<PAGE>

                                    UNITED STATES
                          SECURITIES AND EXCHANGE COMMISSION
                                 Washington, DC 20549

                                     Form 10-QSB

(Mark One)

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

                         For the period ended March 31, 1997

                                          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 000-21907

                                 Racom Systems, Inc.
         -------------------------------------------------------------
           (Exact name of small business issuer as specified in it charter)


             Delaware                                  84-1182875
    -----------------------------                ---------------------
    (State or other jurisdiction                   (I.R.S. Employer
    of incorporation or organization)            Identification Number)

                              6080 Greenwood Village, CO
                             Greenwood Village, CO  80111
                       (Address of principal executive offices)

                                    (303) 771-2077
                             (Issuer's telephone number)

    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
                                                                      ---   ---

    There are 13,032,532 shares of the  registrant's  common stock, $.01 par
value outstanding as of April 30, 1997.

<PAGE>

                                 RACOM SYSTEMS, INC.
                                     FORM 10-QSB
                                        INDEX

Part I   Financial Information                             Page

    Item 1.   Condensed Balance Sheets as of
              December 31, 1996 and
              March  31, 1997                              1

              Condensed Statements of Operations
              for the three months ended
              March 31, 1996 and 1997                      3


              Condensed Statements of Cash Flows
              for the three months ended
              March 31, 1996 and 1997                      4

              Notes to Condensed Financial Statements      5

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

Part II  Other Information and Signatures                  9

<PAGE>

                                 RACOM SYSTEMS, INC.
                               CONDENSED BALANCE SHEETS


               ASSETS                            DECEMBER 31,     MARCH 31,
                                                     1996          1997
                                                 -----------    -----------
                                                                (Unaudited)
Current Assets:
    Cash and cash equivalents                       $314,202     $3,790,568
    Accounts receivable                               79,201         58,987
    Accounts receivable-related party                 33,558         15,797
    Inventory                                        428,401        418,834
    License revenue receivable-related party         646,162        170,890
    Prepaid expenses and other                             -        102,928
                                                 -----------    -----------
Total Current Assets                               1,501,524      4,558,004

Property and Equipment:
    Machinery and equipment                          351,120        353,629
    Furniture and fixtures                            56,801         58,756
    Leasehold improvements                             3,328          3,328
                                                 -----------    -----------
                                                     411,249        415,713
    Less accumulated depreciation                  (260,364)      (285,415)
                                                 -----------    -----------
                                                     150,885        130,298

Investment in joint venture                          257,736        162,705

Other Assets:
    Technology license from related party,
         net of accumulated amortization of
         $684,898 and $724,309, respectively       1,715,102      1,675,691
    Organization costs, net of accumulated
         amortization of $24,873 and $25,730,
         respectively                                    857              -
    Debt issuance costs, net of accumulated
         amortization of $8,788 and $106,587,
         respectively                                 97,799              -
    Deferred offering costs                          161,948              -
                                                 -----------    -----------
                                                   1,975,706      1,675,691
                                                 -----------    -----------
                                                  $3,885,851     $6,526,698
                                                 -----------    -----------
                                                 -----------    -----------

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


                                        Page 1
<PAGE>

                                 RACOM SYSTEMS, INC.
                               CONDENSED BALANCE SHEETS

                         LIABILITIES AND STOCKHOLDERS' EQUITY

                                                 DECEMBER 31,     MARCH 31,
                                                     1996          1997
                                                 -----------    -----------
                                                                (Unaudited)
Current Liabilities:
    Accounts payable  and
         accrued liabilities                        $631,425       $690,109
    Accounts payable-related parties                 552,298         34,333
    Notes and interest payable-related party       1,029,596              -
    Bridge notes payable                           1,040,000              -
    Capital lease obligation                           1,331          1,068
    Deferred license revenue-related party            93,397         93,397
                                                 -----------    -----------
Total Current Liabilities                          3,348,047        818,907
Deferred license revenue-related party               303,540        280,191
                                                 -----------    -----------
Total Liabilities                                  3,651,587      1,099,098

Stockholders' Equity:
    Preferred stock, no par value, 5,000,000
         shares authorized, no shares issued
         or outstanding                                    -              -
    Common Stock, $.01 par value, 20,000,000
         shares authorized, 13,032,532 shares
         issued and outstanding                      115,325        130,325
    Additional paid-in capital                    10,272,591     16,281,088
    Accumulated deficit                          (10,153,652)   (10,983,813)
                                                 -----------    -----------

