===============================================================================

                                 UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549


                                 FORM 10-QSB/A-1

(Mark One)
_X_ Quarterly report pursuant to Section 13 OR 15 (d) of the Securities Exchange
Act of 1934

     For the quarterly period ended: July 31, 2004

___ Transition report pursuant to Section 13 or 15(d) of the Securities Exchange
Act of 1934

     For the transition period _________ to __________


                         Commission file number 0-14234


                         KINGS ROAD ENTERTAINMENT, INC.
                        -------------------------------
        (Exact Name of Small Business Issuer as Specified in Its Charter)


           Delaware                                              95-3587522
 ----------------------------                                ------------------
 (State or Other Jurisdiction                                 (I.R.S. Employer
of Incorporation or Organization)                            Identification No.)


                   447 B Doheny Drive, Beverly Hills, CA 90210
                   -------------------------------------------
                    (Address of Principal Executive Offices)

                                 (310) 278-9975
                 ----------------------------------------------
                (Issuer's Telephone Number, Including Area Code)


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 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        NO   X
                                                               -----     -----

Indicate by check mark whether the registrant is a shell company (as defined in
Rule 12b-2 of the Exchange Act).   YES        NO   X
                                       -----     -----

As of October 17, 2005 the registrant had 6,957,757 shares of its common
stock outstanding.


Transitional Small Business Disclosure Format:  YES       NO   X
                                                    -----    -----
===============================================================================
<PAGE>

                         KINGS ROAD ENTERTAINMENT, INC.
                            Report on Form 10-QSB/A-1
                       For the Quarter Ended July 31, 2004
<TABLE>
<CAPTION>

                                      INDEX
<S>      <C>          <C>                                                                                 <C>
                                                                                                          Page
Part I.  Financial Information

         Item 1.      Financial Statements (unaudited)..................................................   3
                      Consolidated Balance Sheets ......................................................   3
                      Consolidated Statements of Operations ............................................   4
                      Consolidated Statements of Cash Flows.............................................   5
                      Notes to the Consolidated Financial Statements ...................................   6

         Item 2.      Management's Discussion and Analysis or Plan of Operation ........................  10

         Item 3.      Controls and Procedures ..........................................................  12

Part II.     Other Information

         Item 1.      Legal Proceedings ................................................................  12

         Item 2.      Unregistered Sales of Equity Securitites and Use of Proceeds .....................  16

         Item 3.      Defaults Upon Senior Securities ..................................................  16

         Item 4.      Submission of Matters to a Vote of Security Holders ..............................  17

         Item 5.      Other Information ................................................................  17

         Item 6.      Exhibits .........................................................................  17
</TABLE>

                                       2

<PAGE>

PART I - FINANCIAL INFORMATION

Item 1 - Financial Statements.


                 KINGS ROAD ENTERTAINMENT, INC. AND SUBSIDIARIES
                           CONSOLIDATED BALANCE SHEETS

<TABLE>
<CAPTION>

                                     ASSETS
                                     ------
                                                                                           July 31,               April 30,
                                                                                            2004                    2004
                                                                                        -------------           -------------
                                                                                         (Unaudited)
     <S>                                                                                <C>                     <C>
     CURRENT ASSETS
        Cash and cash equivalents                                                       $      10,511           $      21,915
        Restricted cash                                                                        60,129                  60,000
        Accounts receivable                                                                   117,222                 166,906
                                                                                        -------------           -------------
           Total Current Assets                                                               187,862                 248,821
                                                                                        -------------           -------------
     OTHER ASSETS
        Film development costs, net                                                            66,937                  69,437
                                                                                        -------------           -------------
           Total Other Assets                                                                  66,937                  69,437
                                                                                        -------------           -------------
     TOTAL ASSETS                                                                       $     254,799           $     318,258
                                                                                        =============           =============

                 LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
                 ---------------------------------------------

     CURRENT LIABILITIES
        Accounts payable                                                                $     252,850           $     165,170
        Accrued expenses                                                                      286,160                 247,043
        Deferred revenue                                                                       62,327                  67,327
        Line of credit                                                                         60,000                  60,000
        Liabilities from discontinued operations                                                4,000                   4,000
                                                                                        -------------           -------------
        Total Current Liabilities                                                             665,337                 543,540
                                                                                        -------------           -------------
     TOTAL LIABILITIES                                                                        665,337                 543,540
                                                                                        -------------           -------------
  COMMITMENTS AND CONTINGENCIES

  STOCKHOLDERS' EQUITY (DEFICIT)
        Common stock; 12,000,000 shares authorized,
          at $0.01 par value, 3,864,390 shares issued
          and outstanding, respectively                                                        38,644                  38,644
        Additional paid-in capital                                                         24,932,655              24,932,655
        Accumulated deficit                                                               (25,381,837)            (25,196,581)
                                                                                        -------------           -------------
        Total Stockholders' Equity (Deficit)                                                 (410,538)               (225,282)
                                                                                        -------------           -------------
     TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)                               $     254,799           $     318,258
                                                                                        =============           =============
</TABLE>

  The accompanying notes are an integral part of these consolidated financial
                                  statements.

