLDERS' EQUITY                  34,846,378             33,084,441
                                           -----------             ----------

TOTAL LIABILITIES AND 
SHAREHOLDERS' EQUITY                       $49,224,795            $41,361,720
                                           ===========            ===========


                 See Accompanying Notes to Financial Statements
<PAGE>
<TABLE>

                   KV PHARMACEUTICAL COMPANY AND SUBSIDIARIES
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                For the Three Months Ended June 30, 1997 and 1996
                                   (Unaudited)
<CAPTION>

                                                       1997                                1996
                                                       ----                                ----
<S>                                                 <C>                                <C>    
OPERATING ACTIVITIES
Net Income                                          $ 1,840,867                        $1,285,399

Adjustments to reconcile net income to net 
   cash provided by operating activities:

   Depreciation and amortization                        427,480                           393,056

Changes in operating assets and liabilities:

(Increase) in receivables                            (3,604,805)                         (900,621)

Net (increase) decrease  in inventories and
   other current assets                                (466,783)                          244,779

Increase (decrease) in accounts payable and
   accrued liabilities                                2,586,677                          (656,210)
Increase in other                                        36,706                            38,022
                                                    -----------                      ------------

  NET CASH PROVIDED BY OPERATING ACTIVITIES             820,142                           404,425
                                                    -----------                       -----------

INVESTING ACTIVITIES
   Purchase of property and equipment, net           (5,236,531)                         (274,690)
   Other, net                                          (401,183)                         (445,832)
                                                    ------------                      ------------

NET CASH USED IN INVESTING
   ACTIVITIES                                        (5,637,714)                         (720,522)
                                                    ------------                      ----------- 

FINANCING ACTIVITIES
   Proceeds from credit facilities                            -                                 -
   Repayment of credit facilities                             -                                 -
   Proceeds from term loan facility                   3,500,000                                 -
   Principal payments on long-term debt                 (22,244)                         (124,355)
   Dividends Paid on Preferred Stock                   (105,438)                                -
   Exercise of common stock options                      26,508                            18,701
                                                    -----------                     -------------

NET CASH PROVIDED BY (USED IN)
FINANCING ACTIVITIES                                  3,398,826                          (105,654)
                                                    -----------                      -------------

(DECREASE) IN CASH AND CASH
     EQUIVALENTS                                     (1,418,746)                         (421,751)
Cash and cash equivalents
   at beginning of year                               7,627,523                         2,038,069
                                                    -----------                      ------------

CASH AND CASH EQUIVALENTS
   AT END OF PERIOD                                 $ 6,208,777                       $ 1,616,318
                                                    ===========                       ===========


                 See Accompanying Notes to Financial Statements

</TABLE>
<PAGE>



              NOTES TO SUMMARIZED CONSOLIDATED FINANCIAL STATEMENTS



NOTE A -- BASIS OF PRESENTATION

         The interim financial  statements  presented here have been prepared in
conformity with the accounting  principles and practices and methods of applying
the same (including  consolidating  practices) reflected in the Annual Report of
the  Company  on Form 10-K for the year  ended  March 31,  1997  filed  with the
Commission,  except that  detailed  footnotes  and  schedules  are not included.
Reference is hereby made to the footnotes and schedules  contained in the Annual
Report.  All  significant  intercompany  balances  and  transactions  have  been
eliminated and, in the opinion of management,  all  adjustments,  which are of a
normal  recurring  nature  only,  necessary  to present a fair  statement of the
results of the Company and its subsidiaries have been made.

