----

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| x      |  Quarterly Report Under Section 13 or 15(d) of The Securities Exchange Act of 1934 for the quarterly period ended: September 30, 2010.                              |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                     |
| o      |  Transition  Report  Under  Section 13 or 15(d) of the Exchange Act for the transition period from ______________ to____________ |

|  Florida                                                   |   |    59-3029743                             |
|----------------------------------------------------------------------|--------|----------------------------------------------------------|
|  (State or other jurisdiction of incorporation or organization) |   |    (IRS Employer Identification No.) |
|                                                                 |   |                                                     |

----

----

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| ASSETS                                                             |   |
|--------------------------------------------------------------------|--------|
|                                                               |   | September 30, 2010 |   |   | December 31, 2009 |   |
|                                                               |   | (Unaudited) |   |   |   |   |
| CURRENT ASSETS                                                     |   |   |   |   |   |   |
|   Cash and cash equivalents                              |   | $ | 8,946 |   |   | $ | 338,872 |   |
|   Accounts receivable                                    |   |   | 124,399 |   |   |   | 40,425 |   |
|   Inventory                                              |   |   | 185,060 |   |   |   | 185,262 |   |
|   Other current assets                                   |   |   | 1,766 |   |   |   | - |   |
|       Total current assets           |   |   | 320,171 |   |   |   | 564,559 |   |
|                                                               |   |   |   |   |   |   |   |   |
| PROPERTY AND EQUIPMENT, NET                                        |   |   | 1,255,441 |   |   |   | 466,537 |   |
|                                                               |   |   |   |   |   |   |   |   |
| OTHER ASSETS                                                       |   |   |   |   |   |   |   |   |
|   Note receivable                                        |   |   | 9,894 |   |   |   | 9,894 |   |
|   Stockholder loan                                       |   |   | - |   |   |   | 469 |   |
|   Intangibles, net                                       |   |   | 9,750 |   |   |   | 4,000 |   |
|   Deferred tax asset                                     |   |   | 225,000 |   |   |   | 250,000 |   |
|       Total other assets             |   |   | 244,644 |   |   |   | 263,343 |   |
|                                                               |   |   |   |   |   |   |   |   |
| TOTAL ASSETS                                                       |   | $ | 1,820,256 |   |   | $ | 1,295,459 |   |
|                                                               |   |   |   |   |   |   |   |   |
| LIABILITIES AND STOCKHOLDERS' EQUITY                               |   |
|                                                               |   |   |   |   |   |   |   |   |
| CURRENT LIABILITIES                                                |   |   |   |   |   |   |   |   |
|   Accounts payable and accrued expenses                  |   | $ | 86,794 |   |   | $ | 27,676 |   |
|   Current portion, long-term debt                        |   |   | 12,606 |   |   |   | - |   |
|       Total current liabilities      |   |   | 99,400 |   |   |   | 27,676 |   |
|                                                               |   |   |   |   |   |   |   |   |
| LONG-TERM DEBT                                                     |   |   |   |   |   |   |   |   |
|   Mortgage note payable                                  |   |   | 427,394 |   |   |   | - |   |
|   Accrued stock compensation                             |   |   | - |   |   |   | 66,000 |   |
|                                                               |   |   | 427,394 |   |   |   | 66,000 |   |
|                                                               |   |   |   |   |   |   |   |   |
| STOCKHOLDERS' EQUITY                                               |   |   |   |   |   |   |   |   |
|   Common stock, par value $.0001 per share,              |   |   |   |   |   |   |   |   |
|   100,000,000 shares authorized, 33,953,928 and          |   |   |   |   |   |   |   |   |
|   31,103,822 shares issued and outstanding, respectively |   |   | 3,395 |   |   |   | 3,110 |   |
|   Preferred stock, par value $.0001 per share,           |   |   |   |   |   |   |   |   |
|     5,000,000 shares authorized;               |   |   | - |   |   |   | - |   |
|   Series A, 1 share issued and outstanding               |   |   | - |   |   |   | - |   |
|   Series D, no shares issued and outstanding             |   |   | - |   |   |   | - |   |
|   Additional paid-in capital                             |   |   | 3,677,657 |   |   |   | 3,483,427 |   |
|   Accumulated deficit                                    |   |   | (2,378,362 | ) |   |   | (2,275,526 | ) |
|   Treasury stock, at cost -- 162,780 shares              |   |   | (9,228 | ) |   |   | (9,228 | ) |
|       Total stockholders' equity     |   |   | 1,293,462 |   |   |   | 1,201,783 |   |
|                                                               |   |   |   |   |   |   |   |   |
| TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                         |   | $ | 1,820,256 |   |   | $ | 1,295,459 |   |

