UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                              Washington, DC 20549


                                   FORM 10-QSB

[X]  Quarterly Report pursuant to Section 13 or 15(d) of the Securities Exchange
     Act of 1934

         For the quarterly period ended June 30, 1998

[  ] Transition Report pursuant to 13 or 15(d) of the Securities  Exchange Act
     of 1934

         For the transition period from                       to

Commission File Number 001-14297

                                MW Medical, Inc.
        (Exact name of Small Business Issuer as specified in its charter)

                        Nevada                              86-0907471
            (State or other jurisdiction of                 (IRS Employer
                    incorporation )                         Identification No.)

                     7373 North Scottsdale Road, Suite B-169
                            Scottsdale, Arizona 85253
               (Address of principal executive offices) (Zip Code)

Issuer's telephone number, including area code:  (602) 483-8700

Indicate by a check mark  whether the issuer (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. [X] Yes [ ] No

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

               Class                        Outstanding as of June 30, 1998
------------------------------------      --------------------------------------
$.001 par value Class A Common Stock                14,223,929 shares




<PAGE>



                         PART I - FINANCIAL INFORMATION

Item 1. Financial Statements.

BASIS OF PRESENTATION

General

     The  accompanying  unaudited  financial  statements  have been  prepared in
accordance with the instructions to Form 10-QSB and,  therefore,  do not include
all information and footnotes necessary for a complete presentation of financial
position,  results  of  operations,  cash  flows,  and  stockholders'  equity in
conformity  with generally  accepted  accounting  principles.  In the opinion of
management,  all adjustments considered necessary for a fair presentation of the
results of  operations  and  financial  position have been included and all such
adjustments  are of a normal  recurring  nature.  Operating  results for the six
months ended June 30, 1998, are not  necessarily  indicative of the results that
can be expected for the year ending December 31, 1998.

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

         MW Medical,  Inc.  (the  "Company") is in the business of designing and
developing  microwave  technologies for dermatological  applications through its
wholly owned subsidiary,  Microwave Medical Corporation ("MMC"). MMC established
an office in Germany in late  1997,  called  Microwave  Medical  GmBH  ("GmBH").
Testing in Germany was concluded in July 1998. GmBH's President will continue to
oversee the European  market.  The  Company's  products  are in the  development
stage.  The Company plans to market and sell its microwave  technology  products
upon completion of the development stage.

The Company is a Nevada  corporation  and was  incorporated on December 4, 1997.
The Company was originally the owner of two wholly owned subsidiaries:

     (A)  Microwave Medical Corporation, a California corporation ("MMC");

     (B)  P&H Laboratories, Inc., a California corporation ("P&H").

Sale of the Business of P&H

The Company has sold the business of P&H pursuant to an asset  purchase and sale
agreement   dated  March  9,  1998  between  P&H  and  Microwave   Communication
Corporation, a California corporation ("Microwave"),  whereby P&H agreed to sell
to Microwave  all of the assets of the  business of P&H as a going  concern (the
"P&H Sale  Agreement").  The sale of assets by P&H to Microwave was completed on
May 6, 1998. The following consideration was received by the Company on closing:

     (A)  cash consideration of $160,943;

     (B)  a promissory note issued by MCC/ Ferro Systems,  Inc., a subsidiary of
          Microwave,  whereby  MCC/Ferro  has  agreed  to pay to P&H  the sum of
          $250,000  on August 1, 1998 and the sum of  $243,125 on March 31, 1999
          (the "MCC/Ferro  Promissory  Note");  P&H has assigned the note to the
          Company;




<PAGE>



     (C)  the  agreement  of Microwave to provide to MMC 1200 hours of microwave
          related services for the period to April 1, 1999, subject to a maximum
          of 100 hours per month;

     (D)  office space for the business of MMC at  MCC/Ferro's  facility in Simi
          Valley, California until February 28, 1999.

