<PAGE>   1

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



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

                                   FORM 10-QSB



(MARK ONE)
   [X]   QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES

   [ ]   EXCHANGE ACT OF 1934
                 For the quarterly period ended August 31, 1998

         TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES
         EXCHANGE ACT OF 1934
          For the transition period from _____________ to ____________



                         COMMISSION FILE NUMBER 0-20866

                           WILSHIRE TECHNOLOGIES, INC.
        (Exact name of small business issuer as specified in its charter)



<TABLE>
<CAPTION>
                          CALIFORNIA                                         33-0433823
<S>                                                                      <C>
(State or other jurisdiction of incorporation or organization)            (I.R.S. Employer
                                                                         Identification No.)
</TABLE>

                                5861 EDISON PLACE
                           CARLSBAD, CALIFORNIA 92008
                    (Address of principal executive offices)

                                 (760) 929-7200
                           (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 [X] No
[ ]

         The number of shares outstanding of the registrant's only class of
Common Stock, no par value, was 12,943,385 on September 30, 1998.

         Transitional Small Business Disclosure Format.  Yes [ ]   No [X]



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



<PAGE>   2

                           WILSHIRE TECHNOLOGIES, INC.

                              INDEX TO FORM 10-QSB



<TABLE>
<CAPTION>
PART 1 - FINANCIAL INFORMATION                                                                 PAGE

<S>                                                                                            <C>
Item 1.           Financial Statements:

                           Condensed Consolidated Balance Sheets as of                            3
                           August 31, 1998 and November 30, 1997

                           Condensed Consolidated Statements of Operations                        4
                           for the Three Months Ended August 31, 1998 and
                           August 31, 1997

                           Condensed Consolidated Statements of Operations                        5
                           for the Nine Months ended August 31, 1998 and
                           August 31, 1997

                           Condensed Consolidated Statements of Cash Flows                        6
                           for the Nine Months Ended August 31, 1998 and
                           August 31, 1997

                           Notes to Condensed Consolidated Financial Statements                   7

Item 2.           Management's Discussion and Analysis                                            9
                  or Plan of Operation


PART II - OTHER INFORMATION



Item 1.           Legal Proceedings                                                              13

Item 2.           Changes in Securities                                                          13

Item 3.           Defaults Upon Senior Securities                                                13

Item 4.           Submission of Matters to a Vote of Security Holders                            13

Item 5.           Other Information                                                              13

Item 6.           Exhibits and Reports on Form 8-K                                               13

Signatures                                                                                       14
</TABLE>



                                       2
<PAGE>   3

                           WILSHIRE TECHNOLOGIES, INC.
                      CONDENSED CONSOLIDATED BALANCE SHEETS

<TABLE>
<CAPTION>
                                                                         August 31,            November 30,
                                                                            1998                   1997
                                                                        ------------           ------------
ASSETS (Note 4)                                                          (Unaudited)               (Note)
<S>                                                                     <C>                    <C>         
Current assets:
    Cash                                                                $     27,000           $    137,000
    Accounts receivable trade, less allowance for doubtful
       accounts of $5,000 at August 31, 1998
       and  November 30, 1997, respectively                                  280,000                335,000
    Inventories (Note 2)                                                   1,215,000              1,037,000
    Current portion of note receivable (Note 3)                              174,000                198,000
    Other current assets                                                     294,000                262,000
                                                                        ------------           ------------
Total current assets                                                       1,990,000              1,969,000

Property and equipment, less accumulated depreciation
    of $924,000 and $778,000 at May 31, 1998 and
    November 30, 1997, respectively                                        3,051,000              1,293,000
Note receivable from the sale of discontinued business
    less current portion (Note 3)                                                 --                111,000
Debt issue costs, net (Note 4)                                                64,000                     --
Goodwill, less accumulated amortization of $354,000
    and $323,000 at August 31, 1998 and November 30,
    1997, respectively                                                       388,000                419,000
Patents and trademarks, net                                                  122,000                115,000
                                                                        ------------           ------------
                                                                        $  5,615,000           $  3,907,000
                                                                        ============           ============