----

|                                                   |   | Three Months EndedSeptember 30, |       |   | Nine Months EndedSeptember 30, |   |
|--------------------------------------------------------|--------|---------------------------------|------------|--------|--------------------------------|--------|
|                                                   |   | 2010                            |       |   | 2009                           |   |   | 2010 |   |   | 2009 |   |
|                                                   |   |                            |       |   |                           |   |   |   |   |   |   |   |
| REVENUES                                               |   |                            |       |   |                           |   |   |   |   |   |   |   |
|   Product sales                              |   | $                               | 196,536    |   |                           | $      | 215,333 |   |   | $ | 520,704 |   |   | $ | 460,277 |   |
|   Consulting income                          |   |                            | -          |   |                           |   | - |   |   |   | 7,280 |   |   |   | - |   |
|                                                   |   |                            | 196,536    |   |                           |   | 215,333 |   |   |   | 527,984 |   |   |   | 460,277 |   |
|                                                   |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| EXPENSES                                               |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
|   Personnel                                  |   |                            | 103,441    |   |                           |   | 113,857 |   |   |   | 282,038 |   |   |   | 306,082 |   |
|   Cost of products sold                      |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
|     (exclusive of                  |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
|     depreciation and               |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
|     amortization, shown            |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
|     separately below)              |   |                            | 33,173     |   |                           |   | 39,228 |   |   |   | 74,450 |   |   |   | 72,132 |   |
|   Consulting stock expense                   |   |                            | -          |   |                           |   | - |   |   |   | 66,000 |   |   |   | - |   |
|   Professional fees                          |   |                            | 35,258     |   |                           |   | 16,527 |   |   |   | 110,315 |   |   |   | 74,127 |   |
|   Office and other                           |   |                            | 28,911     |   |                           |   | 7,204 |   |   |   | 48,140 |   |   |   | 21,605 |   |
|   Amortization and                           |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
|   Depreciation                               |   |                            | 4,996      |   |                           |   | 5,147 |   |   |   | 15,318 |   |   |   | 15,542 |   |
|   Freight and shipping                       |   |                            | 4,887      |   |                           |   | 3,425 |   |   |   | 12,797 |   |   |   | 7,562 |   |
|                                                   |   |                            | 210,666    |   |                           |   | 185,388 |   |   |   | 609,058 |   |   |   | 497,050 |   |
|                                                   |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
|   Operating income (loss)                    |   |                            | (14,130    | )      |                           |   | 29,945 |   |   |   | (81,074 | ) |   |   | (36,773 | ) |
|                                                   |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| OTHER INCOME (EXPENSE)                                 |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
|   Investment and other                       |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
|      income                   |   |                            | 2,929      |   |                           |   | 2,790 |   |   |   | 4,069 |   |   |   | 5,902 |   |
|   Interest expense                           |   |                            | (831       | )      |                           |   | - |   |   |   | (831 | ) |   |   | - |   |
|       Total other income |   |                            | 2,098      |   |                           |   | 2,790 |   |   |   | 3,238 |   |   |   | 5,902 |   |
|                                                   |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| NET INCOME (LOSS) BEFORE                          |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| INCOME TAXES                                           |   |                            | (12,032    | )      |                           |   | 32,735 |   |   |   | (77,836 | ) |   |   | (30,871 | ) |
|                                                   |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
|   Income Taxes                               |   |                            | (25,000    | )      |                           |   | - |   |   |   | (25,000 | ) |   |   | - |   |
|                                                   |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| NET INCOME (LOSS)                                      |   | $                               | (37,032    | )      |                           | $      | 32,735 |   |   | $ | (102,836 | ) |   | $ | 30,871 |   |
|                                                   |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| NET INCOME (LOSS) PER                                  |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
|  COMMON SHARE                                     |   | $                               | (0.00      | )      |                           | $      | .00 |   |   | $ | (0.00 | ) |   | $ | (0.00 | ) |
|                                                   |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
| WEIGHTED AVERAGE                                       |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
|  NUMBER OF COMMON                                 |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |
|  SHARES OUTSTANDING                               |   |                            | 33,798,919 |   |                           |   | 29,091,042 |   |   |   | 33,694,810 |   |   |   | 28,374,329 |   |
|                                                   |   |                            |       |   |                           |   |   |   |   |   |   |   |   |   |   |   |

