<PAGE>   1
===============================================================================

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

                                ---------------

                                   FORM 10-Q

                                ---------------


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

               For the Quarterly Period Ended September 30, 1999

                                       OR

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

                        Commission file number 333-38157

                            FIRST WAVE MARINE, INC.
             (Exact name of Registrant as specified in its charter)


         DELAWARE                                        76-0461352
(State or other jurisdiction of             (I.R.S. Employer Identification No.)
incorporation or organization)

           2102 BROADWAY
           HOUSTON, TEXAS                                 77012
(Address of principal executive offices)                (Zip Code)


       Registrant's telephone number, including area code: (713) 847-4600

      Indicate by check mark whether the Registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 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. [X} Yes  [ ] No

      Number of shares of common stock outstanding as of November 11, 1999:
11,756,955

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

<PAGE>   2

                            FIRST WAVE MARINE, INC.

                               INDEX TO FORM 10-Q
                        FOR THE THREE MONTH PERIOD ENDED
                               SEPTEMBER 30, 1999


<TABLE>
<CAPTION>
                                                                               PAGE
                                                                               ----
<S>       <C>                                                                   <C>
PART I:   FINANCIAL INFORMATION

Item 1.   Financial Statements

              Consolidated Balance Sheets - September 30, 1999 and
                  December 31, 1998                                             1

              Consolidated Statements of Operations for the Three Month
                  and Nine Month Periods Ended September 30, 1999 and 1998      2

              Consolidated Statements of Cash Flows for the Nine Month
                  Periods Ended September 30, 1999 and 1998                     3

              Notes to Unaudited Consolidated Financial Statements              4

Item 2.   Management's Discussion and Analysis of Financial Condition
                  and Results of Operations                                     5

Item 3.   Quantitative and Qualitative Disclosures about Market Risk            9


PART II:  OTHER INFORMATION

Item 1.   Legal Proceedings                                                    10

Item 6.   Exhibits and Reports on Form 8-K                                     10
</TABLE>


<PAGE>   3

                         PART I: FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

                    FIRST WAVE MARINE, INC. AND SUBSIDIARIES
                          CONSOLIDATED BALANCE SHEETS
                     (In thousands, except per share data)

<TABLE>
<CAPTION>
                                                                   September 30,     December 31,
                               ASSETS                                  1999              1998
                                                                  --------------    --------------
                                                                    (Unaudited)
<S>                                                               <C>               <C>
Current assets:
 Cash and cash equivalents                                        $        5,925    $        1,654
 Investments available-for-sale                                               --             2,102
 Investments held-to-maturity                                                 --             6,262
 Accounts receivable, less allowance of $202 in 1999
  and $232 in 1998                                                        12,935            19,369
 Inventories                                                                 816               857
 Costs and estimated earnings in excess of billings on
  uncompleted contracts                                                    1,958             2,615
 Prepaids and other                                                        2,210               785
 Income tax receivable                                                     2,102               492
 Deferred income taxes                                                     3,010               826
                                                                  --------------    --------------
  Total current assets                                                    28,956            34,962
Property and equipment, net                                               74,006            73,067
Financing costs, net                                                       3,670             4,021
Goodwill and other intangibles, net                                       14,835            15,214
Deposits and other                                                         1,196             1,119
                                                                  --------------    --------------
                                                                  $      122,663    $      128,383
                                                                  ==============    ==============