                                       3

<PAGE>

                 KINGS ROAD ENTERTAINMENT, INC. AND SUBSIDIARIES
                      CONSOLIDATED STATEMENTS OF OPERATIONS
                                   (UNAUDITED)
<TABLE>
<CAPTION>
                                                                                        For the Three Months Ended
                                                                                                 July 31,
                                                                                        --------------------------
                                                                                           2004           2003
                                                                                        -----------    -----------
<S>                                                                                     <C>            <C>
REVENUES
  Feature films                                                                         $    51,427    $   135,934
                                                                                        -----------    -----------
     Total Revenues                                                                          51,427        135,934
                                                                                        -----------    -----------
COSTS AND EXPENSES

  General and administrative expenses                                                       236,243        106,264
                                                                                        -----------    -----------
     Total Costs and Expenses                                                               236,243        106,264
                                                                                        -----------    -----------
OPERATING INCOME (LOSS)                                                                    (184,816)        29,670
                                                                                        -----------    -----------
OTHER INCOME (EXPENSE)
  Other income (expense)                                                                          -         (1,316)
  Interest expense                                                                             (569)             -
  Interest income                                                                               129            152
                                                                                        -----------    -----------
  Total Other Income (expense)                                                                 (440)        (1,164)
                                                                                        -----------    -----------
  NET INCOME (LOSS)                                                                     $  (185,256)   $    28,506
                                                                                        ===========    ===========
  BASIC INCOME (LOSS) PER SHARE                                                         $    (0.048)   $      0.01
                                                                                        ===========    ===========
  WEIGHTED AVERAGE NUMBER OF
  SHARES OUTSTANDING                                                                      3,864,390      3,816,564
                                                                                        ===========    ===========
</TABLE>

  The accompanying notes are an integral part of these consolidated financial
                                  statements.

                                       4

<PAGE>

                 KINGS ROAD ENTERTAINMENT, INC. AND SUBSIDIARIES
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (UNAUDITED)

<TABLE>
<CAPTION>

                                                                                        For the Three Months Ended
                                                                                                  July 31,
                                                                                        --------------------------
                                                                                            2004           2003
                                                                                        -----------    -----------
<S>                                                                                     <C>            <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
     Net income (Loss)                                                                  $  (185,256)   $    28,506
     Changes in operating assets and liabilities:
       (Increase) decrease in accounts receivable                                            49,684         34,363
       (Increase) in restricted cash                                                           (129)             -
       (Increase) decrease in film development costs                                          2,500        (11,300)
        Increase (decrease) in accounts payable                                              87,680          3,038
        Increase (decrease) in accrued expenses                                              39,117          6,161
        Increase (decrease) in deferred revenue                                              (5,000)        (5,000)
                                                                                        -----------    -----------
           Net Cash Provided by Operating Activities                                        (11,404)        55,768
                                                                                        -----------    -----------
CASH FLOWS FROM INVESTING ACTIVITIES                                                              -              -
                                                                                        -----------    -----------
CASH FLOWS FROM FINANCING ACTIVITIES                                                              -              -
                                                                                        -----------    -----------
NET INCREASE (DECREASE) IN CASH                                                             (11,404)        55,768

CASH AT BEGINNING OF PERIOD                                                                  21,915         50,679
                                                                                        -----------    -----------
CASH AT END OF PERIOD                                                                   $    10,511    $   106,447
                                                                                        ===========    ===========
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION

  CASH PAID FOR
        Interest                                                                        $         -    $         -
        Income taxes                                                                    $         -    $         -

NON-CASH FINANCING ACTIVITIES

        Common stock issued for services                                                $         -    $         -
</TABLE>

  The accompanying notes are an integral part of these consolidated financial
                                  statements.

                                       5

<PAGE>

                 KINGS ROAD ENTERTAINMENT, INC. AND SUBSIDIARIES
                 Notes to the Consolidated Financial Statements
                        July 31, 2004 and April 30, 2004

NOTE 1 - BASIS OF PRESENTATION

     The accompanying unaudited consolidated financial statements have been
     prepared in accordance with accounting principles generally accepted in the
     United States of America for interim financial statements. Accordingly,
     they do not include all of the information and disclosures required for
     annual financial statements. These financial statements should be read in
     conjunction with the financial statements and related footnotes for the
     year ended April 30, 2004 included in the Kings Road Entertainment, Inc.
     ("Company" or "Registrant") annual report on Form 10-KSB for that period.

     In the opinion of the Company's management, all adjustments (consisting of
     normal recurring accruals) necessary to present fairly the Company's
     financial position at July 31, 2004 and the results of operations and cash
     flows for the three month periods ended July 31, 2004 and 2003,
     respectively, have been included. The results of operations for the three
     month period ended July 31, 2004 are not necessarily indicative of the
     results to be expected for the full fiscal year.

     The preparation of financial statements in conformity with accounting
     principles generally accepted in the United States of America requires
     management to make estimates and assumptions that affect the reported
     amounts of assets and liabilities and disclosure of contingent assets and
     liabilities at the date of the financial statements and the reported
     amounts of revenues and expenses during the reporting periods. Actual
     results could differ from those estimates.

NOTE 2 - LITIGATION

     Kings Road Entertainment, Inc. vs. Michael Berresheim, Eric Ottens, et al.

     On or about April 1, 2004, the Company discovered that checks in an
     aggregate amount of $103,517, from Paramount Pictures Group ("Paramount")
     payable to Regal Productions c/o Kings Road Entertainment (earned by the
     Company and Regal Productions) as part of its joint venture on the film
     "Fastbreak"), were deposited into accounts of Kings Road Entertainment,
     Inc., a Florida corporation (KREN FL) and Kings Road to Fame, Inc. doing
     business as Regal Productions, corporations controlled by Michael
     Berresheim and Eric Ottens, without the consent or knowledge of the
     Company.

