<PAGE>

                   QUARTERLY REPORT UNDER SECTION 13 OR 15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

                                  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 period ended March 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--------------

                     ---------------------------------------

                         Commission file number 0-13093
                I.R.S. Employer Identification Number 36-3131704

                                 PC QUOTE, INC.
                            (a Delaware Corporation)

                                  300 S. Wacker
                             Chicago, Illinois 60606
                            Telephone (312) 913-2800

Check whether the issuer (1) filed all reports required to be filed by Section
13 or 15(d) of the Exchange Act during the past twelve months, (or for such
shorter period that the Company was required to file such reports), and (2) has
been subject to such filing requirements for the past 90 days. Yes X No ____

State the number of shares outstanding of each of the issuers classes of common
equity, as of the latest practicable date: 14,830,351 shares of the Company's
common stock ($.001 par value) and 47,866 shares of preferred stock ($.001 par
value) were outstanding as of May 10, 1999.

                                     Page 1


<PAGE>

                                  PC QUOTE, INC.

                                      INDEX
<TABLE>
<CAPTION>
                                                                            PAGE
<S>      <C>                                                                <C>
PART I.  Financial Information

Item 1.  Consolidated Balance Sheets as of March 31, 1999 and
         December 31, 1998                                                    3

         Consolidated Statements of Operations for the three month periods
         ended March 31, 1999 and 1998                                        5

         Consolidated Statements of Cash Flows for the three month periods
         ended March 31, 1999 and 1998                                        6

         Notes to Financial Statements                                        7

Item 2.  Management's Discussion and Analysis of:

         Results of Operations and Financial Condition                       10

         Liquidity and Capital Resources                                     14

PART II. Other Information

Item 2.  Changes in Securities                                               18

Item 6.  Exhibits and Reports on Form 8-K                                    19

         Company's Signature Page                                            20
</TABLE>

                                     Page 2


<PAGE>

PC QUOTE, INC.
Consolidated Balance Sheets
March 31, 1999 and December 31, 1998

<TABLE>
<CAPTION>
                                                                             March 31,            December 31,
                                        ASSETS                                 1999                   1998
                                                                            (Unaudited)            (Audited)
                                                                            -----------           ------------
<S>                                                                         <C>                   <C>
Current Assets
  Cash and cash equivalents                                                 $ 1,020,610           $ 1,139,785
  Accounts receivable, less allowance for doubtful
    accounts of: 1999: $390,117;1998: $443,037                                1,976,057             1,490,139
  Prepaid expenses and other current assets                                     111,949               114,011
                                                                            -----------           -----------
TOTAL CURRENT ASSETS                                                          3,108,616             2,743,935
                                                                            -----------           -----------
Property and equipment
  Satellite receiving equipment                                                 426,959               525,730
  Computer equipment                                                          3,322,683             4,260,589
  Communication equipment                                                       864,625             1,254,010
  Furniture and fixtures                                                        241,808               252,050
  Leasehold improvements                                                        402,692               402,692
                                                                            -----------           -----------
                                                                              5,258,767             6,695,071
Less: Accumulated depreciation and amortization                               3,181,548             4,613,526
                                                                            -----------           -----------
                                                                              2,077,219             2,081,545
                                                                            -----------           -----------
Software development costs, net of accumulated
  amortization of: 1999: $5,013,681; 1998: $4,442,673                         4,741,274             5,012,971
                                                                            -----------           -----------
Deposits and other assets                                                       183,904               214,916
                                                                            -----------           -----------
TOTAL ASSETS                                                               $ 10,111,013          $ 10,053,367
                                                                            -----------           -----------
                                                                            -----------           -----------
</TABLE>

See Notes to Consolidated Financial Statements.

                                  Page 3


<PAGE>

PC QUOTE, INC.
Consolidated Balance Sheets (continued)
March 31, 1999 and December 31, 1998

<TABLE>
<CAPTION>
                                                                                                  March 31,           December 31,
                         LIABILITIES AND STOCKHOLDERS' EQUITY                                       1999                  1998
                                                                                                 (Unaudited)           (Audited)
                                                                                                 -----------          ------------
<S>                                                                                              <S>                  <C>
Current Liabilities
   Note payable, bank, current                                                                    $ 300,000             $ 300,000
   Accounts payable                                                                               3,922,140             4,138,517
   Accrued expenses                                                                                 472,112               218,866
   Accrued compensation                                                                             393,449               313,838
   Income taxes payable                                                                               ---                   3,161
   Unearned revenue, current                                                                      1,333,586             1,241,933
                                                                                               ------------          ------------

TOTAL CURRENT LIABILITIES                                                                         6,421,287             6,216,315
                                                                                               ------------          ------------

Note payable, bank, noncurrent                                                                      424,634               499,634
Unearned revenue, noncurrent                                                                        236,170               261,027
Accrued expenses, noncurrent                                                                        154,514               161,120
                                                                                               ------------          ------------

TOTAL NONCURRENT LIABILITIES                                                                        815,318               921,781
                                                                                               ------------          ------------

TOTAL LIABILITIES                                                                                 7,236,605             7,138,096
                                                                                               ------------          ------------