Total Stockholders' equity                           234,264      5,427,600
                                                 -----------    -----------
Total Liabilities and Stockholders' Equity        $3,885,851     $6,526,698
                                                 -----------    -----------
                                                 -----------    -----------

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


                                        Page 2
<PAGE>

                                 RACOM SYSTEMS, INC.
                          CONDENSED STATEMENTS OF OPERATIONS
                                     (Unaudited)

                                                 Three months ended March 31,
                                                   -------------------------
                                                    1996          1997
                                                   -------------------------
Revenues:
    Product sales                                   $147,775      $31,053
    Product sales-related parties                      6,311       17,416
    Custom product development projects              500,000            -
    License revenues-related party                   466,984      223,365
                                                   ---------    ---------

                                                   1,121,070      271,834
Cost of revenues                                     308,496      115,246
                                                   ---------    ---------
Gross margin                                         812,574      156,588

Operating Expenses:
    Research and development                          96,994      256,409
    General and administrative                       240,817      177,179
    Sales and marketing                              224,373      211,204
    Equity in loss of joint venture                  324,980       95,031
    Amortization expense                              50,306      136,935
                                                   ---------    ---------
                                                     937,470      876,758
                                                   ---------    ---------
Loss from operations                                (124,896)    (720,170)

Other expenses:
    Interest expense                                       -      (39,716)
    Interest expense-related parties                 (12,902)     (17,405)
    Interest income                                    3,701        2,625
    Other                                               (875)     (55,495)
                                                   ---------    ---------
Net loss                                           $(134,972)   $(830,161)
                                                   ---------    ---------
                                                   ---------    ---------


Net loss per share                                    $(0.01)      $(0.07)
Weighted average common and common
    equivalent shares outstanding                 11,844,793   11,782,532
                                                  ----------   ----------
                                                  ----------   ----------

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


                                        Page 3
<PAGE>
                                 RACOM SYSTEMS, INC.
                          CONDENSED STATEMENTS OF CASH FLOWS
                                     (Unaudited)
<TABLE>
<CAPTION>
                                                                     Three months ended March 31,
                                                                     -------------------------
                                                                        1996       1997
                                                                       ------     -------
<S>                                                                  <C>            <C>
Cash Flows From Operating Activities:
    Net loss                                                         $(134,972)     $(830,161)
    Adjustments to reconcile net loss
    to net cash used in operating activities:
         Depreciation and amortization                                  75,498         65,319
         Equity in loss of joint venture                               324,980         95,031
         Amortization of debt offering costs                                 -         97,799
         Loss of disposal of fixed assets                                  875              -
         Decrease (Increase) in:
              Prepaid expenses                                               -       (102,928)
              Accounts receivable-trade                                 91,467         20,214
              Accounts receivable-related party                         (9,452)        17,761
              Inventory                                               (143,336)         9,567
              License revenue receivable                                     -        475,272
    Increase (decrease) in:
              Accounts payable and accrued liabilities                 134,478         58,684
              Accounts payable-related parties                          46,278       (517,965)
              Deferred license revenue                                 466,984        (23,349)
              Accrued interest                                               -         39,102
              Accrued interest-related party                            12,465         17,405
                                                                     ---------     ----------
Net cash provided by (used in) operating activities                    865,265       (578,249)

Cash Flows From Investing Activities:
    Purchase of fixed assets                                            (5,681)        (4,464)
    Proceeds from sale of fixed assets                                     596              -
    Investment in joint venture                                       (466,984)             -
                                                                     ---------     ----------
Net cash used in investing activities                                 (472,069)        (4,464)

Cash Flows From Financing Activities:
    Proceeds from issuance of common stock                                   -      7,125,000
    Payment of offering costs                                                -       (939,555)
    Repayment on notes payable-related party                                 -     (2,126,103)
    Payments on capital lease liability                                   (177)          (263)
                                                                     ---------     ----------
Net cash (used in) provided by financing activities                       (177)     4,059,079