     The Company's investigation revealed that four checks sent by Paramount
     between April 1, 2003 and December 20, 2003, payable to Regal Productions
     c/o Kings Road Entertainment, were mailed to the previous address of the
     Company. Rather than contacting and forwarding these check to the Company
     the checks were deposited into accounts of KREN FL and Kings Road to Fame,
     Inc. doing business as Regal Productions, corporations controlled by
     Messrs. Berresheim and Ottens.

                                       6

<PAGE>
                 KINGS ROAD ENTERTAINMENT, INC. AND SUBSIDIARIES
           Notes to the Consolidated Financial Statements (Continued)
                        July 31, 2004 and April 30, 2004

NOTE 2 - LITIGATION (Continued)

     Kings Road Entertainment, Inc. vs. Michael Berresheim, Eric Ottens, et al.
     (Continued)

     On June 8, 2004, the Company made a demand upon KREN FL and Kings Road to
     Fame, Inc., doing business as Regal Productions, and Messrs. Berresheim and
     Ottens, to pay the Company the sum of $103,517 plus interest and attorneys
     fees.

     On September 9, 2004, the Company filed suit in Florida, against Messrs.
     Berresheim, Ottens, the Florida entities, et al, "seeking the return of
     money illegally obtained and converted from the Company an accounting and
     an injunction from further use of its trade name." Defendants Ottens and
     Berresheim have since been served with the Complaint.

     On July 26, 2005, the defendant filed his answer to the Company's
     complaint, along with affirmative defenses and counterclaims. The defendant
     in his counterclaim is seeking to recover approximately $500,000 for money
     lent to the Company beginning back in the year 2000.

     The case is currently in the discovery state. Management has elected not to
     record any liability pertaining to the Counterclaim, as the Company deems
     the Counterclaim to be frivolous and without merit. At July 31, 2004, the
     Company has recorded a receivable in the amount of $48,894 pertaining to
     its claim against Messrs. Berresheim, Ottens, the Florida entities, et al.

     Demands for Investigation by Shareholder Action Committee

     On April 17, 2003, the Company received a formal request by a Shareholders
     Action Committee ("the Committee") for the Board to investigate a series of
     Related Party Transactions, which occurred during the period of November
     1998 through April 2001. The Board appointed independent counsel to
     investigate these transactions and report to the Board.

     On November 10, 2003, the Company received a letter from the chairman of
     the Committee inquiring as to the status of the Independent Counsel's
     investigation as formally requested by the Committee. The inquiry as
     conducted by the independent counsel at that time was deemed by the
     Committee to be proceeding at an unsatisfactory pace, and therefore the
     Board removed this first independent counsel.

     The Board thereupon appointed new independent counsel to investigate these
     transactions and report to the Board, the Committee, and the shareholders.

     On November 3, 2004 the Board received a preliminary report from the
     independent counsel with respect to some of the transactions of November
     1998 through April 2001, which is currently being evaluated by the Board in
     consultation with the Company's counsel.

     Rigel USA, Inc. vs. Kings Road Entertainment, Inc.

     On July 31, 2003, Rigel USA Inc., a California corporation, filed suit in
     the Superior Court of California, County of Los Angeles, case number
     BC300041, in which the plaintiff alleged causes of action against the
     Company, Micky Berresheim, and Ken Aguado for breach of contract,
     promissory estoppel, breach of implied in law contract, breach of implied
     in fact contract, declaratory relief and unfair competition. The plaintiff
     was seeking declaratory relief in excess of $5,000,000.

                                       7

<PAGE>
                KINGS ROAD ENTERTAINMENT, INC. AND SUBSIDIARIES
           Notes to the Consolidated Financial Statements (Continued)
                        July 31, 2004 and April 30, 2004

NOTE 2 - LITIGATION (Continued)

     Rigel USA, Inc. vs. Kings Road Entertainment, Inc. (Continued)

     Subsequent to the period covered by this report on, June 3, 2004, the
     Company entered into a Settlement Agreement with Rigel providing for the
     settlement of the matter and other possible claims of the parties. Pursuant
     to the terms of the Settlement Agreement Rigel and the Company have each
     agreed to release the other from any and all claims arising out of the
     lawsuit. Additionally, as part of the Settlement the Company and Rigel
     executed an Option and License Agreement, whereby in consideration of
     $10,000 paid by Rigel to the Company, the Company granted Rigel two
     exclusive options to use the word "Kickboxer" in the title of up to two
     live-action feature length motion pictures. The first option period shall
     commence on August 1, 2004 and end on October 31, 2005, and shall be
     exercised by commencement of principal photography and the payment of
     $90,000 to the Company. The option for the second motion picture shall
     commence on November 1, 2005 and end on July 31, 2006, and shall be
     exercised by the commencement of principal photography and the payment of
     $75,000 to the Company. if and when either or both motion pictures are
     produced, the Company shall also be entitled to 10% of net proceeds.

     Demand and Notice for Annual Meeting

     On November 17, 2003 the Board received a letter from counsel for Kings
     Road Enterprises Corp. (formerly Parkland AG) ("KREC"), of which Mr.
     Michael Berresheim, a former officer and director of the Company, is the
     principal shareholder, the President and a director. In this letter, KREC,
     the holder of 1,507,247 shares of the Company, claims that the Board has
     failed to comply with SEC filing regulations and announced his intention of
     calling a special shareholders meeting in order to replace the Board of
     Directors. Mr. Berresheim, through his counsel, was advised that the Board
     was working with the Company's auditors in order to complete any delinquent
     reports and intended on holding an annual meeting of the Shareholders as
     soon as practical after the Company's period reports were current, the
     Rigel lawsuit had been resolved, and the Company had received the reports
     back from the independent counsel pertaining to the demand of the
     Shareholders Action Committee.