Stockholders' Equity
Preferred Stock, $.001 par value; authorized 5,000,000; issued and outstanding:
     Series A 5% convertible: 19,075 at March 31, 1999 and December 31, 1998                             19                    19 
     Series B 5% convertible: 28,791 at March 31, 1999 and December 31, 1998                             29                    29 
Common stock, $.001 par value; authorized 50,000,000 
   shares; issued and outstanding 14,549,276 at March 31,1999 and 14,183,183 at
   December 31, 1998                                                                                 14,549                14,183 
Additional paid-in capital - Series A 5% convertible preferred stock                              3,086,013             3,086,013 
Additional paid-in capital - Series B 5% convertible preferred stock                              4,664,891             4,664,891 
Additional paid-in capital - common stock                                                        20,635,553            19,950,981 
Additional paid-in capital - convertible subordinated
    debenture and warrants                                                                        2,750,491             2,750,491
Accumulated deficit                                                                             (28,277,137)          (27,551,336)
                                                                                               ------------          ------------

TOTAL STOCKHOLDERS' EQUITY                                                                        2,874,408             2,915,271
                                                                                               ------------          ------------

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                                                     $ 10,111,013          $ 10,053,367
                                                                                               ------------          ------------
                                                                                               ------------          ------------
</TABLE>

See Notes to Consolidated Financial Statements.

                                       Page 4

<PAGE>

PC QUOTE, INC.
Consolidated Statements of Operations

<TABLE>
<CAPTION>
                                                                          For The Three Months Ended
----------------------------------------------------------------------------------------------------------
                                                                       March 31,               March 31,
                                                                          1999                    1998
                                                                      (Unaudited)             (Unaudited)
----------------------------------------------------------------------------------------------------------
<S>                                                                  <C>                    <C>
REVENUE
   HyperFeed and LAN Services                                        $ 4,161,637            $  3,087,286
   Internet Services                                                   3,258,641               1,897,908
                                                                     -----------            ------------

TOTAL REVENUE                                                          7,420,278               4,985,194
                                                                     -----------            ------------

DIRECT COST OF SERVICES
   HyperFeed and LAN Services                                          3,101,605               2,473,929
   Internet Services                                                   2,269,874               1,567,147
                                                                     -----------            ------------

TOTAL DIRECT COST OF SERVICES                                          5,371,479               4,041,076
                                                                     -----------            ------------

GROSS MARGIN                                                           2,048,799                 944,118
                                                                     -----------            ------------

OPERATING EXPENSES
   Sales                                                                 880,838                 947,212
   General and administrative                                          1,049,687                 726,640
   Product and market development                                        593,765                 506,993
   Depreciation and amortization                                         242,830                 288,384
                                                                     -----------            ------------

TOTAL OPERATING EXPENSES                                                2,767,120              2,469,229
                                                                     -----------            ------------

LOSS FROM OPERATIONS                                                    (718,321)             (1,525,111)
                                                                     -----------            ------------

INTEREST INCOME (EXPENSE)
   Interest income                                                         7,512                   7,662
   Interest expense                                                      (14,992)               (364,039)
                                                                     -----------            ------------

NET INTEREST EXPENSE                                                      (7,480)               (356,377)
                                                                     -----------            ------------

LOSS BEFORE INCOME TAXES                                                (725,801)             (1,881,488)
INCOME TAXES                                                               ---                     ---
                                                                     -----------            ------------

NET LOSS                                                             ($  725,801)           ($ 1,881,488)
                                                                     -----------            ------------
                                                                     -----------            ------------

Basic net loss per share                                                  ($0.05)                 ($0.15)
Diluted net loss per share                                                ($0.05)                 ($0.15)

Weighted-average common shares outstanding                            14,412,358              12,546,019
----------------------------------------------------------------------------------------------------------
</TABLE>

See Notes to Consolidated Financial Statements.

                                        Page 5

<PAGE>

PC QUOTE, INC.
Statements of Cash Flows

<TABLE>
<CAPTION>
                                                                                               For The Three Months Ended
                                                                                             -------------------------------
                                                                                              March 31,           March 31,
                                                                                                 1999                1998
                                                                                             (Unaudited)         (Unaudited)
                                                                                             -----------         -----------
<S>                                                                                          <C>                 <C>
Cash Flows From Operating Activities:

  Net loss                                                                                   ($ 725,801)         ($1,881,488)
Adjustments to reconcile net loss to net cash
 provided by (used in) operating activities:
  Depreciation and amortization of property and equipment                                       242,830              288,384
  Provision for doubtful accounts                                                                90,000              104,000
  Amortization of software development costs                                                    571,009              520,000
  Amortization of deferred discount on convertible
    subordinated debenture                                                                         ---               203,456
  Common stock issued in lieu of cash compensation                                               17,900                 ---
  Changes in assets and liabilities:
    Accounts receivable                                                                        (575,918)            (225,447)
    Prepaid expenses and other current assets                                                     2,062                3,008
    Deposits and other assets                                                                    31,012               21,096
    Accounts payable                                                                           (216,377)             406,896
    Accrued expenses                                                                            326,251              281,208
    Accrued income taxes payable                                                                 (3,161)                 ---
    Unearned revenue                                                                             66,796              382,407
                                                                                             ----------          -----------

NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES                                            (173,397)             103,520
                                                                                             ----------          -----------
Cash Flows From Investing Activities:
  Purchase of property and equipment                                                           (238,504)            (255,551)
  Software development costs capitalized                                                       (299,312)            (533,877)
                                                                                             ----------          -----------

NET CASH USED IN INVESTING ACTIVITIES                                                          (537,816)            (789,428)
                                                                                             ----------          -----------
Cash Flows From Financing Activities:
  Proceeds from issuance of common stock                                                        667,038            3,000,547
  Purchase and retirement of common stock                                                          ---            (2,988,949)
  Principal payments on note payable, bank                                                      (75,000)             (75,000)
                                                                                             ----------          -----------

NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES                                             592,038              (63,402)
                                                                                             ----------          -----------

Net decrease in cash and cash equivalents                                                      (119,175)            (749,310)
Cash and cash equivalents:
  Beginning of the period                                                                     1,139,785            1,113,130
                                                                                             ----------          -----------

  End of the period                                                                          $1,020,610          $   363,820
                                                                                             ----------          -----------
                                                                                             ----------          -----------
</TABLE>

See Notes to Consolidated Financial Statements.