Net Increase in Cash and Cash Equivalents                              393,019      3,476,366
Cash and Cash Equivalents at Beginning of Period                       512,435        314,202
                                                                     ---------     ----------
Cash and Cash Equivalents at End of Period                            $905,454     $3,790,568
                                                                     ---------     ----------
                                                                     ---------     ----------
Supplemental Disclosure of Cash Flow Information:

    Cash paid during the period for:
         Interest                                                            -      $  39,102
         Interest-related parties                                            -        287,001

         Income taxes                                                        -              -
</TABLE>

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

                                        Page 4
<PAGE>
                                 RACOM SYSTEMS, INC.
                       NOTES TO CONDENSED FINANCIAL STATEMENTS
                                    MARCH 31, 1997

Note 1 - Basis of Presentation

    The accompanying financial information of the Company at March 31, 1997
    and for the period then ended and have been prepared from the books and
    records of the Company without audit.  The information is prepared
    in accordance with the rules prescribed for filing condensed interim
    financial statements and, accordingly, does not include all disclosures
    that may be necessary for complete financial statements prepared in
    accordance with generally accepted accounting principles.  The disclosures
    presented are sufficient, in management's opinion, to make the interim
    information presented not misleading.  All adjustments, consisting of
    normal recurring adjustments, which are necessary so as to make the interim
    information not misleading, have been made.  Results of operations for the
    three months ended March 31, 1997 are not necessarily indicative of results
    of operations that may be expected for the year ending December 31, 1997. 
    It is recommended that this financial information be read with the complete
    financial statements included in the Company's Form 10-KSB for the year
    ended December 31, 1996 previously filed with the Securities and Exchange
    Commission.

Note 2 - Net Loss Per Common and Common Equivalent Share.

    Net loss per common and common equivalent share has been computed based
    upon the weighted average number of common shares and common share
    equivalents outstanding.  Pursuant to Securities and Exchange Commission
    Staff Accounting Bulletin No. 83, common stock and common stock equivalent
    shares issued by the Company at prices below the initial public offering
    price during the twelve month period prior to the offering (using the
    treasury stock method for common stock equivalents at an assumed offering
    price of $4.75 per share) have been included in the calculation as if 
    they were outstanding for all periods presented regardless of whether they
    were antidilutive.

Note 3 - New Accounting Standard

    In February 1997, the Financial Accounting Standards Board ("FASB") issued
    Statement of Financial Accounting Standards ("SFAS") No. 128, "Earnings per
    Share", which supersedes Accounting Principles Board Opinion No. 15,
    "Earnings per Share".  SFAS No. 128 is effective for annual and interim
    periods ending after December 15, 1997 and simplifies the computation of
    earnings per share by replacing the presentation of primary earnings per
    share with a presentation of basis earnings per share.  SFAS No. 128
    requires dual presentation of basic and diluted earnings per share by
    entities with complex capital structures.  Basic earnings per share 
    includes no dilution and is computed by dividing income available to common
    stockholders by the weighted average number of common shares outstanding 
    for the period.  Diluted earnings per share reflects the potential 
    dilution of securities that could share in the earnings of an entity.  The
    Company does not believe that its loss per share calculations will be 
    materially affected as a result of adopting SFAS No. 128.

Note 4 - Tripartite Agreement

    The Company signed an agreement with Ramtron International Corporation
    ("Ramtron") and Intag International Limited ("Intag") to significantly
    increase the availability of Ramtron's ferroelectric random access memory
    (FRAM) technology for use in radio frequency identification (RFID) markets
    and applications.  The agreement replaces all existing licensing, supply
    and memorandum of understanding agreements between the parties.  Under the
    agreement, the Company retained its rights to sublicense Ramtron's
    ferroelectric technology for use in ferroelectric RFID products to no more
    than five (5) parties pursuant to Ramtron's approval of such sublicensee.  
    The Company has, to date, sublicensed such technology to two separate 
    companies.  Ramtron has agreed to coordinate its own licensing of FRAM 
    technology, including the licensing of FRAM technology for use in RFID 
    applications with the Company, until such time as the Company completes 
    its five sublicensing agreements.  The parties to the agreement have agreed
    to share, with certain limitations, future licensing and royalty revenues
    associated with such ferroelectric RFID licensing activities.  In addition,
    Ramtron granted the Company the right to purchase certain agreed upon 
    percentages of its FRAM product manufacturing capacity.