LIABILITIES AND NET CAPITAL DEFICIENCY 
  Current liabilities:
    Accounts payable                                                    $    273,000           $    625,000
    Accrued expenses                                                         220,000                372,000
    Interest payable                                                         343,000                330,000
    Line of credit (Note 4)                                                7,713,000              3,750,000
                                                                        ------------           ------------
Total current liabilities                                                  8,549,000              5,077,000

Net capital deficiency
    Preferred stock, no par value, 2,000,000 shares authorized
       and none issued and outstanding                                            --                     --
    Common stock, no par value, 50,000,000 shares
       authorized; 12,943,385 shares issued and
       outstanding at August 31, 1998 and
       November 30, 1997                                                  25,907,000             25,907,000
    Common stock warrants                                                    349,000                301,000
    Accumulated deficit                                                  (29,190,000)           (27,378,000)
                                                                        ------------           ------------
Net capital deficiency                                                    (2,934,000)            (1,170,000)
                                                                        ------------           ------------
                                                                        $  5,615,000           $  3,907,000
                                                                        ============           ============
</TABLE>


    Note:  The condensed consolidated balance sheet at November 30, 1997 has
           been derived from the audited financial statements at that date but
           does not include all of the information and footnotes required by
           generally accepted accounting principles for complete financial
           statements.
                             See accompanying notes.



                                       3
<PAGE>   4

                           WILSHIRE TECHNOLOGIES, INC.
                 CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                                   (UNAUDITED)



<TABLE>
<CAPTION>
                                                      Three Months Ended August 31,
                                                    -----------------------------------
                                                        1998                   1997
                                                    ------------           ------------
<S>                                                 <C>                    <C>         
Net sales                                           $    934,000           $  1,011,000
Cost of sales                                            796,000                765,000
                                                    ------------           ------------
Gross profit                                             138,000                246,000

Operating expenses:
    Marketing and selling                                149,000                147,000
    General and administrative                           413,000                340,000
    Research and development                              40,000                123,000
                                                    ------------           ------------
Total operating expenses                                 602,000                610,000
                                                    ------------           ------------

Loss from operations                                    (464,000)              (364,000)
Other income                                                  --                     --
Interest income (expense), net                          (261,000)               (76,000)
                                                    ------------           ------------
Loss before provision
    for state income taxes                              (725,000)              (440,000)

Provision for state income taxes - current                    --                     --
                                                    ------------           ------------

Net loss                                            $   (725,000)          $   (440,000)
                                                    ============           ============ 

Weighted average shares outstanding                   12,943,000             12,943,000
                                                    ============           ============ 

Basic and diluted loss per share                    $      (0.06)          $      (0.03)
                                                    ============           ============ 
</TABLE>



                             See accompanying notes.



                                       4
<PAGE>   5

                           WILSHIRE TECHNOLOGIES, INC.
                 CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                                   (UNAUDITED)



<TABLE>
<CAPTION>
                                                        Nine Months Ended August 31,
                                                    -----------------------------------
                                                        1998                   1997
                                                    ------------           ------------
<S>                                                 <C>                    <C>         
Net sales                                           $  3,019,000           $  2,602,000
Cost of sales                                          2,437,000              1,976,000
                                                    ------------           ------------
Gross profit                                             582,000                626,000

Operating expenses:
    Marketing and selling                                396,000                424,000
    General and administrative                         1,219,000                946,000
    Research and development                             189,000                313,000
                                                    ------------           ------------
Total operating expenses                               1,804,000              1,683,000
                                                    ------------           ------------

Loss from operations                                  (1,222,000)            (1,057,000)
Other income                                               1,000                     --
Interest income (expense), net                          (590,000)              (195,000)
                                                    ------------           ------------
Loss before provision
    for state income taxes                            (1,811,000)            (1,252,000)

Provision for state income taxes - current                 1,000                  1,000
                                                    ------------           ------------

Net loss                                            $ (1,812,000)          $ (1,253,000)
                                                    ============           ============ 

Weighted average shares outstanding                   12,943,000             12,943,000
                                                    ============           ============ 

Basic and diluted loss per share                    $      (0.14)          $      (0.10)
                                                    ============           ============ 
</TABLE>



                             See accompanying notes.