----

|                                                                                                                                                     |   | Nine Months EndedSeptember 30, |     |
|----------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------|----------|
|                                                                                                                                                     |   | 2010                           |     |   | 2009 |   |
|                                                                                                                                                     |   |                           |     |   |   |   |
| CASH FLOWS FROM OPERATING ACTIVITIES                                                                                                                     |   |                           |     |   |   |   |
|   Net income (loss)                                                                                                                            |   | $                              | (102,836 | ) |   | $ | 30,871 |   |
|                                                                                                                                                     |   |                           |     |   |   |   |   |   |
|   Adjustments to reconcile net income (loss) to net                                                                                            |   |                           |     |   |   |   |   |   |
|   cash provided by operating activities:                                                                                                       |   |                           |     |   |   |   |   |   |
|                                                                                                                                                     |   |                           |     |   |   |   |   |   |
|     Depreciation and amortization                                                                                                    |   |                           | 15,318   |   |   |   | 15,542 |   |
|     Stock awarded to employees                                                                                                       |   |                           | 62,515   |   |   |   | 148,247 |   |
|     Stock compensation to consultant                                                                                                 |   |                           | 66,000   |   |   |   | - |   |
|     Deferred taxes                                                                                                                   |   |                           | 25,000   |   |   |   | - |   |
|     Increase or decrease in:                                                                                                         |   |                           |     |   |   |   |   |   |
|       Accounts receivable                                                                                                  |   |                           | (83,974  | ) |   |   | (59,458 | ) |
|       Inventory                                                                                                            |   |                           | 202      |   |   |   | 9,186 |   |
|       Other current assets                                                                                                 |   |                           | (1,766   | ) |   |   | - |   |
|       Accounts payable and accrued expenses                                                                                |   |                           | 59,118   |   |   |   | (32,303 | ) |
|             Total adjustments                                                                |   |                           | 142,413  |   |   |   | 81,214 |   |
|                                                                                                                                                     |   |                           |     |   |   |   |   |   |
|         NET CASH PROVIDED BY OPERATING ACTIVITIES                                                                |   |                           | 39,577   |   |   |   | 50,343 |   |
|                                                                                                                                                     |   |                           |     |   |   |   |   |   |
| CASH FLOWS FROM INVESTING ACTIVITIES                                                                                                                     |   |                           |     |   |   |   |   |   |
|   Purchase of property and equipment                                                                                                           |   |                           | (363,472 | ) |   |   | (36,804 | ) |
|   Intangible assets                                                                                                                            |   |                           | (6,500   | ) |   |   | - |   |
|   Cash loaned to related party                                                                                                                 |   |                           | -        |   |   |   | (9,894 | ) |
|                                                                                                                                                     |   |                           |     |   |   |   |   |   |
|         NET CASH USED IN INVESTING ACTIVITIES                                                                    |   |                           | (369,972 | ) |   |   | (46,698 | ) |
|                                                                                                                                                     |   |                           |     |   |   |   |   |   |
| CASH FLOWS FROM FINANCING ACTIVITIES                                                                                                                     |   |                           |     |   |   |   |   |   |
|       Payments on stockholder loan                                                                                         |   |                           | 469      |   |   |   | - |   |
|       Received from stockholder                                                                                            |   |                           | -        |   |   |   | 7,458 |   |
|       Repurchase of common stock                                                                                           |   |                           | -        |   |   |   | (9,228 | ) |
|                                                                                                                                                     |   |                           |     |   |   |   |   |   |
|         NET CASH PROVIDED BY (USED IN) FINANCING         ACTIVITIES |   |                           | 469      |   |   |   | (1,770 | ) |
|                                                                                                                                                     |   |                           |     |   |   |   |   |   |
| NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS                                                                                                     |   |                           | (329,926 | ) |   |   | 1,875 |   |
|                                                                                                                                                     |   |                           |     |   |   |   |   |   |
| CASH AND CASH EQUIVALENTS, beginning of period                                                                                                           |   |                           | 338,872  |   |   |   | 276,669 |   |
|                                                                                                                                                     |   |                           |     |   |   |   |   |   |
| CASH AND CASH EQUIVALENTS, end of period                                                                                                                 |   | $                              | 8,946    |   |   | $ | 278,544 |   |
|                                                                                                                                                     |   |                           |     |   |   |   |   |   |
| SUPPLEMENTAL DISCLOSURE OF CASH FLOW                                                                                                                     |   |                           |     |   |   |   |   |   |
|   Cash paid for interest                                                                                                                       |   | $                              | 831      |   |   | $ | - |   |
|                                                                                                                                                     |   |                           |     |   |   |   |   |   |
| SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND                                                                                                         |   |                           |     |   |   |   |   |   |
| FINANCING ACTIVITY                                                                                                                                       |   |                           |     |   |   |   |   |   |
|      Common stock awarded to employees                                                                                          |   | $                              | 62,515   |   |   | $ | 48,247 |   |
|                                                                                                                                                     |   |                           |     |   |   |   |   |   |
|      Acquisition of land and building with debt financing                                                                       |   | $                              | 440,000  |   |   | $ | - |   |