NOTE B -- EARNINGS PER SHARE

         Net income per common  share is computed by dividing  net income,  less
preferred dividends,  by the weighted average number of common shares and common
share  equivalents  (if  dilutive)  outstanding  during  the  period.  Preferred
dividends of $105,438  were paid for the three  months ended June 30, 1997,  and
used in the  calculation  but not paid for the three months ended June 30, 1996.
Undeclared  and unaccrued  cumulative  preferred  dividends at June 30, 1997 and
1996 were  $2,203,643 and  $1,992,769,  respectively.  Common share  equivalents
consist  of those  common  shares  that  would be issued  upon the  exercise  of
outstanding  stock  options.  The weighted  average number of shares used in the
computations were 12,395,415 and 12,285,712 for the quarters ended June 30, 1997
and 1996, respectively.  Primary and fully-diluted income per share was the same
for each of the periods presented.

<PAGE>
Item 2.      Management's Discussion and Analysis of Results of Operations, and
             Liquidity and Capital Resources

         (a) Results of Operations

         Revenues.  Consolidated  revenues for the first  quarter of fiscal 1998
totaled $18.2 million  compared to $13.1 million for the first quarter of fiscal
1997, an increase of $5.1 million, or 39%. ETHEX Corporation  revenues increased
by $4.4  million,  or 46% for the first  quarter over the same period last year.
The ETHEX  increase  resulted  from higher  sales of existing  products  and the
introduction of three new products during the quarter.  Particle Dynamics,  Inc.
revenues  increased  by $.6  million or 31% over the same  period last year as a
result of increased sales in existing products.

         Costs and Expenses.  Manufacturing  costs  increased as a percentage of
net sales to 56% in the quarter  ended June 30, 1997 from 55% in the same period
last year. This increase resulted primarily from expenses related to third party
costs for products,  which were  partially  offset by other  reduced  production
costs.

         Research and development costs increased $.3 million,  or 30%, compared
to the same quarter of the prior year,  due  primarily to increases in personnel
and services used to support continuing  research in the Company's advanced drug
delivery technologies.

         Selling and administrative  expenses increased $.3 million,  or 9% over
the same period last year due principally to the hiring of additional  employees
to support the Company's growth.

         For the three  months  ended June 30,  1997 and 1996 the  Company had a
current  provision  for income taxes of $920,500 and $30,000  respectively.  The
fiscal 1998  provision  is based on the  estimated  federal and state  statutory
rates, while the fiscal 1997 provision was based on the alternative minimum tax,
since no provision for income taxes was otherwise  made as a result of available
net operating loss carryforwards. No loss carryforwards are available for fiscal
1998.

         Net Income.  As a result of the  factors  described  above,  net income
improved  $.6 million,  or 43% to $1.8  million for the first  quarter of fiscal
1998.
<PAGE>

         (b) Liquidity and Capital Resources

         The following  table sets forth  selected  balance sheet ratios at June
30, 1997, March 31, 1997 and June 30, 1996.
<TABLE>
<CAPTION>
                                                                           ($ in 000's)                
                                                   -----------------------------------------------------------
                                                        6/30/97             3/31/97             6/30/96
                                                   ------------------- ------------------- -------------------
<S>                                                     <C>                 <C>                 <C>       
        Working Capital Ratio                           4.1 to 1            5.8 to 1            5.7 to 1
        Quick Ratio                                     2.3 to 1            3.1 to 1            3.1 to 1
        Debt to Debt Plus Equity                        .15 to 1            .07 to 1            .13 to 1
        Total Liabilities to Equity                     .41 to 1            .25 to 1            .30 to 1
        Cash and Equivalents                             $ 6,209             $ 7,628             $ 1,616
        Working Capital                                  $24,850             $25,017             $15,029
        Long Term Liabilities                            $ 6,352             $ 3,071             $ 3,452
        Stockholders' Equity                             $34,846             $33,084             $21,854