                                       5
<PAGE>   6

                           WILSHIRE TECHNOLOGIES, INC.
                 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (UNAUDITED)



<TABLE>
<CAPTION>
                                                                             Nine Months Ended August 31,
                                                                          ---------------------------------
                                                                              1998                 1997
                                                                          -----------           -----------
<S>                                                                       <C>                   <C>         
OPERATING ACTIVITIES
Net loss                                                                  $(1,812,000)          $(1,253,000)
Adjustments to reconcile net loss to net cash
       used in operating activities:
           Depreciation and amortization                                      184,000               168,000
           Provision for loss on accounts receivable                               --                (1,000)
           Net change in operating assets and liabilities:
              Decrease in accounts receivable                                  55,000                 4,000
              Increase in inventories                                        (178,000)             (510,000)
              (Increase) decrease in other current assets                     (32,000)                9,000
              Increase (decrease) in accounts payable and
               accrued expenses                                              (504,000)               17,000
              Increase in interest payable                                     13,000               197,000
                                                                          -----------           -----------
Net cash used in operating activities                                      (2,274,000)           (1,369,000)
                                                                          -----------           -----------

INVESTING ACTIVITIES
Purchase of equipment                                                      (1,904,000)             (298,000)
Decrease in note receivable from sale of discontinued operations              135,000               130,000
Increase in other assets                                                      (14,000)              (15,000)
                                                                          -----------           -----------
Net cash used in investing activities                                      (1,783,000)             (183,000)
                                                                          -----------           -----------

FINANCING ACTIVITIES
Proceeds from line of credit                                                3,963,000             1,500,000
Warrants issued to majority shareholder                                        48,000                    --
Debt issue costs, net                                                         (64,000)                   --
                                                                          -----------           -----------
Net cash provided by financing activities                                   3,947,000             1,500,000
                                                                          -----------           -----------

NET DECREASE IN CASH                                                         (110,000)              (52,000)
CASH - BEGINNING OF PERIOD                                                    137,000               189,000
                                                                          -----------           -----------
CASH - END OF PERIOD                                                      $    27,000           $   137,000
                                                                          ===========           ===========
</TABLE>



                             See accompanying notes.



                                       6
<PAGE>   7




NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

1.  ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

ORGANIZATION

Wilshire Technologies, Inc. (the "Company") develops, manufactures and markets
engineered polymer products for industrial clean room use. The Company, based in
Carlsbad, California, markets products through its Wilshire Contamination
Control Division, and manufactures certain of its products in its wholly-owned
Mexican subsidiary, Wilshire International de Mexico S.A. de C.V. During 1996,
the Company divested its Medical Products and Transdermal Products divisions and
has since focused primarily on products used in industrial clean rooms, such as
gloves and contamination control products.

BASIS OF PRESENTATION

The accompanying condensed consolidated unaudited financial statements have been
prepared in accordance with generally accepted accounting principles for interim
financial information and with the instructions to Form 10-QSB for quarterly
reports under Section 13 or 15(d) of the Securities Exchange Act of 1934.
Accordingly, they do not include all of the information and footnotes required
by generally accepted accounting principles for complete financial statements.
In the opinion of management, all adjustments (consisting of normal recurring
accruals) considered necessary for a fair presentation have been included.
Operating results for the quarter and nine months ended August 31, 1998 are not
necessarily indicative of the results that may be expected for the fiscal year
ending November 30, 1998. For further information, refer to the financial
statements and footnotes thereto included in the Company's annual report on Form
10-KSB for the fiscal year ended November 30, 1997.

The consolidated financial statements include the accounts of the Company and
its wholly-owned subsidiary. Significant intercompany amounts and transactions
have been eliminated.

During the period ending February 28, 1998, the Company adopted Statement of
Financial Standards (SFAS) No. 128, Earnings Per Share. The adoption of this
statement did not have a material impact since the Company has reported losses
and the impact of common stock equivalents is not included in the net loss per
share calculations as their effect is anti-dilutive or not required.