Note 5 - Subsequent Events

    On May 7, 1997, Racom Japan ("RJ") sold 3,020 shares of its stock to third
    parties reducing the Company's ownership to 22.8%.  During the second
    quarter the Company will recognize its proportionate share of the deferred
    revenue  related to this transaction.

                                        Page 5

<PAGE>

    The  results  of operations for the quarter ended  March  31, 1997 are not
necessarily indicative of the Company's expected performance for any  
future period.  Information contained herein is supplemental to the
Company's annual report on Form 10-KSB for the year ended December 31, 1996 and
the Company's Prospectus declared effective on March 12, 1997.


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

GENERAL

    Investors should carefully consider the following information as well as
other information contained in this Report before making an investment in the
Common Stock. Information contained in this Report contains "forward-looking
statements" which can be identified by the use of forward-looking terminology
such as "believes," "expects," "may," "should" or "anticipates" or the negative
thereof or other variations thereon or comparable terminology, or by discussions
of strategy. No assurance can be given that the future results covered by the
forward-looking statements will be achieved. The following matters constitute
cautionary statements identifying important factors with respect to such
forward-looking statements, including certain risks and uncertainties, that
could cause actual results to vary materially from the future results covered in
such forward-looking statements. Other factors could also cause actual results
to vary materially from the future results covered in such forward-looking
statements.

    The Company is a leading developer and marketer of contactless smart card
systems ("Smart Card(s)") used primarily in electronic commerce. Generally the
size of a credit card, Smart Cards are used in a number of consumer applications
including (i) access to restricted areas (replacing keys and identification
cards), (ii) public transportation fare collection (replacing bus tokens, taxi
cab charge cards, airline or railway tickets and the like), (iii) point of sale
purchases (replacing cash or credit cards at cafeterias, newsstands and related
point of sale locations where speed of purchase is important), and (iv)
miscellaneous small monetary transactions (replacing coins and cash at parking
lots, in vending machines and public telephones, etc.). Smart Card technology is
also used in industrial applications by attaching a "tag" containing the Smart
Card technology to the manufactured product in order to track the product from
the assembly line through quality control, warehousing, inventory control,
distribution and warranty.

    The Company principally generates revenues from licensing, fee based 
custom product development projects and sale of its Smart Card products. In 
the future, the Company anticipates that a substantial portion of its 
revenues will be generated from custom product development projects and the 
sale of its Smart Card products. If the Company is unable to continually 
replace larger custom product development projects as these projects are 
completed, its operations will be adversely affected. Custom product 
development projects are billed in stages based on certain agreed upon 
performance milestones. Accordingly, financial results for any calendar 
quarter may fluctuate widely depending on the stage of a custom product 
development project or the amount of licensing payments in a particular 
quarter.

    As reflected in the Company's Financial Statements, the Company has
generated substantial operating losses since inception and has yet to generate
sufficient revenues to fund its operations. To date, the Company has completed a
series of smaller scale projects; however, the Company has not yet completed a
significant number of larger projects, and as a result, it is uncertain whether
the Company will be able to successfully market and sell its Smart Card products
in sufficient quantities and at sufficient prices and volumes to fund its
operations. During 1995 and 1996, the Company experienced significant cash flow
deficits and liquidity shortages and funded its operations primarily through the
sale of nonexclusive sublicenses to its technology, through proceeds from the
sale of its Common Stock, through bridge loan borrowings and through borrowings
from affiliates.

    During 1997, the Company anticipates that increased operating revenues will
be achieved through a combination of product sales, custom product development
projects and the sale of non-exclusive licenses. In addition, the Company
anticipates incurring increased operating and research and development
expenditures in order to further develop and market its Smart Card products.