                                       Page 6

<PAGE>

PC QUOTE, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(1) BASIS OF PRESENTATION

PRINCIPALS OF CONSOLIDATION: The accompanying interim consolidated financial 
statements include the accounts of PC Quote, Inc. and its subsidiary 
PCQuote.com, Inc., and have been prepared in accordance with generally accepted 
accounting principles for interim financial information and in conjunction 
with the rules and regulations of the Securities and Exchange Commission. 
Accordingly, they do not include all of the information and footnotes 
required by generally accepted accounting principles for complete financial 
statements. The consolidated interim financial statements include all 
adjustments, including the elimination of all significant intercompany 
transactions in consolidation, which, in the opinion of management, are 
necessary in order to make the financial statements not misleading. The 
amounts indicated as "audited" have been extracted from the Company's 
December 31, 1998 annual report. For further information, refer to the 
financial statements and footnotes included in PC Quote's annual report on 
Form 10-K for the year ended December 31, 1998.

SOFTWARE DEVELOPMENT COSTS: The Company's continuing investment in software 
development consists primarily of enhancements to its existing Windows-based 
private network and Internet services, development of new data analysis 
software and programmer tools designed to afford easy access to its data-feed 
for data retrieval and analysis purposes, and application of new technology 
to increase the data volume and delivery speed of its distribution system and 
network.

Costs associated with the planning and design phase of software development,
including coding and testing activities necessary to establish technological
feasibility of computer software products to be licensed or otherwise marketed,
are charged to research and development as incurred. Once technological
feasibility has been determined, costs incurred in the construction phase of
software development including coding, testing, and product quality assurance
are capitalized.

Amortization commences at the time of capitalization or, in the case of a new
service offering, at the time the service becomes available for use. Unamortized
capitalized costs determined to be in excess of the net realizable value of the
product are expensed at the date of such determination. The accumulated
amortization and related software development costs are removed from the
respective accounts in the year following full amortization.

PC Quote, Inc.'s policy is to amortize capitalized software costs by the greater
of (a) the ratio that current gross revenue for a product bear to the total of
current and anticipated future gross revenue for that product or (b) the
straight line method over the remaining estimated economic life of the product
including the period being reported on, principally three to five years. The
Company assesses the recoverability of its software development costs against
estimated future undiscounted cash flows. Given the highly competitive
environment and technological changes, it is reasonably possible that those
estimates of anticipated future gross revenue, the remaining estimated economic
life of the product, or both may be reduced significantly.

In March 1998 the American Institute of Certified Public Accountants issued 
Statement of Position 98-1, "Accounting for the Costs of Computer Software 
Developed or Obtained for Internal Use" (SOP 98-1). SOP 98-1 is effective for 
financial statements for fiscal years beginning after December 15, 1998. The 
SOP provides guidance on accounting for the costs of computer software 
developed or obtained for internal use and provides guidance for determining 
whether computer software is for internal use. The Company adopted the 
provisions of SOP 98-1 effective January 1, 1999.

FINANCIAL  INSTRUMENTS:  The Company has no financial  instruments for which 
the carrying value materially  differs from fair value.

                                 Page 7

<PAGE>

PC QUOTE, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

INCOME TAXES: Deferred taxes are provided on a liability method whereby 
deferred tax assets are recognized for deductible temporary differences and 
operating loss and tax credit carryforwards and deferred tax liabilities are 
recognized for taxable temporary differences. Temporary differences are the 
differences between the reported amounts of assets and liabilities and their 
tax bases. Deferred tax assets are reduced by a valuation allowance when, in 
the opinion of management, it is more likely than not that some portion or 
all of the deferred tax assets will not be realized. Deferred tax assets and 
liabilities are adjusted for the effects of changes in tax laws and rates on 
the date of enactment.

REVENUE RECOGNITION: The Company principally derives its revenue from service
contracts for the provision of market data only ("HyperFeed license fees"),
service contracts for the provision of market data together with analytical
software ("PC Quote 6.0 license fees"), and the sale of advertising on its
web-site www.pcquote.com. Revenue from service contracts is recognized using the
percentage-of-completion method, ratably over the contract term as the
contracted services are rendered. Revenue from the sale of advertising is
recognized as the advertising is displayed on the web-site. HyperFeed license
fees and PC Quote 6.0 license fees for satellite and landline services are
generally billed one month in advance with 30-day payment terms. License fees
for PC Quote 6.0 on the Internet are generally paid by credit card within five
days prior to the month of service. These and other payments received prior to
services being rendered are classified as unearned revenue on the balance sheet.
Revenue and the related receivable for advance billings are not reflected in the
financial statements. Customers' deposits on service contracts are classified as
either current unearned revenue, if the contract expires in one year or less, or
non-current unearned revenue, if the contract expiration date is greater than
one year.