                         LIABILITIES AND STOCKHOLDERS' EQUITY

Current liabilities:
 Accounts payable                                                 $        4,113    $        2,944
 Accrued liabilities                                                       7,239             6,041
 Billings in excess of costs and estimated earnings on
  uncompleted contracts                                                      767               255
 Accrued interest payable                                                  2,064             4,125
 Current portion of long-term debt and capital lease obligation              234               167
 Notes payable                                                               187               199
                                                                  --------------    --------------
  Total current liabilities                                               14,604            13,731
Long-term obligations                                                      3,959             3,042
Subordinated debt                                                          6,328             6,328
Senior notes                                                              90,000            90,000
Deferred income taxes                                                      5,732             5,727
Other liabilities                                                          1,345             1,279
Commitments and contingencies                                                 --                --
Stockholders' equity:
  Preferred stock, $.01 par value, 2,000 shares
   authorized, no shares issued                                               --                --
  Common stock, $.01 par value, 21,000 shares
   authorized, 11,757 shares issued and outstanding
   at September 30, 1999 and December 31, 1998                               118               118
  Additional paid-in capital                                               3,490             3,490
  Retained earnings (deficit)                                             (2,913)            4,668
                                                                  --------------    --------------
                                                                             695             8,276
                                                                  --------------    --------------
                                                                  $      122,663    $      128,383
                                                                  ==============    ==============
</TABLE>


       The accompanying notes are an integral part of these statements.


                                       1

<PAGE>   4
                    FIRST WAVE MARINE, INC. AND SUBSIDIARIES
                     CONSOLIDATED STATEMENTS OF OPERATIONS
            For the Three and Nine Month Periods Ended September 30,
                     (In thousands, except per share data)
                                  (Unaudited)



<TABLE>
<CAPTION>
                                                          Three Months Ended      Nine Months Ended
                                                              September 30,         September 30,
                                                           1999        1998       1999        1998
                                                         --------    --------   --------    --------
<S>                                                      <C>         <C>        <C>         <C>
Revenues:
 Repair and upgrades                                     $ 12,070    $ 18,401   $ 46,100    $ 49,097
 New construction                                           6,811       5,830     14,407       9,572
 Environmental services                                       953       1,229      3,291       3,937
                                                         --------    --------   --------    --------
                                                           19,834      25,460     63,798      62,606
Cost of revenues                                           17,021      17,297     52,245      41,228
                                                         --------    --------   --------    --------
 Gross profit                                               2,813       8,163     11,553      21,378
General and administrative expenses                         5,573       4,467     15,685      11,906
                                                         --------    --------   --------    --------
 Income from operations                                    (2,760)      3,696     (4,132)      9,472
Interest expense - net                                      2,568       2,400      7,606       6,464
                                                         --------    --------   --------    --------
 Income before income taxes and extraordinary item         (5,328)      1,296    (11,738)      3,008
Income tax expense (benefit)                               (1,896)        508     (4,157)      1,237
                                                         --------    --------   --------    --------
 Income before extraordinary item                          (3,432)        788     (7,581)      1,771
Extraordinary item-loss on extinguishment of debt, net
 of income tax benefit of $559                                 --          --         --        (933)
                                                         --------    --------   --------    --------
 Net income (loss)                                       $ (3,432)   $    788   $ (7,581)   $    838
                                                         ========    ========   ========    ========

Basic and diluted earnings per share:
 Before extraordinary item                               $  (0.29)   $   0.07   $  (0.64)   $   0.15
 Extraordinary item                                            --          --         --       (0.08)
                                                         --------    --------   --------    --------
 Net income (loss)                                       $  (0.29)   $   0.07   $  (0.64)   $   0.07
                                                         ========    ========   ========    ========

Weighted-averaged shares:
 Basic and diluted                                         11,757      11,757     11,757      11,757
                                                         ========    ========   ========    ========
</TABLE>





       The accompanying notes are an integral part of these statements.