                                        Page 6

<PAGE>

RESULTS OF OPERATIONS FOR THE THREE MONTHS ENDED MARCH 31, 1997 COMPARED TO
THE THREE MONTHS ENDED MARCH 31, 1996

    REVENUES. Revenues decreased $849,236 from $1,121,070 for the three months
    ended March 31, 1996 ("Interim 1996") to $271,834 for the three months
    ended March 31, 1997 ("Interim 1997").  Interim 1996 revenues reflect the
    initial payment under a custom product development contract totaling
    $500,000 and recognition of revenues on a license from RJ, the Company's
    joint venture with Nittetsu Shoji Co., Ltd. for the manufacture and sale of
    FRAM based radio frequency products in Japan of $466,984.  The amount
    received for the license was $933,968.  At the time of sale, the Company
    owned a 50% interest in RJ and, accordingly, 50% of this amount
    (representing the Company's intercompany profit due to its 50% equity
    ownership in RJ on the date of the sublicense) was deferred and is being
    recognized over the life of the related technology license asset owned by
    RJ, which is five years, commencing on the date of sale.  Interim 1996
    product revenues reflected a shipment of products totaling $59,000 to one
    customer for the installation of an automatic fare collection system in
    Macau. 1997 revenues reflect the final installment owed on a sublicense
    granted by RJ to a Japanese Company, under which the Company is entitled to
    50% of all sublicense revenue earned by RJ.  The sublicense resulted in the
    Company recognizing $200,016 in licensing revenues.  Interim 1997 revenues
    also include $23,349 of licensing revenues recognized from the deferral of
    the RJ license in 1996 as discussed above.

    COST OF REVENUES AND GROSS MARGIN.  As a percentage of revenues, gross
    margin decreased from 72.5% in interim 1996 to 57.6% in interim 1997.  The
    gross margin is primarily a result of license revenues which have no
    associated cost of revenues.  The Company has not generated high profit
    margins on product sales in part because of competition the Company
    encounters with Contacted Cards which typically are sold at a lower price
    than the Company's Contactless Smart Cards.  Cost of revenues in interim
    1996 included $113,440 of costs associated with a custom product
    development project.

    RESEARCH AND DEVELOPMENT EXPENSES ("R&D").  R&D increased $159,415 from
    $96,994 in interim 1996 to $256,409 in interim 1997.  R&D efforts relating
    to the Company's Smart Card products expanded significantly during 1996 and
    interim 1997.  In January 1996, the Company began work on a joint
    development project with Bull CP8.  Engineering personnel resources and
    development costs totaling $113,440 were directly related to the project
    and are included in cost of revenues for interim 1996.

    GENERAL AND ADMINISTRATIVE EXPENSES ("G&A").  G&A decreased $63,638 from
    $240,817 in interim 1996 to $177,179 in interim 1997.  Wages and benefits, 

                                        Page 7

<PAGE>

    office expenses and travel and entertainment expenses did not increase
    significantly between the interim periods.  Interim 1996 included
    approximately $68,000 for consulting on several projects, including the
    development of the Tran$Cash Group, one vertical marketing approach 
    currently being pursued by the Company which focuses on full, turn-key, 
    entrepreneurial solutions for electronic fare and toll collection and 
    e-ticketing in major transportation markets.

    SALES AND MARKETING EXPENSES.  Sales and marketing expenses decreased
    $13,169 from $224,373 in interim 1996 to $211,204 in interim 1997.  Wages
    and benefits between the interim periods increased by approximately $24,000
    due to the hiring of the Vice President of  Business Development in June
    1996 and the hiring of a product line marketing director in February 1997. 
    Interim 1996 included approximately $21,000 for consulting fees related to
    developing the Company's products for use in the airline industry.  Interim
    1996 also included the cost of approximately $18,000 of demonstration 
    equipment used in sales and marketing activities.

    EQUITY IN LOSS OF JOINT VENTURE.  At March 31, 1997, the Company owned 40%
    of RJ, decreased from 50% as of March 29, 1996.  RJ was formed in 1993 for 
    the purpose of marketing, distributing and supporting the Company's Smart 
    Card products to be sold in Japan.  The Company accounts for its investment
    on the equity method and has recorded its share of RJ losses in its 
    financial statements to the extent of capital invested in RJ by the Company.
    The equity in the losses of RJ decreased $229,949 from $324,980 in interim 
    1996 to $95,031 in interim 1997.  In interim 1996, the Company invested an
    additional $466,984 in RJ.  Subsequently, third parties also invested in RJ
    thereby reducing the Company's ownership to 40%.  During 1996, the Company
    recognized $141,953 of previously unrecognized losses from the prior year
    in excess of its investment through December 31, 1995.  RJ's losses were
    primarily related to ongoing research and development activities as well as
    longer sales cycles and trial tests demanded by Japanese customers.

    AMORTIZATION EXPENSE.  The Company's primary asset is a technology license
    ("Technology License') related to the design and manufacture of its Smart
    Card products. The asset is amortized over its estimated useful life on a
    straight line basis.  Interim 1997 also includes $96,667 of amortization of
    debt issuance costs associated with the bridge loan financing upon
    repayment of the debt in March 1997.