</TABLE>

         Working  capital for the  quarter  ended June 30,  1997  decreased  $.2
million  to $24.9  million  from  March 31,  1997,  while  cash and  equivalents
decreased $1.4 million.  The ratio of current assets to current  liabilities was
4.1 to 1 as of June 30,  1997,  compared to 5.8 to 1 as of March 31,  1997.  Net
cash  provided from  operations of $.8 million  included an increase in accounts
receivables of $3.6 million and a net increase in inventories  and other current
assets of $.5 million  principally  provided  from  increased  sales volume from
ETHEX  Corporation  and Particle  Dynamics,  which was offset by non-cash  items
totaling  $.4  million  and a net  increase  in  accounts  payable  and  accrued
liabilities  of  $2.6  million.  The  increase  in  accrued  liabilities  is due
primarily  to  expenses  incurred  by ETHEX  for  rights  to  certain  products.
Borrowings   increased   $3.4  million   resulting  from  the  purchase  of  the
administrative   offices  and  ETHEX  distribution   facility  the  Company  had
previously leased. From a cash flow and earnings standpoint, the purchase of the
facility is expected to approximate  break even with the leased costs,  although
the Company will now own the facility.
<PAGE>

         The debt to debt-plus-equity and total liabilities to equity ratios for
the first  quarter of fiscal 1998  increased  as a result of the debt created to
finance the facility purchase.

         Investing  activities  for the first  quarter of fiscal 1998  reflected
capital expenditures of $5.2 million,  including $4.3 million for acquisition of
the previously  leased  facility,  and net  expenditures for other assets of $.4
million, which were provided for through operations, long-term debt and cash.

         The Company's  cash and cash  equivalents on hand at June 30, 1997 were
$6.2 million. In addition,  the Company currently has in place a credit facility
with LaSalle  National Bank under which it has the ability to borrow up to $22.6
million. This credit facility consists of a three year, unsecured revolving line
of credit and letters of credit to support the Company's requirements.

         Although  the  Company  generally  has been  able to pass  along to its
customers at least a portion of cost increases in labor,  manufacturing  and raw
material costs under its agreements, in certain instances no increases have been
effected due to market  conditions.  It is not  meaningful  to compare  changing
prices over the past  several  years  because the  products,  product  formulas,
product mix and sources of raw materials have varied substantially.

         At this time,  the Company has completed the  transition of its revenue
structure  from one  based  on  lower  margin,  highly  competitive,  short-term
contract  manufacturing  to focusing on higher  margin,  drug  delivery  product
marketing   through  ETHEX   Corporation  and  Particle   Dynamics,   Inc.,  its
wholly-owned subsidiaries, as well as advanced technology drug delivery products
to be marketed and co-marketed under long-term licensing agreements. The Company
expects to increase  expenditures  and  investment  for  research,  clinical and
regulatory  efforts  relating  to  the  development  and   commercialization  of
proprietary new products and advanced technology products and their approval for
marketing.

         The Company  believes funds  generated  from  operating  activities and
existing cash,  together with the funds  available under its credit facility and
the funds  provided  from  licensing  agreements, will be  adequate  to fund the
Company's  requirements  for short term needs due to the continued  sales growth
being experienced.
<PAGE>
                           PART II. OTHER INFORMATION

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

                  a)   Exhibits - See Exhibit Index on page 13.

                  b)  The Company filed a report on Form 8-K dated April 3, 1997
                      regarding  the  sale  of  200,000   shares  of  previously
                      unissued shares of the Company's Class A Common Stock, par
                      value $0.01 per share,  to Roche  International,  Ltd. for
                      cash consideration in the amount of $3,500,000.




<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.


                                           KV PHARMACEUTICAL COMPANY




Date:  August 11, 1997                    /s/   Marc S. Hermelin
                                          -------------------------------
                                          Marc S. Hermelin
                                          Vice Chairman of the Board




Date:  August 11, 1997                    /s/ Gerald R. Mitchell
                                          -------------------------------
                                          Gerald R. Mitchell
                                          Vice President - Finance
                                          Chief Financial Officer

<PAGE>
                                  EXHIBIT INDEX


     Exhibit Number                 Description
     --------------                 -----------

             11                  Computation of Earnings
                                 Per Share Calculation.  Filed
                                 Herewith.