The Company adopted the provisions of Statement of Position 97-2, "Software
Revenue Recognition," on January 1, 1998. SOP 97-2 specifies the following four
criteria that must be met prior to recognizing revenue: (1) persuasive evidence
of the existence of an arrangement, (2) delivery, (3) fixed or determinable fee,
and (4) probable collection. In addition, revenue earned on software
arrangements involving multiple elements is allocated to each element based on
the relative fair value of the elements. When applicable, revenue allocated to
the Company's software products (including specified upgrades/enhancements) is
recognized upon delivery of the products. Revenue allocated to post contract
customer support is recognized ratably over the term of the support and revenue
allocated to service elements (such as training and installation) is recognized
as the services are performed.

(2) RECLASSIFICATIONS

The statement of operations has been modified to enhance information to the
stockholder. The 1998 statement of operations has been reclassified to conform
to the 1999 presentation.

(3) INCOME TAXES

At December 31, 1998, the Company had federal income tax net operating loss
carryforwards of approximately $26,005,000 for federal income tax purposes and
approximately $24,843,000 for the alternative minimum tax. Approximately
$1,058,000 of these net operating losses relate to the exercise of incentive
employee stock options and will be credited directly to stockholders' equity
when realized. The Company also had research and development credits of $106,000
which will expire in years 2010 to 2011 if not previously utilized. The future
utilization of these net operating losses and research and development credits
will be limited due to changes in Company ownership. The net operating loss
carryforwards will expire, if not previously utilized, as follows: 1999:
$546,000; 2000: $1,370,000; 2001: $1,539,000; 2002: $560,000; 2003: $79,000;
2004: $576,000; 2005: $1,557,000 and thereafter $19,778,000.

                                      Page 8

<PAGE>

(4) FINANCING AND RELATED PARTY TRANSACTIONS

On January 23, 1998, the Company completed a rights offering that entitled
stockholders of record as of November 21, 1997 to purchase one additional share
of common stock for each right at a price of $1.00 per share. The Company
received approximately $3.0 million in gross proceeds from the sale of shares
underlying exercised rights. Pursuant to the Stock and Warrant Purchase
Agreement dated October 15, 1997 (the "Purchase Agreement"), between PC Quote
and Imprimis Investors LLC and Wexford Spectrum Investors LLC (collectively, the
"Wexford Affiliates"), the entire proceeds were used to fulfill the Company's
obligation to repurchase shares from the Wexford Affiliates.

In February 1999, the Wexford Affiliates exercised the remaining portion of 
their common stock purchase warrants, previously acquired pursuant to the 
Purchase Agreement and purchased 267,200 shares of Common Stock for $534,400.

(5) SUBSEQUENT EVENTS

On April 22, 1999, the Company entered into Stock Purchase Agreements with four
third-party investors. On April 23, 1999, the investors purchased 190,476 shares
of common stock in exchange for $1,999,998. The investors acquired the common
stock for investment purposes.

In December 1998, the Company segregated its Internet related services into a 
separate business unit within the Company. The Company is transferring its 
Internet-related services to PCQuote.com, Inc., which was incorporated in 
March 1999 as a wholly-owned subsidiary. On April 26, 1999, the Company's 
subsidiary, PCQuote.com, Inc., announced that it intends to make an initial 
public offering of its common stock for cash in the near future.

On April 12, 1999 the Company's wholly-owned subsidiary, PCQuote.com entered 
into a strategic partnership with CNNfn, the financial network. Under a 
limited exclusive licensing agreement, PCQuote.com will provide CNNfn's 
financial news to users of its financial content website, www.pcquote.com. In 
exchange for the limited exclusive license, CNNfn will receive, over the term 
of the agreement, an equity position in PCQuote.com, Inc. equivalent to 5% of 
the common stock outstanding at the time the agreement was executed.

                                  Page 9

<PAGE>

                              PART I. ITEM 2

Management's Discussion and Analysis of
Results of Operations and Financial Condition

INTRODUCTION - SAFE HARBOR DISCLOSURE

The following discussion and analysis contains historical information. It also
contains forward-looking statements within the meaning of the "safe harbor"
provisions of the Private Securities Litigation Reform Act of 1995, particularly
in reference to statements regarding our expectations, plans and objectives. You
can generally identify-forward-looking statements by the use of the words "may,"
"will," "expect," "intend," "estimate," "anticipate," "believe," or "continue,"
or similar language. Forward-looking statements involve substantial risks and
uncertainties. You should give careful consideration to cautionary statements
made in this discussion and analysis. We base our statements on our current
expectations. Forward-looking statements may be impacted by a number of factors,
risks and uncertainties that could cause actual results to differ materially
from those described in the forward-looking statements. Our filings with the
Securities and Exchange Commission identify factors that could cause material
differences. Among these factors are our ability to:

     (i)    fund our current and future business strategies as a going-concern
            either through continuing operations or external financing;
     (ii)   attract and retain key employees;
     (iii)  compete successfully against competitive products and services;
     (iv)   maintain relationships with key suppliers and providers of market
            data; and
     (v)    respond to the effect of economic and business conditions generally.