    OTHER INCOME (EXPENSE).  During interim 1996, the Company incurred $12,902
    in interest expense on various notes payable to Intag.  The notes were due
    on demand and carried annual interest of 10%.  During interim 1997, the
    Company incurred $57,121 in interest expense on various notes payable to
    Intag, Ramtron and a group of lenders.  The notes to Intag carried interest
    at 10% and the notes to Ramtron and the group of lenders carried interest 
    at prime plus 2%.  The notes and accrued interest were paid during interim 
    1997 upon completion of the Company's initial public offering ("IPO").  
    Interim 1997 included approximately $26,000 in currency exchange losses 
    on the sub-licensing

                                        Page 8

<PAGE>

    transaction completed with RJ.  Interim 1997 also reflects approximately 
    $30,000 withheld from the sublicensing transaction completed with RJ for 
    a 3% Japanese consumption tax.

    NET LOSS. The Company is a C Corporation under the Internal Revenue Code
    and for income tax reporting purposes as of December 31, 1996, has
    approximately $9,600,000 of net operating loss carryforwards that expire at
    various dates through 2011.  The Tax Reform Act of 1986 contains provisions
    which may limit the net operating loss carryforwards available to the
    Company in any given year if certain events occur, including significant
    changes in ownership interests.

LIQUIDITY AND CAPITAL RESOURCES

    The Company's primary need for capital has been to finance expansion of
research and development of new Smart Card products, sales and marketing of its
products and operations.  Substantial growth of the Company's revenues has been
limited due to limited financial resources and an inability to expand
receivables, build inventory and effectively sell and market Smart Card
products.  The Company has financed its liquidity needs primarily through
completion of its March 1997 IPO.

    At March 31, 1997, the Company's cash position was $3,790,568, an increase
of $3,476,366 from $314,202 as of December 31, 1996. During March 1997 the
Company completed its IPO generating gross proceeds of $7,125,000, and net 
proceeds of $6,185,445.  The Company used proceeds from the IPO to repay 
outstanding debt and accrued interest of $2,126,103 and pay down accounts 
payable by approximately $518,000.  The Company received $475,272 of license 
revenues receivable outstanding at December 31, 1996.  The remaining proceeds 
from the IPO will be used to fund working capital, expand sales and marketing 
of the Smart Card products and continue research and development activities 
of new Smart Card products.

    Based on management's current projections, the Company believes that its
financial resources and cash flows from operations will be sufficient to finance
its current and planned operations for at least the next twelve months. There
can be no assurance, however, that the Company will not require additional
working capital and, if it does require such capital, that such capital will be
available to the Company on acceptable terms, if at all.



Part II. Other Information

Item 1.  Legal Proceedings
         -----------------
              None.





                                        Page 9

<PAGE>

Item 2.  Changes in Securities
         ---------------------
              None

Item 3.  Defaults Upon Senior Securities
         -------------------------------
              None

Item 4.  Submission of Matters to a Vote of Security Holders
         ---------------------------------------------------
              None

Item 5.  Other
         -----
         None

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

    (a.)      Exhibits:

    Exhibit No.         Title
    -----------         -----
    10.16*         Tripartite Technology Agreement entered into April 15, 1997
                   between Racom Systems, Inc., Ramtron International
                   Corporation and Intag International Limited.

    27.01          Financial Data Schedule

    *  "Confidential treatment has been granted or requested with respect to 
       portions of this exhibit, and such portions have been replaced with "**".
       Such confidential portions have been deleted and separately filed with 
       the Securities and Exchange Commission pursuant to Rule 24b-2."

    (b)  Reports on Form 8-K

         The Company filed a Report on Form 8-K, dated May 2, 1997, in 
connection with the execution of a Tripartite Agreement between the  Company, 
Ramtron and Intag which significantly increases the availability of Ramtron's 
ferroelectric random access memory (FRAM) technology for use in radio 
frequency identification (RFID) markets and applications.


                                     Page 10
<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 in Greenwood Village, Colorado on May 15, 1997.


Racom Systems, Inc.


/s/ Richard L. Horton
----------------------
Richard L. Horton
President and Chief Executive Officer


May 15, 1997