     On May 12, 2004, and in accordance with the Board resolution on May 10,
     2004, the Company issued a press release and filed a Form 8-K, announcing
     that the annual meeting of shareholders was to be held on September 15,
     2004, at such time and place to be determined by the Board prior to the
     filing of the Proxy Statement. The Board further resolved to set the record
     date at the close of business on July 15, 2004, and subsequently changed
     this date to June 30, 2004. The Board further resolved that any proposal of
     Shareholders to be included in the Proxy Statement for the Annual Meeting
     must be received by the Corporation no later than June 30, 2004, along with
     all information required to be provided by such proposing shareholder in
     accordance with the By-laws of the Corporation, the Delaware General
     Corporation Law, and Regulation 14A of the SEC Act of 1934.

     On August 27, 2004, the Company issued a press release and filed a form 8-K
     announcing the postponement of the Annual Shareholders Meeting to November
     30, 2004, and the record date was changed to October 15, 2004.

     On October 21, 2004 the Company's Board of Directors resolved to postpone
     the Annual Meeting of Shareholders, which was scheduled for November 30,
     2004, to a date which shall be determined upon completion of the Company's
     annual report.

                                       8

<PAGE>

                KINGS ROAD ENTERTAINMENT, INC. AND SUBSIDIARIES
           Notes to the Consolidated Financial Statements (Continued)
                        July 31, 2004 and April 30, 2004

NOTE 2 - LITIGATION (Continued)

     Claim Against the Company by MBO Media GmbH

     On March 29, 2005 the Company received a German-language fax communication
     from the legal counsel of MBO Media GmbH, and its managing director Mr.
     Michael Berresheim (a former officer and director of the Company),
     demanding the Company's repayment of leasing costs totaling 179,884 Euro,
     purportedly paid by MBO Media GmbH on behalf of the Company.

     The Company has no record of any such claim, invoice, or corresponding
     leasing/repayment agreement between the parties, and had passed this
     correspondence on to its German counsel, who repudiated this claim on April
     4, 2005.

     Shareholder Demand for Inspection of Company Records

     On March 30, 2005 the Company received a registered letter dated March 22,
     2005 from legal counsel representing Kings Road Enterprises Corp. (formerly
     Parkland AG - an entity controlled by a former Director and Officer of the
     Company) ("KREC"), together with a Power of Attorney signed on March 16,
     2005 by that Company's President Mr. Evert Wilbrink and a Demand Under Oath
     likewise dated March 22, 2005. The Agent for the Stockholder pursuant to
     such Power of Attorney made "Demand Under Oath to inspect the Corporation's
     stock ledger, list of its stockholders, and its other books and records and
     to make copies or extracts there from, all as provided in Section 220 of
     the Code and states that the purpose of the demand and the inspection is
     (i) to make a determination as to the value of the Stockholder's stock in
     the Corporation, (ii) to investigate the Corporation's compliance with
     applicable laws, including but not limited to applicable corporate and
     securities laws and its own organizational and operational requirements as
     may be set forth in the books and records, based upon a reasonable
     suspicion of mismanagement and/or self-dealing due, among other things, to
     the apparent sale of stock to certain stockholders for less than its actual
     value." Company's counsel has been in contact with KREC's legal counsel and
     the Company is complying with this demand.

     The Company is not aware of any pending claims or assessments, other than
     as described above, which may have a material adverse impact on the
     Company's financial position or results of operations.

NOTE 3 - SIGNIFICANT AND SUBSEQUENT EVENTS

     Distribution Agreement

     On September 30, 2004, the Company executed an Amendment Agreement with
     Lions Gate Films, Inc., ("LGF"), extending and amending the original
     Agreement dated August 1, 1998. This Agreement, effective August 20, 2004
     through August 30, 2015, stipulates that LGF pay the Company a guarantee
     (in the form of an advance against royalties) of $1.2 million; $250,000 of
     which was payable upon execution of the Agreement, and the remaining
     $950,000 payable on September 1, 2005. In addition, the Company is entitled
     to certain royalties related to home video distribution. The Company
     received the initial $250,000 in September, 2004, and the final $950,000 in
     September, 2005.

     Equity Activity

     On January 16, 2005, the Company's Board of Directors resolved to issue an
     aggregate of 1,600,000 shares of its previously unissued common stock to
     various parties in order to reduce $160,000 of the Company's total debt.
     The common shares issued were valued at $0.10 per share, representing the
     90-day weighted-average value of the shares. Of the 1,600,000 shares
     issued, a total of 500,000 were issued to service providers, 200,000 to a
     private contractor, 100,000 to a director as consideration for past
     services, and 800,000 to Company officers as compensation.

                                       9

<PAGE>
                 KINGS ROAD ENTERTAINMENT, INC. AND SUBSIDIARIES
           Notes to the Consolidated Financial Statements (Continued)
                        July 31, 2004 and April 30, 2004

NOTE 3 - SIGNIFICANT AND SUBSEQUENT EVENTS (Continued)

     Stock Purchase Agreement

     On February 4, 2005, the Company entered into a Stock Purchase Agreement
     with several entities and individuals who purchased an aggregate of 1.5
     million shares of the Company's common stock at $0.10 per share for total
     cash proceeds of $150,000. 350,000 of these shares were acquired by an
     officer and director of the Company and 800,000 shares were acquired by an
     entity controlled by a director of the Company.