2.  FINANCIAL STATEMENT INFORMATION

Inventories consist of the following:

<TABLE>
<CAPTION>
                         AUGUST 31,         NOVEMBER 30,
                            1998                 1997
                         ----------          ----------
<S>                      <C>                 <C>       
Raw materials            $  442,000          $  156,000
Work in process              94,000             265,000
Finished goods              679,000             616,000
                         ==========          ==========
                         $1,215,000          $1,037,000
                         ==========          ==========
</TABLE>



                                       7
<PAGE>   8

3.  NOTE RECEIVABLE

In March 1996, the Board of Directors authorized management to proceed with the
sale of the assets of the Medical Products division which was completed on June
30, 1996, pursuant to a Purchase of Assets and Assumption of Sublease Agreement
with Acacia Laboratories of Texas, Inc. The disposition of this business has
been accounted for as a discontinued operation. Pursuant to the sale of its
Medical Products division, the Company received a $540,000 secured note, payable
over 36 months, and bearing interest at a rate of 5% per annum.

4.  LINE OF CREDIT

On January 5, 1996, the Company and Trilon Dominion Partners LLC ("Trilon
Dominion") entered into a Credit Agreement (the "Agreement") for a credit line
of $1,000,000 secured by the Company's assets. Under the terms of the Agreement,
the principal was due on June 30, 1996 and the interest was payable monthly at a
rate of prime plus 3.75%. In connection with the loan, the Company issued Trilon
Dominion a five-year warrant that entitles Trilon Dominion to purchase 100,000
shares of the Company's authorized but unissued common stock at an exercise
price of $0.75 per share, subject to adjustment to protect against dilution. The
warrant is exercisable immediately and expires on January 5, 2001. Also, under
the terms of the Agreement, the Company issued Trilon Dominion a second
five-year warrant which became exercisable when the Company amended the
Agreement on June 30, 1996 to extend the termination date to December 31, 1996.
The second warrant entitles Trilon Dominion to purchase 25,000 shares of the
Company's authorized but unissued common stock at an exercise price equal to the
closing price on June 30, 1996, which was $1.75 per share and it expires on
January 5, 2001.

The Agreement was amended further on September 30, 1996, April 15, 1997, and
September 19, 1997. Each amendment increased the credit line by $1,000,000, up
to a total of $4,000,000, and extended the termination date, up to a termination
date of June 30, 1998. Trilon Dominion received a warrant to purchase 100,000
shares at the market price with each credit line increase, and a warrant to
purchase 25,000 shares at the market price with each termination date extension.
Warrants for 225,000 shares were issued in each of fiscal years 1996 and 1997.
The Company recorded the estimated fair value of the warrants issued in fiscal
year 1997 at $0.07 per underlying common share with a corresponding charge to
earnings of $16,000 in fiscal 1997.

On January 7, 1998, February 17, 1998, and March 10, 1998, the Company and
Trilon Dominion completed Demand Notes, each for $250,000 at an interest rate of
12.25%, to fund the Company's ongoing operations until a new credit facility
could be completed.

On March 31, 1998 the Company and Trilon Dominion completed an Amended and
Restated Credit Agreement and Revolving Line of Credit (the "Amended Agreement")
which included the principal of $4,000,000 from the previous Agreement and
Amendments, the principal of $750,000 from the three Demand Notes, the accrued
interest and management fees of $543,297 on the Agreement and Notes, and a new
credit line commitment of $2,200,000. Under the terms of the Amended Agreement,
the principal of $7,493,297 is due on December 31, 1998, and the interest is
payable quarterly at an annual rate of 11.5%. In connection with the Amended
Agreement, the Company paid Trilon Dominion $100,000 for debt issuance costs and
issued Trilon Dominion a five-year warrant that entitles Trilon Dominion to
purchase 650,000 shares of the Company's authorized but unissued common stock at
an exercise price of $0.41 per share, subject to adjustment to protect against
dilution. The warrant is exercisable immediately and expires on March 31, 2003.
The Company recorded the estimated fair value of the warrant to purchase 650,000
shares as a debt issuance cost in the second quarter of fiscal year 1998 at
$0.07 per underlying common share. Also, under the terms of the Amended
Agreement, the Company issued Trilon Dominion a second five-year warrant which
will become exercisable if the Company does not pay the principal and interest
due on December 31, 1998 and expires on March 31, 2003. The second warrant
entitles Trilon Dominion to purchase 250,000 shares of the Company's 



                                       8
<PAGE>   9

authorized but unissued common stock at an exercise price equal to the market
price on December 31, 1998.

