SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   FORM 10-QSB


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

         For the quarterly period ended         July 31, 2002

                                       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         0-17263


                             CHAMPIONS SPORTS, INC.
             (Exact name of registrant as specified in its charter)


                               Delaware              52-1401755
                (State or other jurisdiction of    (I.R.S. Employer
                        organization)             Identification No.)

                Suite 214, 2420 Wilson Blvd., Arlington VA 22201
                    (Address of principal executive offices)
                                   (Zip code)

                                 (703) 526-0400
              (Registrant's telephone number, including area code)

     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

     As of September 12, 2002 the Registrant had a total of 8,514,459  shares of
common stock outstanding.


<PAGE>










                             CHAMPIONS SPORTS, Inc.
                                   FORM 10-QSB

                                      INDEX

                                                                  Page

Part I.  Financial Information

      Item 1.  Financial Statements

      Consolidated Balance Sheets as of
        July 31, 2002(unaudited) and
        April 30, 2002                                               3

      Consolidated Statements of Operations:
        Three months ended
        July 31, 2002, and  July 31, 2001,
                (unaudited)                                          4

      Consolidated Statements of Cash Flows:
        Three months ended July 31, 2002, and
        July 31,2001 (unaudited)                                     5

      Notes to Consolidated Financial Statements                     6

      Item 2.  Management's Discussions and
                        Analysis of Financial Condition
                        and Results of Operations                    7

Part II. Other Information and Signatures

      Item 4.  Submission of Matters to a Vote
                        of Security Holders                          9

      Item 6.  Exhibits and Reports on Form 8-K                      9

      Signatures                                                    10





<PAGE>





                     CHAMPIONS SPORTS, INC. AND SUBSIDIARIES
                           Consolidated Balance Sheets

                                     Assets


                                                   July 31, 2002  April 30, 2002
                                                   -------------  --------------

Current assets
   Cash and cash equivalents                      $    400,266       $   449,282
   Accounts receivable - trade                               -                54
   Inventories                                          28,855            25,555
   Prepaid expenses                                     12,738            14,035
                                                        ------            ------
Total current assets                                   441,859           488,926

Property and equipment
   Furniture and equipment                             582,669           577,371
   Leasehold improvements                              584,772           584,772
                                                       -------           -------

                                                     1,167,441         1,162,143
Accumulated depreciation
   and amortization                                  (888,537)         (876,432)
                                                     --------          --------
                                                       278,904           285,711
Other assets
   Deposits                                             11,052            11,052
                                                        ------            ------

Total assets                                       $   731,815       $   785,689
                                                   ===========       ===========


                      Liabilities and Stockholders' Equity

Current liabilities
   Accounts payable                               $   136,540       $    88,104
   Dividend payable on preferred stock                511,442           511,442
   Other accrued expenses                              59,351            52,790
   Deferred revenue                                    89,531           124,871
   Current portion of deferred lease concession         4,363             4,363
   Current portion of capital lease obligation              -             1,929

   Total current liabilities                          801,227           783,499
                                                    ---------------------------

Capital lease obligation,
    net of current portion                                  -                 -

Deferred lease concession,
    net of current portion                              6,105             7,195
                                                        -----             -----

   Total liabilities                                  807,332             7,195
                                                      -------             -----



Stockholders' equity
   Preferred stock
     Series A, 12% Convertible Cumulative;
     $10 par value; preferred as to
     dividends and liquidation;
     56,075 shares authorized and 53,125 shares
     issued and outstanding for July 31
     and April 30, 2002                               531,252            531,252
   Common stock, par value $.001 per share,
     50,000,000 shares authorized and
     8,514,459 shares issued and outstanding
     for July 31 and April 30, 2002                     8,514              8,514
   Additional paid-in capital                       5,397,598          5,392,599
   Accumulated deficit                             6,012,881)        (5,937,370)
                                                   ---------         ----------

   Total stockholders' equity                        (75,517)            (5,005)
                                                     -------             ------

Total liabilities and stockholders' equity        $   731,815        $   876,235
                                                  ===========        ===========


See notes to consolidated financial statements





<PAGE>

                       CHAMPIONS SPORTS, INC. AND SUBSIDIARIES
                        Consolidated Statements of Operations

                                                      July 31,
                                                2002              2001
                                                ----              ----


Revenue
  Food and beverage                             $507,115         $530,409
  Merchandise, memorabilia,
   andd consulting fees                            8,133           18,108
  Interest income                                  1,180            3,429
  Other income                                     1,654            2,994
                                                   -----            -----
                                                 518,082          554,940