     Option Fee Agreement

     On August 16, 2005, the Company received $90,000 (less commissions of
     $9,000) from New Line Cinema, as an option fee pertaining to the Company's
     rights to the movie production, All of Me. The option fee entitles New Line
     Cinema to the film rights of the remake of All of Me, for a period of 16
     months, after which the option expires. Should New Line Cinema elect to
     move forward with the remake of All of Me, it will be required to pay the
     Company an additional $810,000 (less commissions of 10.0%) within the 16
     month option period. The Company has no obligation to repay the $90,000 fee
     in the event New Line Cinema does not move forward with production.

NOTE 4 - LIQUIDITY

     In the Company's audited financial statements for the years ended April 30,
     2004 and 2003, the Company's auditors expressed substantial doubt about the
     Company's ability to continue as a going concern. This doubt was caused, in
     part, by the fact that the Company had experienced recurring negative cash
     flows from operations, has continually reported current liabilities in
     excess of its current assets, and has been in default on many of its debts.

     However, as is discussed in Note 3, the Company received a cash inflow of
     $1.2 million pertaining to a Distribution Agreement with Lion's Gate Films
     ($250,000 was received in September, 2004, and the remaining $950,000 was
     received in September, 2005). Management believes this cash inflow, coupled
     with continuing income from feature films, will allow the Company to fund
     its current operations, service its debt, and implement its business plan
     through the year ended April 30, 2006.

Item 2 - Management's Discussion and Analysis of Financial Position and
         Results of Operations

Cautionary Forward - Looking Statement

     The following discussion should be read in conjunction with the Company's
financial statements and related notes.

     Certain matters discussed herein may contain forward-looking statements
that are subject to risks and uncertainties. Such risks and uncertainties
include, but are not limited to, the following:

          - the volatile and competitive nature of the film industry,
          - the uncertainties surrounding the rapidly evolving markets in which
            the Company competes,
          - the uncertainties surrounding technological change of the industry,
          - the Company's dependence on its intellectual property rights,
          - the success of marketing efforts by third parties,
          - the changing demands of customers and
          - the arrangements with present and future customers and third
            parties.

     Should one or more of these risks or uncertainties materialize or should
any of the underlying assumptions prove incorrect, actual results of current and
future operations may vary materially from those anticipated.

                                        10

<PAGE>

Recent Developments

     Subsequent to the fiscal year ended April 30, 1995, the Company has
produced no new films and has derived its film revenues almost exclusively from
the exploitation of films produced in prior years. The Company continues to fund
and develop motion picture projects, with the intention of either producing the
motion picture, establishing a partnership or joint venture with another film
production company to develop and/or produce the project or an outright sale of
the project.

     On September 30, 2004, the Company executed an Amendment Agreement with
Lions Gate Films, Inc., ("LGF"), extending and amending the original Agreement
dated August 1, 1998. This Agreement, effective August 20, 2004 through August
30, 2015, stipulates that LGF pay the Company a guarantee (in the form of an
advance against royalties) of $1.2 million; $250,000 of which was payable upon
execution of the Agreement, and the remaining $950,000 payable on September 1,
2005. In addition, the Company is entitled to certain royalties related to home
video distribution. The Company received the initial $250,000 in September,
2004, and the final $950,000 in September, 2005. Management believes this inflow
of capital will allow the Company to meet its capital requirements and fund
operations through April 30, 2006, as well as to service its debt and implement
additional business activities.

Results of Operations

The Three Months Ended July 31, 2004 vs. the Three Months Ended July 31, 2003

     For the quarter ended July 31, 2004, feature film revenues were $51,427 as
compared to $135,934 for the quarter ended July 31, 2003. The decrease of
$84,507 results primarily from decreased royalties on the Company's feature film
library.

     Costs and expenses increased to $236,243 for the quarter ended July 31,
2004 as compared to $106,264 during the quarter ended July 31, 2003. This
increase of $129,979 is due primarily to the increase in professional expenses
and officer compensation.

     The Company had a net loss of $185,256 for the quarter ended July 31, 2004
as compared to net income of $28,506 for the quarter ended July 31, 2003. This
decrease of $213,762 results primarily from a marked decrease in film revenues,
and an increase in professional and officer compensation.

Liquidity and Capital Resources

     The Company's principal source of working capital during the three month
period ended July 31, 2004 was motion picture royalty income. The Company does
not currently have sufficient capital to fund its operations. If the Company
fails to raise additional capital, increase revenues, or sell certain of its
assets, the Company will, in all likelihood, be forced to significantly reduce
its operations or liquidate.

     For the three months ended July 31, 2004, the Company's net cash flow used
by operating activities was $11,404 compared to net cash provided by operating
activities of $55,768 during the comparable period in 2003 At July 31, 2004, the
Company had cash of $10,511 as compared to $106,447 at July 31, 2003.

     Subsequent to the date of this report, the Company received a cash inflow
of $950,000 pertaining to its Distribution Agreement with Lions Gate Films.
Management believes this inflow will be instrumental in allowing the Company to
implement its business plan, as well as fund existing operations and service its
debt requirements.

Future Commitments

     The Company does not have, nor is it aware of, any other material future
commitments.