                                       2
<PAGE>   5

                    FIRST WAVE MARINE, INC. AND SUBSIDIARIES
                     CONSOLIDATED STATEMENTS OF CASH FLOWS
                 For the Nine Month Periods Ended September 30,
                                 (In thousands)
                                  (Unaudited)

<TABLE>
<CAPTION>
                                                                                        1999             1998
                                                                                     -----------      -----------
<S>                                                                                  <C>              <C>
Cash flows from operating activities:
 Net income (loss)                                                                   $    (7,581)     $       838
 Adjustments to reconcile net income (loss) to net cash provided by
     (used in) operating activities:
   Depreciation and amortization                                                           4,836            2,956
   Accretion of discounts on investments held-to-maturity                                    (33)            (403)
   Provision for doubtful accounts                                                            91              159
   Loss (gain) on sale of property and equipment                                              13               (8)
   Write-off of property and equipment                                                       623              124
   Write-off of financing costs                                                               --              469
   Deferred income tax provision                                                          (2,179)             354
   Changes in assets and liabilities, net of effects from acquisitions:
     Accounts receivable                                                                   6,343          (11,953)
     Inventories                                                                              41               72
     Costs and estimated earnings in excess of billings on uncompleted contracts             657           (2,069)
     Other assets                                                                         (1,425)             713
     Income tax receivable                                                                (1,610)            (955)
     Deposits and other                                                                      (77)            (479)
     Accounts payable                                                                      1,169            1,614
     Accrued liabilities                                                                   1,198            2,796
     Billings in excess of costs and estimated earnings on uncompleted contracts             512              489
     Accrued interest payable                                                             (2,061)           1,013
     Other liabilities                                                                        66              767
                                                                                     -----------      -----------
         Net cash provided by (used in) operating activities                                 583           (3,503)
                                                                                     -----------      -----------
Cash flows from investing activities:
 Acquisition of property and equipment                                                    (4,783)         (16,863)
 Acquisition of businesses, net of cash acquired                                              --          (19,399)
 Purchase of investments held-to-maturity                                                     --          (10,792)
 Proceeds from maturity of investments held-to-maturity                                    6,274            4,950
 Proceeds from sales of investments available-for-sale                                     2,123               --
 Purchase of investments available-for-sale                                                   --           (2,000)
 Proceeds from sales of property and equipment                                               165               31
 Asset acquisition costs                                                                      --              (58)
                                                                                     -----------      -----------
        Net cash provided by (used in) investing activities                                3,779          (44,131)
                                                                                     -----------      -----------
Cash flows from financing activities:
 Proceeds from issuance of debt                                                               --           90,000
 Payments on long-term debt and notes payable                                                (91)         (33,411)
 Net payments on revolving lines of credit                                                    --           (1,027)
 Financing costs                                                                              --           (3,502)
                                                                                     -----------      -----------
        Net cash (used in) provided by financing activities                                  (91)          52,060
                                                                                     -----------      -----------
        Net increase in cash and cash equivalents                                          4,271            4,426
Cash and cash equivalents at beginning of period                                           1,654              378
                                                                                     -----------      -----------
Cash and cash equivalents at end of period                                           $     5,925      $     4,804
                                                                                     ===========      ===========
</TABLE>


       The accompanying notes are an integral part of these statements.



                                       3
<PAGE>   6

                    FIRST WAVE MARINE, INC. AND SUBSIDIARIES
              NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS
                     (In thousands, except per share data)


Note 1      In the opinion of management the accompanying unaudited
            consolidated financial statements reflect all adjustments necessary
            to present fairly the financial position of First Wave Marine, Inc.
            ("First Wave" or the "Company") as of September 30, 1999, the
            results of operations for the three and nine month periods ended
            September 30, 1999 and 1998, and cash flows for the nine month
            periods ended September 30, 1999 and 1998. All such adjustments are
            of a normal recurring nature. These interim financial statements
            should be read in conjunction with the audited financial statements
            and related notes included in the Company's Annual Report on
            Form 10-K for the year ended December 31, 1998.

Note 2      The consolidated financial statements include the accounts of
            First Wave and its wholly-owned subsidiaries. All material
            intercompany transactions are eliminated in consolidation.

Note 3      The results of operations for the three and nine month periods
            ended September 30, 1999 are not necessarily indicative of the
            results to be expected for the entire year.