Costs and expenses
  Cost of food and beverage sales                120,513          137,926
  Cost of merchandise and memorabilia             21,897           34,793
  Restaurant payroll and related costs           181,347          185,819
  Restaurant occupancy costs                      72,402           64,464
  Other restaurant costs                          87,066           86,797
  General and administrative                      98,183           66,335
  Depreciation and amortization                   12,105           12,105
  Interest                                            50              578
                                                      --              ---
                                                 593,563          588,817


Operating income (loss)
  before income tax expense                      (75,481)         (33,877)

Income tax expense                                      -                -


Net loss                                         (75,481)         (33,877)

Less preferred stock dividends                   (15,938)         (15,938)
                                                 -------          -------


Net income (loss) available to common
  stockholders                                  $(91,419)        $(49,815)
                                                ========         ========


Basic earnings (loss) per share                   $(0.01)          $(0.01)
                                                  ------           ------


Earnings (loss) per common share - assuming
  dilution                                        $(0.01)          $(0.01)
                                                  ------           ------

See notes to consolidated financial statements






<PAGE>


                     Increase (Decrease) in Cash and Cash Equivalents
                            For the three months ended July 31

                                                      2002            2001
                                                      ----            ----
Cash flow from operating activities:
  Net loss                                           $(75,481)       $(33,877)
  Adjustments to reconcile net income to net
  cash provided (used) by operating activities:
   Depreciation and amortization                        12,104          12,104
   Changes in assets and liabilities:
     Accounts receivable                                    54           1,326
     Inventories                                       (3,300)           9,879
     Prepaid expenses                                    1,297         (5,005)
     Accounts payable                                   48,436         (4,480)
     Other accrued expenses                              6,531           8,820
     Deferred revenues                                (35,340)               -
     Deferred lease concessions                        (1,090)           (363)
                                                       ------            ----

Net cash provided (used) by
  operating activities                                (46,789)        (11,596)


Cash flows from investing activities:
    Stock subscriptions                                  5,000               -
    Purchases of property and equipment                (5,298)               -
                                                       ------           ------

Net cash (used) by investing activities                  (298)               -

Cash flows from financing activities:
   Principal payments on capital lease                 (1,929)         (2,384)
                                                       ------          ------


Net increase (decrease) in cash and
  cash equivalents                                    (49,016)        (13,980)

Cash and cash equivalents at beginning of year         449,282         451,650
                                                       -------         -------

Cash and cash equivalents at July 31                  $400,266        $437,670
                                                      ========        ========


Supplemental disclosures of cash flow information:
   Cash paid during the year for interest                 $50            $578


See notes to consolidated financial statements



<PAGE>







                             CHAMPIONS SPORTS, INC.

                   Notes to Consolidated Financial Statements

                                  July 31, 2002

Summarized Financial Information

Company or group of companies for which report is filed:

CHAMPIONS Sports, Inc. and Subsidiaries

     The  consolidated  balance  sheet as of July  31,  2002,  the  consolidated
statements of operations and the  consolidated  statements of cash flows for the
three  months  ended July 31, 2002 and July 31,  2001 have been  prepared by the
company,  without audit. In the opinion of management,  all  adjustments  (which
include  only normal  recurring  adjustments)  necessary  to present  fairly the
financial  position,  results of operations and changes in cash flow at July 31,
2002 and for all periods presented have been made.

     Certain information and footnote disclosures normally included in financial
statements prepared in accordance with generally accepted accounting  principles
have been omitted. It is suggested that these consolidated  financial statements
be read in conjunction with the financial  statements and notes thereto included
in the Company's  10-KSB as of April 30, 2002. The results of operations for the
period  ended July 31,  2002 are not  necessarily  indicative  of the  operating
results for the full year.





<PAGE>






     Item 2.  Managements  Discussion  and Analysis of Financial  Condition  and
Results of Operations

Results of Operation
     For the three  months  ended  July 31,  2002,  the  Company's  net loss was
$75,481, and the net loss available for common shareholders was $91,419, ($0.01)
per common share.  The Company's  total assets  decreased by $53,874 to $731,815
from $785,689 at April 30, 2002.

     For the three  months  ended  July 31,  2001,  the  Company's  net loss was
$33,877 and the net loss available for common shareholders was $49,815,  ($0.01)
per common share. The Company's total assets decreased by $32,285 to $843,950 at
July 31, 2001 from $876,235 at April 30, 2001

Revenues

     The Company's  total revenues were $518,082 for the three months ended July
31, 2002 versus  $554,940  for the  three-month  period  ended July 31,  2001, a
decrease of $36,858 or 6.6%. By  component,  food and beverage  sales  decreased
4.4%  from  the  previous  year.  This  decline  in food and  beverage  sales is
attributed to a decrease in customer volume due to the slowing economic climate.
Merchandise,  memorabilia  and  consulting  revenues  were  $8,133 for the three
months  ended July 31, 2002  compared to $18,108 for the three months ended July
31, 2001.  Interest income was less than 1.0% of the Company's total revenue for
both comparable  periods.  Other income also represented less than 1.0% of total
revenues for the three months ended July 31, 2002 and 2001.