                                       11

<PAGE>

Forward-Looking Statements

     The foregoing discussion, as well as the other sections of this Quarterly
Report on Form 10-QSB, contains forward-looking statements that reflect the
Company's current views with respect to future events and financial results.
Forward-looking statements usually include the verbs "anticipates," "believes,"
"estimates," "expects," "intends," "plans," "projects," "understands" and other
verbs suggesting uncertainty. The Company reminds shareholders that
forward-looking statements are merely predictions and therefore inherently
subject to uncertainties and other factors which could cause the actual results
to differ materially from the forward-looking statements. Potential factors that
could affect forward-looking statements include, among other things, the
Company's ability to identify, produce and complete film projects that are
successful in the marketplace, to arrange financing, distribution and promotion
for these projects on favorable terms in various markets and to attract and
retain qualified personnel.

Item 3 - Controls and Procedures.

     (a) Evaluation of disclosure controls and procedures. Our principal
executive officer and principal financial officer have evaluated the
effectiveness of our disclosure controls and procedures (as defined in Rules
13a-14(c) and 15d-14(c) under the Exchange Act), as of a date within 90 days of
the filing date of this Quarterly Report on Form 10-QSB. Based on such
evaluation, they have concluded that as of such date, our disclosure controls
and procedures are effective and designed to ensure that information required to
be disclosed by us in reports that we file or submit under the Exchange Act is
recorded, processed, summarized and reported within the time periods specified
in applicable SEC rules and forms.

     (b) Changes in internal controls. There were no significant changes in
our internal controls or in other factors that could significantly affect these
controls subsequent to the date of evaluation by our principal executive officer
and principal financial officer.

PART II - OTHER INFORMATION

Item 1. Legal Proceedings.

Demands for Investigation by Shareholders Action Committee
----------------------------------------------------------

     On April 17, 2003, the Company received a formal request by a Shareholders
Action Committee for the Board to investigate a series of Related Party
Transactions, which occurred during the period of November 1998 through April
2001. The Board appointed independent counsel to investigate these transactions
and report to the Board.

     On November 10, 2003, the Company received a letter from the Chairman of
the Kings Road Shareholders Action Committee inquiring as to the status of the
Independent Counsel's investigation as formally requested by such Shareholders
Action Committee in its letter to the Board of April 17, 2003. The inquiry as
conducted by the independent counsel at that time was proceeding at an
unsatisfactory pace and therefore the Board removed this first independent
counsel.

                                       12

<PAGE>

     The Board thereupon appointed a new independent counsel to investigate
these transactions and report to the Board, the Shareholders Action Committee
and the Shareholders.

     Subsequent to the period covered by this report, on November 3, 2004, the
Board received a preliminary report from Mr. Leonard Machtinger of Kenoff &
Machtinger, LLP, its independent counsel, with respect to some of the
transactions of November 1998 through April 2001, which is currently being
evaluated by the Board in consultation with the Company's corporate counsel.

Rigel USA Inc. vs. Kings Road Entertainment, Inc., et al.
---------------------------------------------------------

     On July 31, 2003, Rigel USA Inc., a California corporation, filed suit in
the Superior Court of California, County of Los Angeles, case number BC300041,
in which the plaintiff alleged causes of action against the Company, Micky
Berresheim, and Ken Aguado for breach of contract, promissory estoppel, breach
of implied in law contract, breach of implied in fact contract, declaratory
relief and unfair competition. The plaintiff was seeking declaratory relief in
excess of $5,000,000.

     On June 3, 2004, the Company entered into a Settlement Agreement with Rigel
providing for the settlement of the matter and other possible claims of the
parties. Pursuant to the terms of the Settlement Agreement Rigel and the Company
have each agreed to release the other from any and all claims arising out of the
lawsuit. Additionally, as part of the Settlement the Company and Rigel executed
an Option and License Agreement, whereby in consideration of $10,000 paid by
Rigel to the Company, the Company granted Rigel two exclusive options to use the
word "Kickboxer" in the title of up to two live-action feature length motion
pictures. Subsequent to the period covered in this report, the first option
period commenced on August 1, 2004 and shall end on October 31, 2005, and shall
be exercised by commencement of principal photography and the payment of $90,000
to the Company. The option for the second motion picture shall commence on
November 1, 2005 and end on July 31, 2006, and shall be exercised by the
commencement of principal photography and the payment of $75,000 to the Company.
Should either or both motion pictures be produced, the Company shall also be
entitled to 10% of net proceeds.

Demand and Notice For Annual Meeting
------------------------------------

     On November 17, 2003 the Board received a Letter from counsel for Kings
Road Enterprises Corp. (formerly Parkland AG) of which Mr. Michael Berresheim a
former officer and director of the Company, is the principal shareholder, the
President and a director. In this letter, Kings Road Enterprises Corp., the
holder of 1,507,247 shares of common stock of the Company, claims that the Board
has failed to comply with SEC filing regulations and announced his intention of
calling a Special Shareholders Meeting in order to replace the Board of
Directors. Mr. Berresheim, through his counsel, was advised that the Board was
working with the Company's auditors in order to complete any delinquent reports
and intended on holding an annual meeting of the Shareholders as soon as
practical after the Company's period reports were current, the Rigel lawsuit had
been resolved, and the Company had received the report back from the independent
counsel pertaining to the demand of the Shareholders Action Committee.