RECENT BUSINESS DEVELOPMENTS

PC QUOTE TO BECOME HYPERFEED TECHNOLOGIES

We have submitted a request to our shareholders for approval to change our 
name to HyperFeed Technologies, Inc. Our subsidiary, PCQuote.com, Inc., has 
announced its intention to make an initial public offering of its common 
stock for cash. In contemplation of the offering by our subsidiary, we are 
seeking the name change to further differentiate the entities and eliminate 
confusion in the marketplace. Management believes that formally separating 
the two entities will permit the parent and subsidiary to focus on their 
relative strengths. In management's opinion, the separation will permit each 
entity to better (i) attract and retain key employees by relating 
compensation to relevant business performance, (ii) enter into strategic 
relationships with business partners, and (iii) permit each entity to pursue 
its own financing avenues. In view of the separation, the Company determined 
that it is in its best interest to change its name to HyperFeed Technologies, 
Inc. to avoid confusion in the marketplace between its business and 
operations and those of its subsidiary. Because its business will be 
primarily related to its proprietary datafeed, HyperFeed-TM- 2000, the 
Company believes the name HyperFeed Technologies, Inc. is more descriptive of 
the services they offer, while the PC Quote brand name is more descriptive of 
the services offered by its subsidiary. On May 6, 1999 the Company submitted 
a request to its stockholders for approval to change the corporate name to 
HyperFeed Technologies, Inc. If approved at the Company's annual meeting on 
June 16, 1999, the name change will become effective immediately thereafter.

                                Page 10

<PAGE>

PART 1.  ITEM 2

Management's Discussion and Analysis of Results of Operations and Financial 
Condition (continued)

HYPERFEED 2000 NOW AVAILABLE FOR OMEGA RESEARCH PRODUCTS

On March 22, 1999 we announced the culmination of our previously announced
agreement with Omega Research, Inc. (NASDAQ: OMGA). Omega Research's new 2000i
series of software products is now fully compatible with HyperFeed-TM- 2000, our
recently released premier datafeed. The products are available for delivery via
broadcast and Internet. Our datafeed is now available for some of the most
popular high-end trading software on the market. Omega Research software users
can subscribe to HyperFeed-TM- 2000 online at www.pcquote.com.

HYPERFEED 2000

In March 1999 we released HyperFeed 2000, the next generation in market data 
technology. Combining advanced IP Multicast technologies with a new 
proprietary compression technique, HyperFeed 2000 boasts the flexibility and 
expandability to consistently deliver massive volumes of market data in true 
real-time. Our proprietary compression technology actually reduces bandwidth 
consumption allowing HyperFeed 2000 recipients to enjoy the benefits of the 
full T-1 HyperFeed with over 350,000 equity, option and commodity issues, 
including full option chains, at a fraction of the current communications 
cost. Our product introduction came at a time when an increasing number of 
data vendors were faced with imminent threats to their capacity and bandwidth 
capabilities. We are committed to delivering execution-quality, complete, 
real-time market data faster, more reliably, and cost-effectively than our 
competition.


JB OXFORD

In October, 1998, we entered into an agreement with JB Oxford & Co. (NASDAQ:
JBOH) to private-label our PC Quote 6.0 for Windows. We and JB Oxford released
the private-labeled version, named ORQA, to JB Oxford's customers in February
1999. With the addition of ORQA, JB Oxford customers will have instant access to
a wider variety of investment tools, including real-time streaming quotes,
intra-day charting, time and sales and technical analysis. PC Quote will be paid
a monthly fee determined by the number of JB Oxford's clients that subscribe to
the service.


                                     Page 11
<PAGE>

PART I. ITEM 2
Management's Discussion and Analysis of
Results of Operations and Financial Condition (continued)



RESULTS OF OPERATIONS:
FOR THE THREE MONTHS AND QUARTER ENDED MARCH 31, 1999

Total revenue increased 49% for the first three months of 1999 to $7.4 
million from $5.0 million for the comparable period in 1998. Our HyperFeed 
and LAN services and Internet services both posted increases for the first 
quarter of 1999 over 1998. HyperFeed and LAN service revenue increased $1.1 
million, or 35%, from $3.1 million in 1998 to $4.2 million in 1999. Revenue 
growth was experienced through increases in PC Quote 6.0 subscriptions and 
datafeed sales. Revenue from our Internet services increased $1.4 million, or 
72%, to $3.3 million for the first three months of 1999 from $1.9 million for 
the same period in 1998. The growth is principally due to our PC Quote 6.0 
Internet service where the number of subscribers grew from 3,300 at the end 
of the first quarter of 1998 to 6,100 at the end of the first quarter of 1999.

Direct costs of services increased approximately 33% to $5.4 million for the 
first quarter of 1999 from $4.0 million in 1998. Principal components of the 
increase were royalties and payments to providers of market data, directly 
attributable to the growth in subscribers to both of our PC Quote 6.0 
services, Internet and LAN. Amortization of software development costs 
increased slightly for the quarter from $520,000 in 1998 to $571,000 in 1999.

Direct costs associated with HyperFeed and LAN services increased from $2.5 
million for the quarter ended March 31, 1998 to $3.1 million for the March 
31, 1999 quarter, a 25% increase. Increases in license and exchange fees and 
data-feed operations were offset to a degree by cost-savings related to 
leased equipment and personnel costs effected in customer service and 
support. Amortization of software development costs was essentially unchanged 
at $302,000 for the 1999 quarter and $312,000 for the 1998 quarter. The 
resulting gross margin increased 73% to $1.1 million in 1999 from $613,000 in 
1998.

Direct costs associated with Internet services increased to $2.3 million for 
the 1999 quarter from $1.6 million in the comparable 1998 quarter, a 45% 
increase. The significant growth we experienced caused us to incur increases 
in license and exchange fees and data acquisition and distribution costs. 
Savings were effected in customer support operations, principally due to 
lower leased equipment costs as we have been purchasing versus leasing new 
equipment additions. Software amortization increased 29% in the quarter to 
$269,000 in 1999 from $208,000 in 1998, as a result of the increase in 
development resources diverted to this portion of our business. The gross 
margin on Internet services increased from $331,000 for the first quarter of 
1998 to $989,000 for the first quarter of 1999, as we were able to leverage 
our infrastructure and support operations.