----

|   | Year EndingDecember 31, |   | Year   |    |
|--------|-------------------------|--------|--------|---------|
|   | 2011                    |   | $      | 12,606  |   |
|   | 2012                    |   |   | 13,301  |   |
|   | 2013                    |   |   | 14,034  |   |
|   | 2014                    |   |   | 14,807  |   |
|   | 2015                    |   |   | 385,252 |   |
|   | Thereafter              |   |   | -       |   |
|   |                    |   | $      | 440,000 |   |

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| EXHIBIT NO.   |   | DESCRIPTION                                                                                                                                                           |
|-------------------------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                    |   |                                                                                                                                                                  |
| 31.1                    |   | Certification of Principal Executive and Principal Financial Officer pursuant to Exchange Act rule 13(a)-14(a) (under Section 302 of the Sarbanes-Oxley Act of 2002). |
|                    |   |                                                                                                                                                                  |
| 32.1                    |   | Certification of Principal Executive and Principal Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.                                       |

----

|                                                              | CTD HOLDINGS, INC. |                                                    |
|-------------------------------------------------------------------|--------------------|---------------------------------------------------------|
|                                                              |               |                                                    |   |
| Date: November 16, 2010        |               | /s/ C.E. Rick Strattan                                  |   |
|                                                              |               | C.E. Rick Strattan                                      |   |
|                                                              |               | Chief Executive Officer                                 |   |
|                                                              |               | (principal executive, financial and accounting officer) |   |