On August 5, 1998, September 1, 1998, and October 1, 1998, the Company and
Trilon Dominion completed Demand Notes at an interest rate of 11.5% to fund the
Company's ongoing operations. The August and September notes each were in the
amount of $220,000 and the October note was in the amount of $250,000.

5.  COMMITMENTS AND CONTINGENCIES

BREAST IMPLANT LITIGATION

During the first nine months of 1998, there have been no significant
developments in the Breast Implant Litigation. For information regarding legal
proceedings, refer to the information contained in the Company's Annual Report
on Form 10-KSB for the fiscal year ended November 30, 1997, under Note 6 to the
financial statements included therein.


ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION.

During fiscal year 1998, the Company has focused primarily on completing
construction of the equipment for the new glove production line and installing
that equipment in the Company's leased plant facility in Tijuana, Mexico. The
installation phase has been completed, and the equipment is now in the start-up
phase. Management expects the line to begin production of the Company's
DuraCLEAN(R) polyurethane gloves in the fourth quarter of 1998.

In addition, the Company has improved the performance of its contamination
control business during fiscal year 1998 by introducing the new UltraSOLV(TM)
ScrubPAD and Chamber Cleaning Kit for maintenance of equipment used in the
industrial electronics industry, increasing sales of the UltraSOLV(TM) Rollers
to a major computer disk drive manufacturer, and reducing production costs by
moving some manufacturing operations to Tijuana, Mexico. As a result, sales of
contamination control products are up 13% and gross profit is up 16% for the
first nine months of fiscal year 1998 versus the same period in 1997.

From time to time the Company may report, through its press releases and/or
Securities and Exchange Commission filings, certain forward-looking statements
that are subject to risks and uncertainties. Important factors that could cause
actual results to differ materially from those projected by such forward-looking
statements are set forth in Exhibit 99 to the Company's Annual Report on Form
10-KSB for the fiscal year ended November 30, 1996. These include operating
losses, liquidity, reliance on major distributors, new product development,
competition, technological change, patents, trade secrets, product liability,
dependence on key suppliers, and dependence on key personnel.



RESULTS OF OPERATIONS

NET SALES

The Company markets its products directly to end users through an internal sales
force utilizing outside distributors. Revenue for all sales is recognized when
title transfers, generally when products are shipped.



                                       9
<PAGE>   10

Quarter

Net sales decreased by $77,000 (7.6%) to $934,000 in the third quarter of 1998
from $1,011,000 in the third quarter of 1997, due to reduced shipments of
contamination control wipers which offset increases in sales of other
contamination control products, including swabs, rollers, and scrub pads.

Nine Months

Net Sales increased by $417,000 (16.0%) to $3,019,000 in the first nine months
of 1998 from $2,602,000 in the same period of 1997 due to increased sales of
contamination control rollers and scrub pads, which offset lower sales of swabs
and wipers. The sales increase also was related to an abnormal inventory
reduction by a major distributor of contamination control wipers in the first
quarter of 1997.

GROSS PROFIT

Quarter

Gross profit decreased by $108,000 to $138,000 in the third quarter of 1998 from
$246,000 in the third quarter of 1997, primarily due to increased glove plant
expenses. Gross profit margin as a percent of sales decreased to 14.8% in the
third quarter of 1998 from 24.3% in the third quarter of 1997. Excluding the
impact of the glove sales and the related cost of sales on gross profit, the
gross profit margin as a percent of sales increased to 33.2% in the third
quarter of 1998 from 30.9% in the third quarter of 1997.

Nine Months

Gross profit decreased by $44,000 to $582,000 in the first nine months of 1998
from $626,000 in the same period of 1997, primarily due to increased glove plant
expenses. Gross profit margin as a percent of sales decreased to 19.3% in the
first nine months of 1998 from 24.1% in the same period of 1997. Excluding the
impact of the glove sales and the related cost of sales on gross profit, the
gross profit margin as a percent of sales increased to 32.7% in the first nine
months of 1998 from 32.1% in the first nine months of 1997.


SELLING, GENERAL AND ADMINISTRATIVE EXPENSES

Selling, general and administrative expenses include additional costs related to
the Company's marketing activities and administrative costs (such as executive
and office salaries, related payroll expenses, investor relations, professional
fees, supplies and utilities).