Note 4      Legal Proceedings - On August 11, 1999, one of the Company's
            subsidiaries, Newpark Shipbuilding-Brady Island, Inc.
            ("Newpark-Brady"), received an Information from the State of Texas
            charging Newpark-Brady with a one count water pollution
            misdemeanor, for allegedly discharging industrial waste from a
            barge in violation of Texas Water Code Section 26.121(a)(1) on or
            about July 30, 1997. Newpark-Brady is presently investigating the
            matter and plans to vigorously defend itself against the charge.

            On August 13, 1998, Newpark-Brady was the subject of a search
            warrant executed by a multi-agency environmental task force. The
            government's search warrant was primarily directed at the facility's
            wastewater treatment plant. The Board of Directors of the Company
            authorized outside legal counsel to conduct an internal corporate
            investigation of the matters raised by the agencies in their
            investigation. In addition, the Company promptly undertook
            aggressive measures to assure environmental compliance. The internal
            investigation concluded that no officer or director of Newpark-Brady
            or the Company participated in or had knowledge of any
            non-compliance. The investigation did find some evidence of past
            instances of non-compliance with environmental laws and regulations
            in connection with Newpark-Brady's operation and monitoring of the
            facility's wastewater treatment system. A state grand jury
            investigation into these matters began in February 1999. In April
            1999, for reasons apparently no more significant than prosecutorial
            availability, the investigation was transferred to the federal
            government. At this time, the Company cannot estimate the impact
            that may result from enforcement action, if any, related to the
            government's investigation. The Company does not believe that any
            aspects of the matters described above will subject the parent
            company, First Wave Marine, Inc., to criminal liability.

Note 5      Year 2000 - The Year 2000 issue relates to limitations in
            computer systems and applications that may prevent proper
            recognition of the Year 2000. The potential effect of the Year 2000
            issue on the Company and its business partners will not be fully
            determinable until the Year 2000 and thereafter. If Year 2000
            modifications were not properly completed either by the Company or
            entities with which the Company conducts business, the Company's
            revenues and financial condition could be adversely impacted.




                                       4
<PAGE>   7

ITEM 2.     MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
            RESULTS OF OPERATIONS

            This report on Form 10-Q contains "forward-looking statements"
            within the meaning of Section 27A of the Securities Act of 1933, as
            amended, and Section 21E of the Securities Exchange Act of 1934, as
            amended. All statements other than statements of historical facts
            included in this Form 10-Q, including statements in this
            "Management's Discussion and Analysis of Financial Condition and
            Results of Operations," as well as statements as may be made by
            management, orally or in writing related thereto, are
            forward-looking statements. Forward-looking statements generally
            are accompanied by words such as "anticipate", "believe",
            "estimate", "expect" or similar statements. Such forward-looking
            statements are subject to certain risks, uncertainties and
            assumptions, including (i) risks of reduced levels of demand for
            the Company's services resulting from reduced levels of capital
            expenditures of the Company's customers in the offshore drilling
            rig, offshore support vessel, offshore barge, ship and inland
            marine industries, (ii) risks related to the expansion of
            operations, (iii) operating risks relating to conversion and repair
            of drilling rigs, offshore support vessels, offshore barges, ships
            and inland marine vessels, (iv) contract bidding risks, (v) risks
            related to dependence on significant customers, (vi) risks related
            to the highly leveraged posture of the Company, and (vii) risks
            related to regulatory and environmental matters including risks
            relating to the ongoing environmental investigation of one of the
            Company's subsidiaries. Should one or more of these risks or
            uncertainties materialize, or should underlying assumptions prove
            incorrect, actual results may vary materially from those
            anticipated, estimated or projected. Although the Company believes
            that the expectations reflected in such forward-looking statements
            are reasonable, no assurance can be given that such expectations
            will prove to have been correct.

            The following discussion of the Company's financial condition,
            results of operations, liquidity and capital resources should be
            read in conjunction with the Company's Consolidated Financial
            Statements and the Notes to the Consolidated Financial Statements
            included elsewhere in this report.

