UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 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 December 31, 1996

                                       OR

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


   For the Transition Period From ____________________To ____________________

                         Commission File Number 2-18868

                       KNAPE & VOGT MANUFACTURING COMPANY
             (Exact name of registrant as specified in its charter)

                               Michigan 38-0722920
           (State of Incorporation) (IRS Employer Identification No.)

                          2700 Oak Industrial Drive, NE
                          Grand Rapids, Michigan 49505
               (Address of principal executive offices) (Zip Code)

                                 (616) 459-3311
                               (Telephone Number)

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 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 ______

        3,409,454 common shares were outstanding as of January 31, 1997.
    2,480,473 Class B common shares were outstanding as of January 31, 1997.



<PAGE>






               KNAPE & VOGT MANUFACTURING COMPANY AND SUBSIDIARIES

                                      INDEX

                                                                       Page No.

PART I FINANCIAL INFORMATION

Item 1. Financial Statements.

Condensed Consolidated Balance Sheets
--December 31, 1996 (Unaudited) and June 30, 1996.............................2

Condensed Consolidated Statements of Income (Unaudited)
--Six Months and Three Months Ended December 31, 1996 and 1995................3

Condensed Consolidated Statements of Cash Flows (Unaudited)
--Six Months Ended December 31, 1996 and 1995.................................4

Notes to Condensed Consolidated Financial Statements (Unaudited)..............5

Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations.........................................6-7

PART II OTHER INFORMATION

Item 4. Submission of Matters to a vote of Security Holders...................8

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

SIGNATURES ...................................................................9




<PAGE>


               KNAPE & VOGT MANUFACTURING COMPANY AND SUBSIDIARIES

                          PART I. FINANCIAL INFORMATION

                      CONDENSED CONSOLIDATED BALANCE SHEETS
<TABLE>
<S>                                                                        <C>                            <C> 


                                                                             Dec. 31, 1996                  June 30, 1996
                                                                            --------------                  -------------
                               (Unaudited)

Assets
         Cash and equivalents                                              $         743,329              $         244,271
         Accounts receivable - net                                                24,822,111                     22,763,645
         Refundable income taxes                                                   1,000,854                      1,860,191
         Inventories                                                              23,115,882                     23,016,541
         Other current assets                                                      2,749,053                      3,058,021
         Net current assets of discontinued operation                              1,516,682                      1,790,740
                                                                           -----------------              -----------------
                  Total current assets                                            53,947,911                     52,733,409
                                                                           -----------------              -----------------

         Property, plant and equipment                                            84,403,916                     82,129,435
         Less accumulated depreciation                                            34,710,239                     31,747,827
                                                                           -----------------              -----------------
                  Net property, plant and equipment                               49,693,677                     50,381,608
                                                                           -----------------              -----------------

         Net property, plant and equipment of discontinued operation               1,658,126                      1,775,225
         Other assets                                                             24,193,279                     24,334.917
                                                                           -----------------              -----------------

                                                                           $     129,492,993              $     129,225,159
                                                                           =================              =================

Liabilities and Stockholders' Equity
         Accounts payable                                                  $       4,393,876              $       4,825,372
         Other accrued liabilities                                                 6,573,237                      8,372,046
                                                                           -----------------              -----------------
                  Total current liabilities                                       10,967,113                     13,197,418

         Long-term debt                                                           35,400,000                     35,000,000
         Deferred income taxes and other long-term liabilities                    11,627,519                     11,853,991
                                                                           -----------------              -----------------
                  Total liabilities                                               57,994,632                     60,051,409
                                                                           -----------------              -----------------

Stockholders' equity
         Common stock                                                             11,776,854                     11,762,138
         Additional paid-in capital                                               33,154,806                     33,080,087
         Foreign currency translation adjustment                                  (1,270,843)                    (1,211,286)
         Retained earnings                                                        27,837,544                     25,542,811
                                                                           -----------------              -----------------
                  Total stockholders' equity                                      71,498,361                     69,173,750
                                                                           -----------------              -----------------

                                                                           $     129,492,993              $     129,225,159
                                                                           =================              =================
</TABLE>
See accompanying notes.