The obligations of MCC/Ferro under the MCC/ Ferro Promissory Note are secured by
a general security  agreement  against the assets of MCC/Ferro and the guarantee
of Microwave.  The general security  agreement is subordinated to bank financing
arranged by MCC/Ferro to pay-out P&H's bank  financing and pay the amounts under
the MCC/Ferro Promissory Note.

All payments to date from MCC have been made on schedule.

LIQUIDITY AND CAPITAL RESOURCES

As of June 30, 1998, the Company had $57,111 in cash and cash  equivalents.  The
Company generated a net profit of $.08 per share as a result of the cancellation
of the debt and the initial start up fee from its former parent company, Dynamic
Associates,   Inc.  Loss  per  share  from  research  operations,   general  and
administrative expenses and depreciation and amortization was $.03.

Item 5. Other Information.

Microwave Medical Corporation (MMC)

The Company's  wholly owned  subsidiary,  MMC, is engaged in the  development of
proprietary  technology  relating  to the use of  microwave  energy for  medical
applications.  MMC has a patent  pending  entitled,  "Method and  Apparatus  for
Treating Subcutaneous  Histological Features",  which focuses on the application
of  microwave  energy  to the  treatment  of  spider  veins  and for use in hair
removal.  The use of  microwave  for hair  removal is based  upon the  selective
heating of hair  follicles  while cooling the surface of the skin to protect the
epidermis. MMC has used computer modeling and laboratory studies to optimize the
system  for hair  removal.  Preclinical  studies  have  shown  effectiveness  in
destroying follicles while maintaining the integrity of the skin surface.

MMC's  microwave  system for hair removal has just concluded Phase II and is now
entering its final Phase III clinical trials.

RESULTS OF OPERATIONS

The  financial  statements  for 1998  present  the  combined  activities  of the
Company,  MMC and GmBH. The  comparisons  made with 1997, is based on income and
expenses generated by P&H and MMC.

During the six  months  ended  June 30,  1998,  the  management  of the  Company
received no fees.

Net operating loss for the six months ended June 30, 1998 was $489,808  compared
to a loss of $403,556 for the same period in 1997.  Although there was a lack of
revenue in 1998, we also did not have the expense incurred by P&H.




<PAGE>



Net sales for the six months ended June 30, 1998 were $0, compared to $1,767,803
for the same period in 1997. All sales in 1997 were generated by P & H. In 1998,
MMC has not yet generated any revenue as it is still developing its technology.

Cost of sales  for the six  months  ended  June 30,  1998  was $0,  compared  to
$1,313,464 for the same period in 1997. Cost of sales relate to P & H.

Selling and general and  administrative  expenses  for the six months ended June
30, 1998 were $87,304 compared to $378,729 for the same period in 1997.

Research and  development  expenses  were $351,940 for the six months ended June
30, 1998 compared to $433,105 for the same period in 1997.

Depreciation  and  amortization  expenses for the six months ended June 30, 1998
were $50,564  compared to $46,061 for the same period in 1997. Due to the nature
of research test equipment, the equipment is depreciated at a faster rate.

Interest  expense for the six months  ended June 30,  1998 was $0 compared  with
$5,711 for the same period in 1997. MMC does not have any interest expense.  All
interest expense for 1997 was generated by P&H.

Net loss for the three  months  ended June 30, 1998 was  $771,596  compared to a
loss of $223,058 for the same period in 1997. The sale of P&H created a loss due
to the book value of its  Property,  Plant and  Equipment and other assets being
greater than its liabilities and the amount received from the sale.

Net sales for the three  months ended June 30, 1998 were $0 compared to $867,570
for the same period in 1997.  Cost of sales for the three  months ended June 30,
1998 was $0 compared to $655,317 for the same period in 1997.
MMC is still developing its technology in 1998.

Selling and general and administrative  expenses for the three months ended June
30, 1998 were $86,249 compared to $184,873 for the same period in 1997. Expenses
for 1998 relates only to MMC.