Expenses

     Cost of food and  beverage  was 23.8% and 26.0 % of  related  sales for the
three months ended July 31, 2002 and 2001.  Cost of merchandise  and memorabilia
sales for the three months  ended July 31, 2001 was $21,897  compared to $34,793
in the  preceding  year.  Restaurant  payroll  and  related  costs were 35.8% of
related  food and  beverage  sales for the three  months ended July 31, 2002 and
35.0% for the three  months  ended July 31,  2001.  The  increase in  restaurant
payroll is  attributed  to the  necessity  to  increase  hourly  wages to retain
experienced  workers.  Restaurant  occupancy costs were $72,402 or 14.3% of food
and  beverage  sales  compared to $64,464 or 12.2% of related  sales  during the
three months ended July 31, 2002. This increase in occupancy costs is attributed
to the  percentage  paid to the  landlord in common area  charges and base rent.
Other  restaurant  costs were 17.2% of related food and  beverage  sales for the
three months ended July 31, 2002  compared to 16.4% of related  sales during the
three  months ended July 31, 2001.  General and  administrative  expense for the
Company's  corporate  office was 19.0% of the Company's  total  revenues for the
three  months ended July 31, 2002  compared to 16.4 % of total  revenues for the
three months ended July  31,2002.  Depreciation  and  amortization  expense were
constant  at  approximately  2% of the  Company's  total  revenues  during  each
comparable period.


Liquidity and Capital Resources

     The  Company's  cash  position as of July 31, 2002 was 400,266  compared to
$449,282 on April 30, 2002, a decrease of $49,016.  For the three month  period,
the Company's operations used $46,789 in cash in excess of revenues. The Company
received  $5,000  from  a  common  share  subscription.  The  Company  purchased
equipment for its restaurant in San Antonio  totaling $5,298 and finished paying
for a capital lease of $1,929.  The Company met its  liquidity  needs during the
period from its  revenues,  cash  reserves and cash flow  provided  from its San
Antonio location.

     The  Company's  cash  position  on July 31, 2001 was  $437,670  compared to
$451,650 on April 30, 2001 a decrease of  $13,980.  For the three  months  ended
July 31, 2001, the Company's  operations  used $11,596 in cash. The Company used
its cash to repay a capital  lease for $2,384.  The  Company  met its  liquidity
needs during the period from its revenues,  cash reserves and cash flow provided
from its San Antonio location.  The Company is uncertain that it will be able to
meet its cash requirements for the next twelve months from its cash reserves and
from its operating activities.

     The Company's  working capital was a negative  $359,368 on July 31 2002 and
$294,573 on April 30, 2002.

     Stockholder's  equity was a negative $75,517,  as of July 31, 2002 compared
to a negative $60,005 as of April 30, 2002.

     The Company continues to review and evaluate its operations and priorities.
The Company is actively  pursuing  merger or acquisition  candidates to meet its
liquidity  needs.  There  is no  assurance  that  the  Company  will  be able to
structure a merger or acquisition on terms satisfactory to the Company.


Other

     In January  2002,  the Company  entered  into an  agreement  with a private
investor,  to purchase from the Company 4,000,000 shares of the Company's common
restricted stock at a purchase price of $0.125 per share in the aggregate amount
of $500,000 payable in monthly installments to be used by the Company to provide
general  working  capital.  The  purchaser  has paid a total of  $60,000 at July
31,2002 and has not met the payment terms of the agreement. The Company believes
that the agreement may not be fulfilled.







This document contains  "forward-looking  statements" (within the meaning of the
Private  Securities  Litigation  Act of 1995) that  inherently  involve risk and
uncertainties.  The Company's actual results could differ  materially from those
anticipated in the forward-looking statements as a result of unforeseen external
factors.  These factors may include,  but are not limited to, changes in general
economic  conditions,  the ongoing threat of terrorism,  customer  acceptance of
products offered and other general competitive  factors, and the ability to have
access to financing  sources on reasonable  terms.  Readers are cautioned not to
place  undue  reliance  on  these  forward-looking  statements,   which  reflect
management's  analysis,  judgment,  belief  or  expectation  only as of the date
hereof.




Part II.   Other Information

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

         None




Item 6.  Exhibits and Reports on Form 8-K

         None.


<PAGE>








                                   SIGNATURES

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

                                    CHAMPIONS Sports, Inc.




                                    /s/ James Martell
                                    James Martell
                                    Chairman, President
                                    and Chief Executive Officer



                                    /s/ James E. McCollam
                                    James E. McCollam
                                    Corporate Secretary, Chief Accounting
                                    Officer and Controller


September 12 2002