<PAGE>

                     U.S. SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C.  20549

                                   FORM 10-QSB/A

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

For the quarterly period ended March 31, 1997

     [ ]       TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
               SECURITIES EXCHANGE ACT OF 1934

                 For the transition period from           to            
                                                ---------      ---------
Commission File Number 0-24798

                           COLECCIONES DE RAQUEL, INC.
-------------------------------------------------------------------------------
        (Exact name of small business issuer as specified in its charter)

             Nevada                                  93-1123005
-------------------------------------------------------------------------------
(State or other jurisdiction of                     (IRS Employer
        of Incorporation)                       Identification Number)


           9873 S. Santa Monica Blvd., Beverly Hills, California 90212
-------------------------------------------------------------------------------
                    (Address of principal executive offices)
                                 (310) 203-9240
                           --------------------------
                           (Issuer's telephone number)

-------------------------------------------------------------------------------
(Former name, former address and former fiscal year, if changed since last
report)

     Check whether the issuer (1) filed all reports required to be filed by
Section 13 or 15(d) of the Exchange Act of 1934 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    X            No          
                   --------            --------

At March 31, 1997, 24,000,000 shares of the Company's $.0001 par value common
stock were outstanding.

<PAGE>

PART 1 - FINANCIAL INFORMATION

ITEM 1.   Financial Statements                                              PAGE
                                                                            ----

          (c)  Statement of Stockholder's Equity (Unaudited) -
               Period from Inception (December 1, 1987) to March 31, 1997. . . 3


                                     ii
<PAGE>

                           COLECCIONES DE RAQUEL, INC.
                          (A Development Stage Company)
                        STATEMENT OF STOCKHOLDERS' EQUITY
       FOR THE PERIOD FROM DECEMBER 1, 1987 (INCEPTION) TO MARCH 31, 1997
                                   (UNAUDITED)


<TABLE>
<CAPTION>
                              Preferred Stock            Common Stock                                  Deficit
                           --------------------    -----------------------   Additional      MMI       During the       Total
                              Number                 Number                    Paid-In    Settlement   Development   Shareholder's
                             of Shares    Amount    of Shares       Amount     Capital     Agreement       Stage        Equity
                           ------------  ---------  ----------    ----------  ----------   ----------   -----------   -------------
<S>                         <C>           <C>       <C>            <C>        <C>          <C>          <C>           <C>
Net loss from the
 inception through
 December 31, 1992               -      $    -           -         $    -      $      -      $     -     $ (29,178)    $ (29,178)
Net Loss, 1993                   -           -           -              -             -            -        (7,462)       (7,462)
                            ----------  -----------  ----------    ----------  ------------  ----------  ---------      ---------
Balance, Dec. 31, 1993           -           -           -              -             -            -       (36,640)      (36,640)
Common Stock Issued
 In reorganization               -           -      20,000,000         2,000        34,754         -          -           36,754
Common Stock Issued 
 In IPO                          -           -       1,000,000           100        90,990         -                      91,090
Preferred Stock exchanged
 for Common Stock per IPO     100,000       100    (20,000,000)       (2,000)        1,900         -          -              -
Exercise of A Warrants           -           -       1,000,000           100       249,900         -          -          250,000
MMI Settlement Agreement         -           -           -               -             -       (250,000)      -         (250,000)

Net Loss, 1994                   -           -           -               -             -            -     (58,052)       (58,052)
                            ----------  -----------  ----------    ----------  ------------  ----------  ---------      ---------
Balance, Dec. 31, 1994        100,000       100      2,000,000           200       377,544     (250,000)  (94,692)        33,152

Exercise of B Warrants           -           -       2,000,000           200       999,800         -            -       1,000,000
MMI settelement agreement        -           -            -              -            -      ( 1,000,000)       -      (1,000,000
Cash received from MMI           -           -            -              -            -         849,875         -         849,875
Net loss, 1995                   -           -            -              -            -            -      (126,518)      (126,518)
                            ----------  -----------  ----------    ----------  ------------  ----------  ---------      ---------
Balance, Dec. 31, 1995        100,000       100      4,000,000           400     1,377,344     (400,125)  (221,210)       756,509
Cash received from MMI           -           -            -              -            -         400,125         -         400,125
Net Loss                         -           -            -              -            -            -      (103,379)      (103,379)
                            ----------  -----------  ----------    ----------  ------------  ----------  ---------      ---------
Cash received from MMI           -           -            -              -            -            -       400,125        400,125
Common Stock exchanged
  for Preferred Stock        (100,000)     (100)    20,000,000         2,000        (1,900)
Net Loss                                                                                                  (308,137)      (308,137)
                            ----------  -----------  ----------    ----------  ------------  ----------  ---------      ---------
Balance Dec. 31, 1996            -      $    -      24,000,000      $  2,400    $1,375,444     $  -      $(529,347)    $  848,497
Balance March 31, 1997           -      $    -      24,000,000      $  2,400    $1,375,444     $  -      $(599,989)    $  777,855
                            ----------  -----------  ----------    ----------  ------------  ----------  ---------      ---------
                            ----------  -----------  ----------    ----------  ------------  ----------  ---------      ---------


</TABLE>

                        See accompanying notes to financial statements.


                                                                            3
<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.

                                        COLECCIONES DE RAQUEL, INC.
                                        (Registrant)



Dated: May 19, 1997                     By: /s/ Raquel Zepeda
                                        --------------------------------------
                                        Raquel Zepeda, Chief Financial Officer




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