Research and  development  expenses  incurred by MMC were $159,783 for the three
months ended June 30, 1998 compared to $234,235 for the same period in 1997. The
expenses  incurred have decreased in 1998 because we are in the testing phase of
the project and the cost of development has decreased significantly.

Depreciation and amortization  expenses for the three months ended June 30, 1998
were $25,282 compared to $19,523 for the same period in 1997.

Interest  expense for the three months ended June 30, 1998 was $0 compared  with
$2,726 for the same period in 1997.




<PAGE>




                           PART II - OTHER INFORMATION

Item 6.           Exhibits and Reports on Form 8-K

         (a)      Exhibits
                  99-1 Financial Statements as of June 30, 1998
                  Financial Data Schedule

         (b)      Reports on Form 8-K
                   None.

                                   SIGNATURES

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



 DATED: 14 August 1998              /s/
                                    Grace Sim, Secretary/Treasurer and Director




<PAGE>



                        MW MEDICAL, INC. AND SUBSIDIARIES
                           CONSOLIDATED BALANCE SHEET
                                   (Unaudited)


<TABLE>
<CAPTION>
                                                                     June 30,
                                                                       1998
                                                               ----------------
ASSETS
     CURRENT ASSETS
<S>                                                             <C>            
       Cash and cash equivalents                                $        57,111
       Receivable - former parent                                       200,000
       Receivable - P & H sale                                          493,125
       Other receivables                                                  4,316
       Prepaid expense and other current assets                         182,017
                                                               ----------------
                                         TOTAL CURRENT ASSETS           936,569

PROPERTY, PLANT, & EQUIPMENT                                            104,139

     OTHER ASSETS
       Organization costs                                                25,540
                                                               ----------------
                                                               $      1,066,248
                                                               ================

LIABILITIES & EQUITY
     CURRENT LIABILITIES
       Accounts payable                                        $         90,546
       Accrued expenses                                                   9,580
                                                               ----------------
                                    TOTAL CURRENT LIABILITIES           100,126
                                                               ----------------
                                            TOTAL LIABILITIES           100,126

STOCKHOLDERS' EQUITY 
       Common stock $.001 par value:
        Authorized - 100,000,000 shares
        Issued and outstanding 14,223,929 shares                         14,224
       Retained earnings                                                951,898
                                                               ----------------

                                   TOTAL STOCKHOLDERS' EQUITY           966,122
                                                               ----------------

                                                               $      1,066,248
                                                               ================
</TABLE>



                                      F - 1

<PAGE>

                        MW MEDICAL, INC. AND SUBSIDIARIES
                      CONSOLIDATED STATEMENTS OF OPERATIONS
                                   (Unaudited)


<TABLE>
<CAPTION>
                                                   Three months ended                     Six months ended
                                                         June 30,                             June 30,
                                                 1998                1997               1998               1997
                                             ----------        ---------------       ----------       -------------
<S>                                          <C>               <C>                   <C>              <C>          
Net sales                                    $        0        $       867,570       $        0       $   1,767,803
Cost of sales                                         0                655,317                0           1,313,464
                                             ----------        ---------------       ----------       -------------
                              GROSS PROFIT            0                212,253                0             454,339

Selling and General & administrative 
  expenses                                       86,249                184,873           87,304             378,729
Depreciation and amortization                    25,282                 19,523           50,564              46,061
Research and development                        159,783                234,235          351,940             433,105
                                             ----------        ---------------       ----------       -------------
                                                271,314                438,631          489,808             857,895
                                             ----------        ---------------       ----------       -------------
                      NET OPERATING (LOSS)     (271,314)              (226,378)        (489,808)           (403,556)

OTHER INCOME (EXPENSE)
   Interest income                                  580                  7,742              627              16,045
   Interest expense                                   0                 (2,726)               0              (5,711)
   Debt cancellation - former parent                  0                      0        2,169,806                   0
   Fee - former parent                                0                      0          200,000                   0
   Sale of subsidiary                          (500,862)                     0         (500,862)                  0
   Miscellaneous income (expense)                     0                 (1,696)               0               4,046
                                             ----------        ---------------       ----------       -------------
                                               (500,282)                 3,320        1,869,571              14,380
                                             ----------        ---------------       ----------       -------------