                                     Page 12

<PAGE>



PART I. ITEM 2
Management's Discussion and Analysis of
Results of Operations and Financial Condition (continued)


Total operating expenses increased $298,000, or 12%, principally due to 
increases in administrative costs required for supporting operations.

Sales costs decreased 7% to $881,000 for the first three months of 1999 as 
compared to $947,000 for the same 1998 period. The decrease was the result of 
a change in our previous sales incentive compensation structure, in addition 
to lower sales support costs. 

General and administrative expenses increased 44% to $1.0 million in the 
first quarter of 1999 from $727,000 for the first quarter of 1998.  The 
increase was principally due additional personnel and related costs required 
in support of the increase in business, and an increased need to utilize 
consultants and external professionals to assist with business issues as 
compared to the prior year.

Product and market development costs increased $87,000, or 17%, to $594,000 
for the 1999 quarter from $507,000 for the 1998 quarter. The increase was due 
to an increase in the number of development personnel and related costs, in 
addition to an increase in promotional activities.

Depreciation and amortization decreased $46,000 to $243,000 for the first 
three months of 1999 from $288,000 for the comparable 1998 period. The 
decrease is a result of a combination of lower overall equipment purchases in 
recent years and lower prices for equipment additions.

Interest expense was $15,000 for the first quarter of 1999 or $349,000 less 
than the $364,000 recognized for the first quarter of 1998. The decrease is 
the result of the conversion of the convertible subordinated debenture and 
borrowings on the credit facility into equity in December 1998. With the debt 
conversion the only debt on which interest is due is on our bank term loan.

                                     Page 13
<PAGE>

PART I. ITEM 2
Management's Discussion and Analysis of
Results of Operations and Financial Condition (continued)



LIQUIDITY AND CAPITAL RESOURCES:
FOR THE THREE MONTHS AND QUARTER ENDED MARCH 31, 1998

Net cash and cash equivalents declined $119,000 from year-end 1998 to 
$1,021,000 at the end of the first quarter of 1999. Expenditures for new 
equipment were $239,000, essentially the same for the first three months of 
1999 versus $256,000 for the same period in 1998. Capitalized software costs 
of $299,000 were $235,000, or 44%, lower for the quarter ended March 31, 
1999, compared to the same period for 1998, principally as a result of lower 
development costs and adoption of Statement of Position 98-1, "Accounting for 
the Costs of Computer Software Developed or Obtained for Internal Use," as 
required by the American Institute of Certified Public Accountants. The SOP 
provides guidance on accounting for the costs of computer software developed 
or obtained for internal use and provides guidance for determining whether 
computer software is for internal use. There were no new direct borrowings 
during the period, and the Company repaid $75,000 of the principal balance on
the bank term loan. The Company received approximately $667,000 in net 
proceeds from (i) the purchase of Common Stock by the Wexford Affiliates 
through exercise of previously issued warrants (ii) the sale of shares of 
Common Stock to employees pursuant to the Company's Employee Stock Purchase 
Plan and (iii) the sale of shares of Common Stock to employees who exercised 
options previously granted to them under the Company's Employee Incentive 
Stock Option Plan. 

Total revenue for the first quarter of 1999 increased 49% to $7.4 million 
versus $5.0 million for the 1998 period, while direct costs of services 
increased only 33% to $5.4 million versus $4.0 million in 1998. The resulting 
gross margin increased 117% from $944,000 in the 1998 quarter to $2.0 million 
in 1999 quarter. The increase in revenue was due to the growth in 
subscriptions to our PC Quote 6.0 services, both LAN and Internet, as well as 
an increase in datafeed sales. This together with operating cost containment 
contributed to our gross margin improvement. Although cash flows have 
improved, they are still negative and insufficient to fund operations and 
future growth. Consequently, we have explored, and continue to explore 
multiple alternatives that may be available for the purpose of enhancing 
stockholder value. These alternatives include a merger, a spin-off or sale of 
part of our business, a strategic relationship or joint venture with another 
technology or financial services firm and future equity financing to further 
fund our business. In December 1998, we segregated our Internet related 
services into a separate internal business unit. We incorporated the business 
as a wholly-owned subsidiary, PCQuote.com, Inc., on March 19, 1999 and are 
transferring our Internet-related services to the subsidiary. On April 26, 
1999, our subsidiary, PCQuote.com, Inc., announced that it intends to make an 
initial public offering of its common stock for cash in the near future. We 
believe net proceeds from the offering will be sufficient for working capital 
purposes of both PCQuote.com and PC Quote.

There can be no assurances, however, that the offering will occur. If the 
offering does not occur, we would pursue other alternatives to raise capital. 
We raised a substantial amount of capital in 1998 and 1999 through the debt 
conversion, exercise of warrants and other sales of common stock. These 
transactions have significantly improved our financial condition. In order to 
minimize dilution to existing stockholders, our objective is to raise the 
minimal amount of capital for operations, if and when necessary. We believe 
we have the ability to raise external capital. However, any capital raised 
could be costly to us and/or dilutive to stockholders. There can be no 
assurances, however, that we will be successful in concluding a transaction.