     On May 12, 2004 and in accordance with the Board Resolution of May 10,
2004, the Company issued a press release and filed a Form 8-K, announcing that
the Annual Meeting of the Shareholders shall be held on September 15, 2004, at
such time and place to be determined by the Board prior to the filing of the
Proxy Statement. The Board further resolved to set the Record Date at the close
of business of July 15, 2004. The Board further resolved that any proposal of
shareholders to be included in the Proxy Statement for the Annual Meeting must
be received by the Corporation no later than June 15, 2004, along with all
information required to be provided by such proposing shareholder in accordance
with the By-laws of the Corporation, the Delaware General Corporation Law and
Regulation 14A of the SEC Act of 1934. The Board further resolved to appoint HJ
& Associates, LLC, as the Company's auditors for the fiscal year ending April
30, 2004/5.

                                       13

<PAGE>

     On July 15, 2004 and in accordance with the Board Resolution of the same
date, the Company issued a Press Release and filed a Form 8-K, announcing the
record date of for stockholders entitled to notice and to vote at the meeting
has been changed to July 30, 2004, in order to reconcile a conflict between the
provisions of the Delaware General Corporation Law and the Company's by-laws.

     Subsequent to the period covered by this report, on August 27, 2004, and in
accordance with its Board Resolution of August 26, 2004, the Company issued a
Press Release and filed a Form 8-K, announcing the postponement of the annual
meeting of stockholders from September 15, 2004 to November 30, 2004. The record
date for stockholders entitled to notice and to vote at the meeting and any
postponements and adjournments thereof, was also changed to October 15, 2004.

     On October 21, 2004, and in accordance with the Board Resolution of October
18, 2004, the Company issued a Press Release and filed a Form 8-K, announcing
that the Company has postponed and changed the date of the Annual Meeting of
Stockholders which was scheduled for November 30, 2004 to a date which shall be
determined upon completion of its Annual Report.

     In conjunction with the change of the meeting date, the record date for
stockholders entitled to notice and to vote at such meeting shall likewise be
changed from October 15, 2004 to such date as shall be determined upon the
setting of the meeting date.

Kings Road Entertainment, Inc. vs. Michael Berresheim, Eric Ottens, et al.
-------------------------------------------------------------------------

     On or about April 1, 2004, the Company discovered that checks in an
aggregate amount of $103,517, from Paramount Pictures Group ("Paramount")
payable to Regal Productions c/o Kings Road Entertainment (earned by the Company
and Regal Productions) as part of its joint venture on the film "Fastbreak"),
were deposited into accounts of Kings Road Entertainment, Inc., (Florida
Corporation P03000042628) and Kings Road to Fame, Inc. (Florida Corporation
P03000043121) doing business as Regal Productions, corporations controlled by
Michael Berresheim and Eric Ottens, without the consent or knowledge of the
Company.

     The Company's investigation revealed that four checks sent by Paramount
between April 1, 2003 and December 20, 2003, payable to Regal Productions c/o
Kings Road Entertainment, were mailed to 5743 NW 66th Avenue, Parkland, Florida
33067, the previous address of the Company. Rather than contacting and
forwarding these check to the Company the checks were deposited into accounts of
Kings Road Entertainment, Inc. (Florida Corporation P03000042628) and Kings Road
to Fame, Inc. (Florida Corporation P03000043121) doing business as Regal
Productions, corporations controlled by Messrs. Berresheim and Ottens.

     On April 11, 2003, Messrs. Berresheim and Ottens also filed electronic
Articles of Incorporation with the Secretary of State of Florida, to form Kings
Road to Fame, Inc. (Florida Corporation P03000043121), which Articles were
processed on April 17, 2003. According to the Florida Secretary of State
records, Mr. Berresheim was and is the President and a Director, and Mr. Ottens
was and is the Secretary and a Director, of Kings Road to Fame, Inc. (Florida
Corporation P03000043121).

     On April 17, 2003, Kings Road to Fame, Inc. (Florida Corporation
P03000043121) filed an application for registration of the use of the fictitious
name "Kings Road Entertainment" and "Regal Productions."

     Between April 18, 2003 and December 20, 2003, without the knowledge or
authorization of the Company, the 4 checks totalling $103,517, belonging to the
Company and Regal Productions were deposited into accounts of Kings Road
Entertainment, Inc., (Florida Corporation P03000042628) and Kings Road to Fame,
Inc. (Florida Corporation P03000043121) doing business as Regal Productions.

                                       14

<PAGE>

     On June 8, 2004, the Company made a demand upon Kings Road Entertainment,
Inc., (Florida Corporation P03000042628) Kings Road to Fame, Inc. (Florida
Corporation P03000043121) doing business as Regal Productions, and Messrs.
Berresheim and Ottens, to pay the Company the sum of $103,517 plus interest and
attorneys fees.

     Subsequent to the period covered by this report, on August 9, 2004, the
Company retained the services of Weiss Serota Helfman Pastoriza Cole &
Bonsike, P.A., Attorneys at Law, of 2665 S. Bayshore Drive, Suite 420, Miami, FL
33133, in order to file a complaint in the State of Florida and perform other
legal services seeking to recover the funds, in accordance with a Board
Resolution of August 10, 2004.

     On September 9, 2004, the Company filed suit in the Circuit Court of the
17th Judicial Circuit in and for Broward County, Florida, Case No. 04-14356 CACE
13, against Messrs. Berresheim, Ottens, the Florida entities, et al, "seeking
the return of money illegally obtained and converted from the Company, an
accounting and an injunction from further use of its trade name." Defendants
Ottens and Berresheim have since been served with the Complaint. Discovery has
commenced.

     On July 26, 2005, the defendant filed his answer, affirmative defenses, and
counterclaims. The defendant in his counterclaim is seeking to recover
approximately $500,000 for money allegedly lent to the Company beginning back in
the year 2000 and for libelous statements made by the Company.