                  NET INCOME (LOSS) BEFORE
                   DISCONTINUED OPERATIONS     (771,596)              (223,058)       1,379,763            (389,176)

Discontinued operations:
   Operations of subsidiary sold 4/1/98               0                      0         (193,468)                  0
                                             ----------        ---------------       ----------       -------------

                  NET INCOME (LOSS) BEFORE
                              INCOME TAXES     (771,596)              (223,058)       1,186,295            (389,176)

INCOME TAX EXPENSE                                    0                    450              800              14,400
                                             ----------        ---------------       ----------       -------------
                         NET INCOME (LOSS)   $ (771,596)       $      (223,508)      $1,185,495       $    (403,576)
                                             ==========        ===============       ==========       =============

Net income (loss) per weighted 
   average share                             $     (.05)       $          (.02)      $      .08       $        (.03)
                                             ==========        ===============       ==========       =============

Weighted average number of common shares 
   used to compute net income (loss) per
   weighted average share                    14,223,929             14,223,929       14,223,929          14,223,929
                                             ==========        ===============       ==========       =============
</TABLE>



                                      F - 2

<PAGE>



                        MW MEDICAL, INC. AND SUBSIDIARIES
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (Unaudited)


<TABLE>
<CAPTION>
                                                                       Six months ended
                                                                            June 30,
                                                                  1998                     1997
                                                           -----------------         ---------------
OPERATING ACTIVITIES
<S>                                                        <C>                       <C>             
     Net income (loss)                                     $       1,185,495         $      (403,576)
     Adjustments to reconcile net income (loss)
      to cash used by operating activities:
        Depreciation and amortization                                 89,141                  46,061
        Net value of subsidiary sold                               1,398,034                       0
        Debt cancelled                                            (2,169,806)                      0
        Deferred taxes                                                     0                    (500)
     Changes in assets and liabilities:
        Accounts receivable                                         (683,519)                (72,627)
        Inventories                                                   80,636                 (27,345)
        Prepaid expenses and other                                  (166,791)                (11,453)
        Accounts payable and accrued expenses                         (7,756)                 61,672
        Deposits                                                      37,000                  20,000
        Income taxes payable                                               0                 (25,272)
                                                           -----------------         ---------------
                   NET CASH USED BY OPERATING ACTIVITIES            (237,566)               (413,040)

INVESTING ACTIVITIES
     Loan - other                                                     (6,231)                (10,627)
     Loan - related party                                                  0                  30,300
     Purchase of equipment                                            (1,796)               (228,349)
     Deposits                                                         (2,225)                   (100)
                                                           -----------------         ---------------
                   NET CASH USED BY INVESTING ACTIVITIES             (10,252)               (208,776)

FINANCING ACTIVITIES
     Borrowings - former parent                                      170,000                 400,000
     Cash remaining with former subsidiary                          (243,102)                      0
     Principal payments on debt                                       (9,951)                (79,894)
                                                           -----------------         ---------------
                                NET CASH PROVIDED (USED)
                                 BY FINANCING ACTIVITIES             (83,053)                320,106
                                                           -----------------         ---------------
                                      (DECREASE) IN CASH
                                    AND CASH EQUIVALENTS            (330,871)               (301,710)

     Cash and cash equivalents at beginning of period                387,982                 874,858
                                                           -----------------         ---------------

              CASH AND CASH EQUIVALENTS AT END OF PERIOD   $          57,111         $       573,148
                                                           =================         ===============

SUPPLEMENTAL INFORMATION
     Cash paid for interest                                $           9,824         $         6,611
     Cash paid for income taxes                                          800                  40,172
</TABLE>



                                      F - 3