                                    Page 14
                                     
<PAGE>


PART I. ITEM 2
Management's Discussion and Analysis of
Results of Operations and Financial Condition (continued)



YEAR 2000 ISSUES

1. Overview

PC Quote does not have or use mainframe computers in its internal operations. 
Consequently, we do not have the extent of Y2K issues other companies have 
that depend on what is commonly known as "legacy" systems. We use PC's and 
"server class" computers in our operations. Our end-user applications also 
run on the same type of hardware. These systems still may have Y2K issues. We 
have implemented a plan to attempt to assess, remediate, and correct any year 
2000 critical issues. A "Year 2000" problem will occur where date-sensitive 
software uses two digit year date fields, sorting the year 2000 ("00") before 
the year 1999 ("99"). The Year 2000 problem may result in data corruption and 
processing errors occurring where software, technology equipment, or any 
other equipment or process uses date-dependent software.

Our plan has been structured to address the following areas:  

A. Processing Plant and Communications Network
B. PC Quote Retail Applications
C. Operational Infrastructure

2. State Of Readiness

We have approached each of the above areas in four phases: assessment, 
remediation, testing, and contingency planning. "Assessment" summarizes the 
process of issue identification. "Remediation" refers to the process of 
taking corrective action to best mitigate identified Year 2000 risks. 
"Testing" is the process of validating a specific PC Quote remediation effort 
or confirming a third party capability or certification of Year 2000 
compliance. "Contingency planning" means the process by which we identify an 
alternate course of action and/or procedure in the event we cannot or fail to 
remediate or mitigate a known Year 2000 risk. We may or may not engage in 
contingency planning for individual subproject components where successful 
Year 2000 remediation has been validated through the testing process or other 
methods.

The following is a status report on our state of readiness.

A. Processing Plant And Communications Network

   Assessment phase has been completed. A full inventory has been taken of 
   the processing plant, our data-feed input, consolidation and output 
   process, and communications areas. We are currently in the remediation and 
   testing phases. This includes verifying Y2K compliance of outside vendors 
   and suppliers and testing all mission critical items. Testing also 
   includes all PC's, routers, modems, phone lines, Internet service 
   providers (ISP's), and production computers, known as servers, used 
   internally in the communications room. We are also checking our outbound 
   satellite, phone companies and ISP's distribution network, in addition to 
   some ISP's that our customers may use.

                                     Page 15

                                     
<PAGE>


PART I. ITEM 2
Management's Discussion and Analysis of
Results of Operations and Financial Condition (continued)



   The Testing completion percentages as of 5/10/99 are as follows:   

<TABLE>
<CAPTION>

<S>                   <C>             <C>
------------------------------------------------
                       Equipment/
Areas                   Systems        Compliant
------------------------------------------------
Processing Plant          301             218
------------------------------------------------
Communications Network     35              22
------------------------------------------------
</TABLE>

   On 5/1/99, PC Quote participated in the SIA/FIF Year 2000 Market Data Test 
   which tested our  production Processing Plant and Communications Network 
   with quotes dated in the future to 1/3/00.  This data was transmitted to 
   us from all of the major exchanges.  PC Quote has passed this Y2K test on 
   this "mission critical" software and hardware.  We are in the process of 
   upgrading all other hardware and software to match the tested components.  
   We have scheduled this to be completed by 6/30/99.  

B. PC Quote Retail Applications

   Our retail applications include proprietary and 3rd party software 
   applications, licensed to our customers for use only with our data-feed. 
   These applications include Internet web-site and browser-based 
   applications, local area network (LAN) based applications, and Windows NT 
   client/server applications. One OS/2 based application will become 
   obsolete in 2000. Customers using this application will be converted to a 
   compliant application.

   We have participated in the full "end-to-end" Year 2000 scenario test 
   sponsored by the Financial Information Forum in conjunction with the 
   Securities Industry Association. This industry-wide test provided 
   securities, options and futures exchanges and market data providers with 
   the ability to test their systems under simulated Year 2000 conditions. 
   Time was essentially moved forward to 1/3/00 for that test day.  During 
   this test we had a large Y2K team in-house monitoring all of our major 
   products.  This testing was performed on several different operating 
   systems, data servers, and methods of transmission.  We compared all final 
   data and reported our results to the SIA/FIF, which informed us that we 
   had passed the test. We plan to release the Y2K simulated data to our 
   customers so they may do their own internal testing by 7/1/99.

<TABLE>
<CAPTION>

<S>                       <C>              <C>
------------------------------------------------------
Applications               Tested           Compliant
------------------------------------------------------
PC Quote Customer Apps       14                 12
------------------------------------------------------
3rd Party Customer Apps       5                  4
------------------------------------------------------
</TABLE>

   All major end user applications have now been tested and are compliant. We 
   expect to complete the testing process for the remaining three minor 
   applications by 6/30/99.

C. Operational Infrastructure

   We are assessing our main facility and field offices for compliance in the 
   security systems, HVAC systems, pagers, phone system, utility providers 
   and other mission critical systems. We have started to upgrade, at minimal 
   cost, non-compliant equipment.

   Based on our current assessment, we believe we will be able to meet our 
   Y2K compliance goals.

                                      Page 16
                                     
<PAGE>


PART I. ITEM 2
Management's Discussion and Analysis of
Results of Operations and Financial Condition (continued)

3. Costs

As part of the ordinary course of our business, we continually develop major 
enhancements to our operating systems and applications. For instance, we 
spent three years developing the first 100% Windows NT based processing plant 
that was put into production in 1998. In addition to many other benefits, it 
is fully Y2K compliant. We have not in the past separately tracked the cost 
of Y2K remediation, as these efforts were incorporated into our on-going 
maintenance and equipment replacement program. We have started to track costs 
in 1999 and have spent approximately $103,550 so far this year on the cost of 
Year 2000. This includes internal personnel resources, hardware, software and 
equipment replacement and upgrades necessary to be Y2K compliant. We will be 
upgrading various administrative systems that use commercial third party 
software for accounting, billing and customer management. The total remaining 
cost of software, replacement equipment, and internal resources for 
remediation and testing to become Y2K compliant is not expected to exceed 
$500,000.