     On August 15, 2005, Plaintiff filed a motion to strike portions of the
Defendant's Affirmative Answer and Counterclaim, which have no bearing on this
case, together with its response to Defendant's counterclaim, demanding proof of
such. Defendant likewise sent out a request for production and a set of
interrogatories.

     The Company is confident that its case against defendant Berresheim will
prevail and that the counterclaims are without merit.

Claim on the Company from MBO Media GmbH
----------------------------------------

     Subsequent to the period covered by this report, on March 29, 2005, the
Company received a German language fax communication from attorney at law Ms.
Beate C. Mueller, on behalf of her client MBO Media GmbH and its managing
director Mr. Michael Berresheim (a former director and officer of the Company),
demanding the Company's repayment of leasing costs of Euro 179,884.37 for the
video and film editing suite Avid Symphony V 2.0 as ostensibly paid by her
client MBO Media GmbH (formerly MBO Musikverlags GmbH). According to this letter
her client made the initial claim for the reimbursement of this sum on May 18,
2000.

     The Company has no record of any such claim, invoice, or corresponding
leasing/repayment agreement between the parties in its files and has passed this
correspondence on to its German counsel, who repudiated this claim on April 4,
2005.

                                       15

<PAGE>

Shareholder Demand for Inspection of Company Records
----------------------------------------------------

     Subsequent to the period covered by this report, on March 30, 2005, the
Company received a registered letter dated March 22, 2005 from Georgia based
attorney at law Daniel D. Dinur, Esq., on behalf of his client Kings Road
Enterprises Corp. (formerly Parkland AG, an entity controlled by Mr. Michael
Berresheim a former Director and Officer of the Company), together with a power
of attorney signed on March 16, 2005 by that Company's President Mr. Evert
Wilbrink and a demand under oath likewise dated March 22, 2005. The agent for
the stockholder pursuant to such power of attorney made a "Demand under oath to
inspect the Corporation's stock ledger, list of its stockholders, and its other
books and records and to make copies or extracts therefrom, all as provided in
Section 220 of the Delaware General Corporation Law and states that the purpose
of the demand and the inspection is (a) to make a determination as to the value
of the Stockholder's stock in the Corporation, (b) to investigate the
Corporation's compliance with applicable laws, including but not limited to
applicable corporate and securities laws and its own organizational and
operational requirements as may be set forth in the books and records, based
upon a reasonable suspicion of mismanagement and/or self-dealing due, among
other things, to the apparent sale of stock to certain stockholders for less
than its actual value." Company's counsel has been in contact with Mr. Dinur and
the Company has complied with this demand.

     The Company is not aware of any pending claims or assessments, other than
as described above, which may have a material adverse impact on the Company's
financial position or results of operations.

Item 2 - Unregistered Sales of Equity Securities and Use of Proceeds.

     Subsequent to the period covered by this report, on February 4, 2005, the
Company entered into a Stock Purchase Agreement with three investors under which
the Company would sell 1,500,000 restricted shares of common stock at a price of
$0.10 per share for an aggregate purchase price of $150,000 in cash.

     Geraldine Blecker, the Chief Executive Officer and a director of the
Company, agreed to purchase 350,000 shares for $35,000. ISBC GmbH, a German
company of which Philip Holmes, a director of the Company, is sole managing
director, agreed to purchase 800,000 shares for $80,000. And, The People
Helpers, Inc., an unaffiliated third party, agreed to purchase 350,000 shares
for $35,000.

     Said transaction was disclosed in an 8-K filed on February 15, 2005 and a
copy of the agreement attached as an exhibit to that filing.

     Said shares were issued pursuant to an exemption from registration provided
by Section 4(2) and 4(6) of the Securities Act of 1933.

Item 3. Defaults Upon Senior Securities.

     None.

                                       16

<PAGE>

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

     No matter was submitted to a vote of our shareholders during the quarter
ended July 31, 2004.

Item 5. Other Information.

     None.

Item 6. Exhibits.

     (a) Exhibits (numbered in accordance with Item 601 of Regulation S-B)

          3.1     Restated Certificate of Incorporation of Registrant (1)
          3.2     Bylaws of Registrant (2)
          10.1    1998 Stock Option Plan (1)
          21      Subsidiaries of Registrant (3)
          31**    Certification of Chief Executive Officer Pursuant to 18 U.S.C.
                  Section 1350
          31**    Certification of Chief Financial Officer Pursuant to 18 U.S.C.
                  Section 1350
          32**    906 Certification
          _______________
          (1) Incorporated by reference to Form 10-KSB for the fiscal year ended
              April 30, 1998.
          (2) Incorporated by reference to Form 10-KSB for the fiscal year ended
              April 30, 1988.
          (3) Incorporated by reference to Form 10-KSB for the fiscal year ended
              April 30, 2001
          **  Filed Herewith


                                       17

<PAGE>

                                   SIGNATURES

     In accordance with the requirements of the Exchange Act, the Registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.

                                                 KINGS ROAD ENTERTAINMENT, INC.



                                                 /s/ Geraldine Blecker
Date:    October 31, 2005                        _______________________________
                                                 By: Geraldine Blecker
                                                 Its:  Chief Executive Officer



                                                 /s/ H. Martin DeFrank
Date:    October 31, 2005                        _______________________________
                                                 By: H. Martin DeFrank
                                                 Its:  Chief Financial Officer


                                       18