<PAGE>


               KNAPE & VOGT MANUFACTURING COMPANY AND SUBSIDIARIES

                   CONDENSED CONSOLIDATED STATEMENTS OF INCOME
                                   (Unaudited)

<TABLE>
<S>                                       <C>                   <C>                   <C>                   <C>         
                                          Six Months Ended      Six Months Ended      Three Months Ended    Three Months Ended
                                           Dec. 31, 1996         Dec. 31, 1995          Dec. 31, 1996         Dec. 31, 1995
                                          ----------------      ----------------      ------------------    ------------------

Net sales                                 $      86,603,383      $    77,926,405       $    41,755,065       $    38,122,568

Cost of sales                                    64,791,859           59,357,810            31,424,900            29,021,440
                                          -----------------     ----------------      ----------------      ----------------

Gross profit                                     21,811,524           18,568,595            10,330,165             9,101,128

Selling and administrative expenses              14,209,014           13,112,013             6,922,933             6,183,098
                                          -----------------     ----------------      ----------------      ----------------

Operating income                                  7,602,510            5,456,582             3,407,232             2,918,030

Other expenses                                    1,089,190            1,317,541               554,504               663,416
                                          -----------------     ----------------      ----------------    ------------------

Income from continuing operations
   before income taxes                            6,513,320            4,139,041             2,852,728             2,254,614

Income taxes - continuing operations              2,352,000            1,566,000             1,038,000               828,000
                                          -----------------     ----------------      ----------------    ------------------

Income from continuing operations                 4,161,320            2,573,041             1,814,728             1,426,614

Income (loss) from discontinued
   operation, net of taxes                                0               (5,583)                    0              (366,867)
                                          -----------------     -----------------     ----------------    -------------------

Net income                                $       4,161,320     $      2,567,458      $      1,814,728    $        1,059,747
                                          =================     =================     ================    ===================

Per common share:

Income from continuing operations            $          .71       $          .44       $           .31       $          .24
Income from discontinued operation                      .00                  .00                   .00                 (.06)
                                             --------------       --------------       ---------------       ---------------
Net Income                                   $          .71       $          .44       $           .31       $          .18
                                             ===============      ==============       ===============       ===============

Cash Dividend - Common stock                 $          .33       $          .33       $          .165       $         .165

Cash Dividend - Class B common stock         $          .30       $          .30       $           .15       $          .15

Weighted average shares outstanding              5,886,154             5,884,452             5,891,886            5,881,069

</TABLE>
See accompanying notes.



<PAGE>


               KNAPE & VOGT MANUFACTURING COMPANY AND SUBSIDIARIES

                 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (Unaudited)
<TABLE>
<S>                                                            <C>                       <C>                        
                                                               Six Months Ended          Six Months Ended  
                                                                Dec. 31, 1996             Dec. 31, 1995
                                                               -----------------         ----------------

Operating Activities:
     Net income                                                   $   4,161,320           $     2,567,458
     Non-cash items:
         Depreciation and amortization                                3,769,141                 3,563,828
         Deferred income taxes                                          (19,000)                   31,000
         Other long-term liabilities                                   (207,029)                 (208,336)
         Changes in operating assets & liabilities:
              Accounts receivable                                    (2,070,711)                2,303,143
              Inventories                                              (107,778)               (1,163,385)
              Net assets of discontinued operation                      367,028                   337,714
              Other current assets                                    1,166,926                  (162,387)
              Accounts payable & accrued expenses                    (2,223,660)               (1,554,156)
                                                                  --------------          -----------------
Net cash from operating activities                                    4,836,237                 5,714,879
                                                                  --------------          -----------------