Selling, general and administrative expenses increased by $75,000 (13.3%) to
$562,000 in the third quarter of 1998 from $487,000 in the third quarter of
1997. In the first nine months of 1998, selling, general and administrative
expenses increased by $245,000 (17.9%) to $1,615,000 from $1,370,000 in the same
period of 1997.
The increase in both periods was primarily due to additional personnel expenses.


RESEARCH AND DEVELOPMENT

Research and development expenses decreased $83,000 (67.5%) to $40,000 in the
third quarter of 1998 from $123,000 in the third quarter of 1997. In the first
nine months of 1998, research and development expenses decreased by $124,000
(39.6%) to $189,000 from $313,000 in the same period of 1997. The decline in
both periods was primarily due to decreased project expenses.



                                       10
<PAGE>   11

As a percentage of sales, research and development expenses were 4.4% in the
third quarter of 1998, compared to 12.2% in the third quarter of 1997. For the
first nine months of 1998, research and development expenses as a percentage of
sales were 6.3%, compared to 12.0% in the same period of 1997.


INTEREST INCOME (EXPENSE), NET

The Company reported higher interest expense in the third quarter and nine
months of 1998 versus the same period of 1997 due to increased debt outstanding.
The interest expense was related primarily to the line of credit due to Trilon
Dominion Partners, LLC. (see Note 4).

INCOME TAXES

For the quarters and nine months ended August 31, 1998 and August 31, 1997, the
Company sustained losses for both financial reporting and income tax purposes. A
tax provision of $1,000 related to state income taxes was recorded in the
financial statements for 1998 and 1997.


LIQUIDITY AND CAPITAL RESOURCES

Management assesses the Company's liquidity by its ability to generate cash to
fund its operations. Significant factors in the management of liquidity are:
funds generated by operations; levels of accounts receivable, inventories,
accounts payable and capital expenditures; adequate lines of credit; and
financial flexibility to attract long-term capital on satisfactory terms.

During 1997 and the first nine months of 1998, the Company has not generated
sufficient cash from operations to fund its working capital and equipment
purchase requirements. Net cash used in operating activities was $2,274,000 in
the first nine months of 1998 versus net cash used in operating activities of
$1,369,000 in the first nine months of 1997. The increase in the cash used in
operating activities was due to an increase in the net loss primarily due to
higher interest expense, payments on accounts payable and a reduction in
interest payable related to the Amended Agreement with Trilon Dominion.

Net cash used in investing activities was $1,783,000 in the first nine months of
1998, versus net cash used in investing activities of $183,000 in the first nine
months of 1997. The increase in cash used resulted from the purchase of glove
production equipment.

Net cash provided by financing activities was $3,947,000 in the first nine
months of 1998 versus $1,500,000 in the first nine months of 1997. The debt
financing in both years was obtained from Trilon Dominion Partners, LLC.

On January 5, 1996, the Company and Trilon Dominion entered into an Agreement
for a credit line of $1,000,000 secured by the Company's assets. Under the terms
of the Agreement, the principal was due on June 30, 1996 and the interest was
payable monthly at a rate of prime plus 3.75%. The Agreement was amended on June
30, 1996, September 30, 1996, April 15, 1997, and September 19, 1997 to a total
credit line of $4 million and a termination date of June 30, 1998. See Note 4 to
the financial statements for details of the Agreement and Amendments.

On January 7, 1998, February 17, 1998, and March 10, 1998 the Company and Trilon
Dominion completed Demand Notes, each for $250,000 at an interest rate of
12.25%, to fund the Company's ongoing operations until a new credit facility
could be completed.