Based upon currently available information, we do not believe that the cost 
of Y2K compliance will have a material impact on our financial condition, 
results of operations or liquidity.

4. Risks

Achieving Y2K compliance depends on many factors. Some factors may be beyond 
our control, because we use services of others. Should our internal systems 
or the internal system of one of our critical vendors fail to achieve Y2K 
compliance and fail in the year 2000, our business and results of operations 
could be adversely affected. For example:

   A piece of communications equipment has an internal clock that is not Y2K 
   compliant. Although end-to-end testing is done, if for some reason, we or 
   a vendor of ours fail to detect the non-compliance. Y2K comes and the 
   clock shuts down, causing an inability to transmit over that channel. Our 
   customers on that channel do not receive our service. We or our vendor 
   have the cost of finding and fixing the problem. Our customer could make a 
   claim against us for the lost service. Many of our customers have back-up 
   systems in place with us which could mitigate any damage caused by the 
   disruption. In the event that there are claims for damages, our contracts 
   with our customers limit our liability in such instances. However, if 
   there were a large number of customers affected for a prolonged period of 
   time, we could be put in a position of either granting credits or risk 
   losing the customers and our reputation could be adversely effected.

   We have customers that use our Quote Tools to access our data-feed for 
   software applications. Quote Tools is a set of programmer tools known as 
   application programming interfaces or APIs for short. Our Quote Tools are 
   written and tested to be Y2K compliant. If for some reason Y2K came and 
   our Quote Tools did not function properly because of the date change, we 
   would have to spend money and resources to fix the bug. If the bug could 
   not be fixed, and we had no alternative solution, for our customers using 
   the service, we could lose the customers and related revenue. Our 
   contracts with our customers generally limit our liability to total fees 
   paid over the preceding year, which in 1998 was under $200,000 for Quote 
   Tools' customers.

                                    Page 17
                                     
<PAGE>


PART I. ITEM 2
Management's Discussion and Analysis of
Results of Operations and Financial Condition (continued)


5. Contingency Plans

PC Quote plans on completing at least 90% of the testing relating to the 
Processing Plant/Communications Network, and Retail Applications by 6/30/99. 
All testing, including internal infrastructure, is scheduled to be completed 
by 7/30/99. We have not started extensive contingency planning because we are 
concentrating our efforts on remediation and testing. We believe effective 
contingency planning should not begin until after these phases are complete. 
We expect to begin comprehensive contingency planning at the start of the 
third quarter of 1999.

EFFECT OF RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS

We will implement the provisions of Statement of Financial Accounting 
Standards No. 133, ("Statement 133") "Accounting for Derivative Instruments 
and Hedging Activities" which is required to be adopted for financial 
statements issued for the fiscal year ending December 31, 2000. Statement 133 
standardizes the accounting for derivative instruments, including certain 
derivative instruments embedded in other contracts, by requiring us to 
recognize those items as assets or liabilities in the statement of financial 
position and measure them at fair value. We believe that adoption of 
Statement 133 will not have a material impact on our financial statements.

PART II. OTHER INFORMATION

ITEM 2. CHANGES IN SECURITIES


On February 4, 1999 Imprimis Investors LLC and Wexford Spectrum Investors LLC 
exercised the remaining portion of their common stock purchase warrants, 
previously acquired pursuant to the Stock and Warrant Purchase Agreement 
dated October 15, 1997, and purchased 267,200 shares of common stock for 
$534,400.

During the first quarter of 1999, we issued 32,922 shares of our common stock 
to employees, who purchased the shares under our Employee Stock Purchase Plan.

During the first quarter of 1999, 61,225 shares of our common stock were 
purchased by employees who exercised stock options granted to them under our 
Employee Incentive Stock Option Plan.

During the first quarter of 1999, we issued 4,746 shares of our common stock 
to our Chairman and Chief Executive Officer, in lieu of cash salary payments, 
under an agreement approved by our Board Of Directors in which the Chairman 
would receive the shares at market price.

                                 Page 18

                                     
<PAGE>



Part II. OTHER INFORMATION
ITEM 6. EXHIBITS and REPORTS on FORM 8-K


(a) FINANCIAL STATEMENTS

The financial statements of the Company are filed herewith in Item 1 of this 
report.

(b) REPORTS ON FORM 8-K

In the first quarter of the period covered by this report, we filed a Report 
on Form 8-K dated January 12, 1999 reporting, in Item 5. Other Events, the 
stockholder approval and closing of conversion of debt into equity of the 
Company and that the Company completed a private placement of common stock 
and warrants.

(c) EXHIBITS



27. Financial Data Schedule


                                   Page 19

                                     
<PAGE>


                                 SIGNATURES


Pursuant to the requirements of the Exchange Act of 1934, the Company caused 
this report to be signed on its behalf by the undersigned, there unto duly 
authorized.

PC QUOTE, INC.



Date:  May 17, 1999

By:    /s/ Jim R. Porter
       --------------------
       Jim R. Porter
       Chairman and Chief Executive Officer

By:   /s/ John E. Juska
      --------------------
      John E. Juska
      Chief Financial Officer and Principal Accounting Officer



                                    Page 20