Investing Activities:
     Additions to property and equipment                             (2,739,039)               (2,864,397)
     Sale of property and equipment                                     238,183                    93,756
     Payments for other assets                                         (453,295)                 (754,532)
                                                                  --------------          -----------------
Net cash for investing activities                                    (2,954,151)               (3,525,173)
                                                                  --------------          -----------------

Financing Activities:
     Proceeds from issuance of common stock                              89,435                    16,624
     Additions to long-term debt                                        400,000                         0
     Payments on long-term debt                                               0                  (800,000)
     Cash dividends paid                                             (1,866,587)               (1,863,490)
                                                                  --------------          -----------------
Net cash for financing activities                                    (1,377,152)               (2,646,866)
                                                                  --------------          -----------------

Effect of Exchange Rate Changes on Cash                                  (5,876)                   10,386
                                                                  --------------          -----------------

Net Decrease in Cash & Equivalents                                       499,058                 (446,774)

Cash and Equivalents:
         Beginning of year                                               244,271                  534,280
                                                                  --------------          -----------------
         End of period                                            $      743,329          $        87,506
                                                                  ==============          =================

Cash Paid During the Period    - interest                         $    1,009,927          $     1,183,989
                               - income taxes                     $    1,511,663          $     1,310,585

</TABLE>

<PAGE>


               KNAPE & VOGT MANUFACTURING COMPANY AND SUBSIDIARIES

              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
                                   (Unaudited)


Note 1 - Basis of Financial Statement Preparation

The  accompanying  unaudited  condensed  consolidated  financial  statements and
related notes have been prepared  pursuant to the rules and  regulations  of the
Security  and  Exchange  Commission.  The  information  furnished  reflects  all
adjustments  which are,  in the  opinion  of  management,  necessary  for a fair
statement  of  results  of  operations.  Interim  results  are  not  necessarily
indicative  of the  results  for  the  year  end  and are  subject  to year  end
adjustments,  and audit by independent public accountants.  The balance sheet at
June 30,  1996,  has been taken from the audited  financial  statements  at that
date. The condensed  consolidated  financial statements and notes should be read
in conjunction with the Company's 1996 annual report.

Note 2 - Common Stock and Per Share Information

Income  per  share is  determined  based on  weighted  average  number of shares
outstanding during each period.

Common  stock  is $2 par - shares  authorized  6,000,000  of  common  stock  and
4,000,000 of Class B common  stock.  Shares  issued:  3,407,954 of common stock;
2,480,473 of Class B stock at December 31, 1996;  and  3,327,918 of common stock
and 2,553,151 of Class B common stock at June 30, 1996.

Note 3 - Inventories

Inventories  are  valued  at the  lower of FIFO  (first-in,  first-out)  cost or
market. Inventories are summarized as follows:

                                         Dec. 31, 1996             June 30, 1996
                                         -------------             -------------

Finished products                       $   12,908,401            $   13,189,032
Work in process                              1,711,536                 2,665,754
Raw materials                                8,495,945                 7,161,755
                                        --------------            --------------

Total                                   $   23,115,882            $   23,016,541
                                        ==============            ==============




<PAGE>


               KNAPE & VOGT MANUFACTURING COMPANY AND SUBSIDIARIES

                     MANAGEMENT'S DISCUSSION AND ANALYSIS OF
                  FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Certain matters  discussed in this section  include  forward looking  statements
which  include  risks and  uncertainties  including but not limited to economic,
competitive,  governmental  and  technological  factors  affecting  Knape & Vogt
Manufacturing Companies operations, markets, products, services and prices.