                                       11
<PAGE>   12

On March 31, 1998 the Company and Trilon Dominion completed an Amended and
Restated Credit Agreement and Revolving Line of Credit (the "Amended Agreement")
which included the principal of $4,000,000 from the previous Agreement and
Amendments, the principal of $750,000 from the three Demand Notes, the accrued
interest and management fees of $543,297 on the Agreement and Notes, and a new
credit line commitment of $2,200,000. Under the terms of the Amended Agreement,
the principal of $7,493,297 is due on December 31, 1998, and the interest is
payable quarterly at an annual rate of 11.5%. In connection with the Amended
Agreement, the Company paid Trilon Dominion $100,000 for debt issuance costs and
issued Trilon Dominion a five-year warrant that entitles Trilon Dominion to
purchase 650,000 shares of the Company's authorized but unissued common stock at
an exercise price of $0.41 per share, subject to adjustment to protect against
dilution. The warrant is exercisable immediately and expires on March 31, 2003.
The Company recorded the estimated fair value of the warrant to purchase 650,000
shares as a debt issuance cost in the second quarter of fiscal year 1998 at
$0.07 per underlying common share. Also, under the terms of the Amended
Agreement, the Company issued Trilon Dominion a second five-year warrant which
will become exercisable if the Company does not pay the principal and interest
due on December 31, 1998 and expires on March 31, 2003. The second warrant
entitles Trilon Dominion to purchase 250,000 shares of the Company's authorized
but unissued common stock at an exercise price equal to the market price on
December 31, 1998.

On August 5, 1998, September 1, 1998, and October 1, 1998, the Company and
Trilon Dominion completed Demand Notes at an interest rate of 11.5% to fund the
Company's ongoing operations. The August and September notes each were in the
amount of $220,000 and the October note was in the amount of $250,000.



                                       12
<PAGE>   13

PART II - OTHER INFORMATION

ITEM 1.    LEGAL PROCEEDINGS:

           For information regarding legal proceedings, refer to the information
           contained in the Company's annual report on Form 10-KSB for the
           fiscal year ended November 30, 1997 under the heading, "Legal
           Proceedings" and Note 6 to the financial statements therein.

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 INFORMATION:

            None

ITEM 6.    EXHIBITS AND REPORTS ON FORM 8-K

           (a)  EXHIBITS:

           10.116     Employment Agreement dated May 18, 1998, between the
                      Registrant and Mr. Paul Fennell.

           10.117     Sales Representative Agreement dated June 1, 1998 between
                      the Registrant and Exxustech, Inc.

           10.118     Exclusive Product Supply Agreement dated July 28, 1998
                      between the Registrant and Time Release Sciences, Inc.

           10.119     Independent Consultant Agreement dated August 5, 1998
                      between the Registrant and Percura, Inc.

           10.120     Employment Agreement dated August 17, 1998 between the
                      Registrant and Mr. Kevin Mulvihill.

           10.121     Demand Note dated August 5, 1998 between the Registrant
                      and Trilon Dominion Partners, L.L.C.

           10.122     Demand Note dated September 1, 1998 between the Registrant
                      and Trilon Dominion Partners, L.L.C.

           10.123     Demand Note dated October 1, 1998 between the Registrant
                      and Trilon Dominion Partners, L.L.C.

           (b)  REPORTS ON FORM 8-K:

                None



                                       13
<PAGE>   14

SIGNATURES

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

                                            WILSHIRE TECHNOLOGIES, INC.



Dated:  October 12, 1998                    By: /s/ James W. Klingler
                                               ---------------------------------
                                               James W. Klingler
                                               Chief Financial Officer
                                               (Principal Financial Officer and
                                               Principal Accounting Officer)



                                       14
<PAGE>   15

                                  EXHIBIT INDEX



<TABLE>
<CAPTION>
Exhibit                                                                                  Sequentially
Number                                         Description                               Numbered Page
------                                         -----------                               -------------
<S>                 <C>                                                                  <C>
10.116              Employment Agreement dated May 18, 1998, between the                       16
                    Registrant and Mr. Paul Fennell.

10.117              Sales Representative Agreement dated June 1, 1998                          24
                    between the Registrant and Exxustech, Inc.

10.118              Exclusive Product Supply Agreement dated July 28, 1998                     34
                    between the Registrant and Time Release Sciences, Inc.

10.119              Independent Consultant Agreement dated August 5, 1998                      42
                    between the Registrant and Percura, Inc.

10.120              Employment Agreement dated August 17, 1998 between the                     47
                    Registrant and Mr. Kevin Mulvihill.

10.121              Demand Note dated August 5, 1998 between the Registrant and                56
                    Trilon Dominion Partners, L.L.C.

10.122              Demand Note dated September 1, 1998 between the Registrant and             57
                    Trilon Dominion Partners, L.L.C.

10.123              Demand Note dated October 1, 1998 between the Registrant and               58
                    Trilon Dominion Partners, L.L.C.
</TABLE>



                                       15