RESULTS OF OPERATIONS


Net Sales

The following  table  indicates the Company's sales (in millions) and percentage
of total sales by product  category  for the six month and three  month  periods
ended December 31, 1996 and 1995:
<TABLE>
<S>                    <C>                         <C>                      <C>                        <C>
                          Six Months ended           Six Months Ended         Three Months ended         Three Months ended 
                          December 31, 1996          December 31, 1995        December 31, 1996          December 31, 1995       
                       -----------------------     --------------------     ---------------------      ---------------------

Shelving systems       $      40.6       46.9%     $    39.7      50.9%     $    18.3       43.7%      $    18.3        48.0%      
Drawer slides                 30.1       34.8%          23.2      29.8%          15.1       36.1%           11.9        31.3%
Hardware                      14.1       16.3%          13.5      17.3%           7.5       18.1%            7.2        18.9%
Furniture components           1.8        2.0%           1.5       2.0%           0.9        2.1%            0.7         1.8%      
                       -----------   ---------     ---------   --------     ---------     -------      ---------     --------
Total                      $  86.6      100.0%     $    77.9     100.0%     $    41.8      100.0%      $    38.1       100.0%
                       ===========      ======     =========   ========     =========     =======      =========     ========
                                                                                               
</TABLE> 
Net sales for the six months and second  quarter of fiscal  year 1997  increased
$8.7  million,  or 11.1%,  and $3.7  million,  or 9.5%,  respectively,  over the
comparable  periods  of  fiscal  year  1996.  Shelving  sales  were flat for the
quarter.  Drawer slide sales  increased  by $3.2  million for the  quarter.  The
increased  sales  is due to the  Company's  expanding  share  of the  precision,
Euro-style  and  utility  drawer  slide  markets.  Hardware  product  line sales
increased during the quarter by $.3 million from last year, due to more sales of
kitchen and bath  products  manufactured  by Feeny.  Furniture  component  sales
increased during the quarter by $.2 million compared to last year.

Costs and Expenses

Cost of sales was 74.8% of sales for the first six months and 75.3% of sales for
the second  quarter of fiscal year 1997 compared to 76.2% and 76.1% of sales for
the first six  months  and second  quarter  of fiscal  year 1996,  respectively.
Decreases  in raw  material  prices and larger  sales  volumes  absorbing  fixed
overhead costs accounted for the majority of the improvement.

Selling  and  administrative  expenses  for the six  months  was  16.4% of sales
compared  to 16.8%  for the same  period  last year and for the  second  quarter
increased  to 16.6% of sales from  16.2% for the same  quarter  last  year.  The
increase as a percentage of sales for the quarter was mainly due to increases in
administrative expenses such as the Michigan single business tax.

Other Expenses

Interest  expense was $517,881 for the quarter ended  December 31, 1996 compared
to $594,740 for the quarter  ended  December  31, 1995.  The decrease was due to
lower borrowing  levels and lower interest rates.  Interest  expense for the six
months ended December 31, 1996 was $1,021,188 compared to $1,182,296 last year.



<PAGE>



               KNAPE & VOGT MANUFACTURING COMPANY AND SUBSIDIARIES

                     MANAGEMENT'S DISCUSSION AND ANALYSIS OF
                  FINANCIAL CONDITION AND RESULTS OF OPERATIONS
                                   (Continued)

Income Taxes

The effective  tax rate for the six months and quarter ended  December 31, 1996,
was 36.1% and 36.4%  compared  to 37.8% and 36.7% for the six months and quarter
ended  December 31, 1995.  The effective tax rates are slightly  lower in fiscal
year 1997 due to foreign and state tax rates.

Income from Continuing Operations

Income from  continuing  operations  were at record levels of $4,161,320 for the
first six months and  $1,814,728  for the second  quarter of 1997.  Earnings per
share from  continuing  operations  for the six months  increased  61.4% to $.71
compared  to $.44 last year and income per share for the  quarter  rose 29.2% to
$.31  compared  to $.24 in the  second  quarter  of last  year.  The  Company is
continuing to pursue the sale of this operation.

The Company  announced on December  18, 1996 that the  intended  buyer for Modar
withdrew it's offer.  Modar will continue to operate at low levels until the end
of the third quarter or a new buyer is secured.  The Company is not anticipating
a material impact due to the intended buyer of Modar  withdrawing its offer, but
there may be additional costs incurred in concluding an eventual sale or phasing
out of the operation.

Income from Discontinued Operation

The estimated loss on discontinued  operation  recorded at June 30, 1996 include
an estimate of the  operating  loss until the Roll-it  facility is disposed  of.
There was no income, or loss, recorded on discontinued operation for the quarter
ended December 31, 1996.  For the second  quarter of last year the  discontinued
operation lost $366,867, or $0.06 per share.

Net Income

Net  income of  $4,161,320  for the six  months  was 4.8% of sales  compared  to
$2,567,458,  for the first six months last year which was 3.3% of sales. For the
quarter  ended  December  31, 1996 net income was  $1,814,728  which was 4.3% of
sales  compared to $1,059,747  which was 2.8% of sales for the second quarter of
last year.

Liquidity and Capital Resources

The  Company's  net cash  position  increased  during  the first  six  months to
$743,329 from $499,058 at June 30, 1996. Net cash from  operating  activities of
$4,836,237 was positively  affected by the increased net income and depreciation
expense but  negatively  affected by the impact on accounts  receivable of sales
terms offered to customers and higher sales.
The  decrease  in accrued  restructuring  costs is due mainly to the  payment of
severance.

Capital expenditures were $2,739,039 for the six months ended December 31, 1996.
The Company is currently forecasting capital expenditures to be approximately $8
million  for the fiscal  year.  The  Company  had total debt of  $35,400,000  at
December 31, 1996,  an increase of $400,000  from total debt of  $35,000,000  at
June 30, 1996. It is estimated that debt levels will decrease in the second half
of the fiscal year.  Anticipated  cash flow from operations  will  substantially
fund working capital, capital expenditures and dividend payments.






<PAGE>


               KNAPE & VOGT MANUFACTURING COMPANY AND SUBSIDIARIES

                           PART II. OTHER INFORMATION


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

         (a)      Knape & Vogt Manufacturing Company's Annual Meeting of
                  Shareholders was held on October 18, 1996.

         (b)      Proxies were distributed by Knape & Vogt Manufacturing Company
                  pursuant to Regulation 14A under the  Securities  Exchange Act
                  of 1934.  There was no opposition to management's  nominees as
                  listed in the proxy statement, and all nominees were elected.

                  The vote on the nominees was:
<TABLE>
<S>                 <C>                                   <C>               <C>                <C>               <C>       
                                                          For               Against            Abstain           Non-vote
                    William R. Dutmers (1) (2)            26,356,056             --             11,151                 --
                    Richard S. Knape (1) (2)              26,257,724             --            109,483                 --
                    Michael J. Kregor (1) (2)             26,367,207             --             10,351                 --
                    Mary Rita Cuddohy (1) (3)              2,833,442             --             14,555                 --

</TABLE>
                  (1) Term expires in 1999.
                  (2)  Elected by vote of  holders  of Common  stock and Class B
                  common stock voting as a class. (3) Elected by vote of holders
                  of Common stock voting as a class.

Members of the board of directors whose terms have not yetexpired are 
Raymond E. Knape, term expiring in 1998, Herbert F. Knape, term
expiring in 1998, Richard C. Simkins, term expiring in 1998, Allen E. Perry,
term expiring in 1997, John E. Fallon, term expiring in 1997, and Robert T.
Kroon, term expiring in 1997.

Item 6.  Exhibits and reports on Form 8-K

         (a)      Exhibits - None

         (b)      Reports on Form 8-K
                  There were no  reports on Form 8-K filed for the three  months
                  ended December 31, 1996.




<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.



                                              Knape & Vogt Manufacturing Company
                                                                   (Registrant)





Date:        February 7, 1997
                                                  s/Allan E. Perry
                                                  -----------------------
                                                  Allan E. Perry   
                                                  President and
                                                  Chief Executive Officer

Date:        February 7, 1997
                                                  s/Richard C. Simkins
                                                  -----------------------
                                                  Richard C. Simkins
                                                  Executive Vice President, CFO,
                                                  Secretary and Treasurer