            GENERAL

            The Company's business is primarily derived from providing repair
            and upgrade services to inland and offshore marine vessels,
            including barges, boats, drilling rigs and ships. To a lesser
            extent the Company engages in new construction of such inland and
            offshore marine vessels.

            First Wave currently operates three shipyards in the Houston, Texas
            area (Brady Island, Greens Bayou and Pasadena) and three in the
            Galveston, Texas area (East Pelican Island, West Pelican Island and
            Galveston Island). The Company also provides related environmental
            services, including cleaning, degassing and wastewater treatment.
            The Company currently employs approximately 1,100 employees at its
            six shipyards.

            PENDING PROCEEDINGS

            On August 11, 1999, one of the Company's subsidiaries,
            Newpark-Brady, received an Information from the State of Texas
            charging Newpark-Brady with a one count water pollution misdemeanor,
            for allegedly discharging industrial waste from a barge in violation
            of Texas Water Code Section 26.121(a)(1) on or about July 30, 1997.
            Newpark-Brady is presently investigating the matter and plans to
            vigorously defend itself against the charge.

            On August 13, 1998, Newpark-Brady was the subject of a search
            warrant executed by a multi-agency environmental task force. The
            government's search warrant was primarily directed at the
            facility's wastewater treatment plant. The Board of Directors of
            the Company authorized outside legal counsel to conduct an internal
            corporate investigation of the matters raised by the agencies in
            their investigation. In addition, the Company promptly undertook
            aggressive measures to assure environmental compliance. The
            internal investigation concluded that no



                                       5
<PAGE>   8
            officer or director of Newpark-Brady or the Company participated in
            or had knowledge of any non-compliance. The investigation did find
            some evidence of past instances of non-compliance with environmental
            laws and regulations in connection with Newpark-Brady's operation
            and monitoring of the facility's wastewater treatment system. A
            state grand jury investigation into these matters began in February
            1999. In April 1999, for reasons apparently no more significant than
            prosecutorial availability, the investigation was transferred to the
            federal government. At this time, the Company cannot estimate the
            impact that may result from enforcement action, if any, related to
            the government's investigation. The Company does not believe that
            any aspects of the matters described above will subject the parent
            company, First Wave Marine, Inc., to criminal liability.

            RESULTS OF OPERATIONS

            Comparison of the three months ended September 30, 1999 to the
            three months ended September 30, 1998.

            Revenues decreased 22% to $19.8 million in the 1999 period,
            compared with $25.5 million in the 1998 period, primarily due to
            poor market conditions in all sectors served by the Company. The
            decline in oilfield related work has been the result of a reduction
            in the capital budgets of drilling rig contractors and offshore
            support vessel operators due to the low prices of oil during 1998
            continuing through early 1999. The decline in barge repair work was
            due to a combination of reduced maintenance spending stemming from
            a weaker market for commodities transportation and deferred
            maintenance spending arising out of the market consolidation of
            barge operators. Additionally, declines during 1998 and early 1999
            in the prices of oil and natural gas had a negative impact on barge
            operators and their capital budgets. As a result of difficult
            market conditions, billable labor hours related to repair work were
            down significantly.

            Cost of revenue as a percentage of total revenues was 86% in the
            1999 period compared to 68% in the 1998 period. The cost of revenue
            percentage increased primarily due to the change in the mix of
            work.

            Gross profit decreased 66% to $2.8 million in the 1999 period from
            $8.2 million in the 1998 period. The gross profit margin decreased
            to 14% in the 1999 period from 32% in the 1998 period, due in part
            to the increase in lower margin new construction revenue, the
            decrease in higher margin inland boat and barge repair revenue and
            the decrease in higher margin oilfield related repair and
            conversion work as percentages of total revenues. The declines in
            revenue were combined with substantial margin pressure in all
            market sectors served. Additionally, the Company performed work at
            lower rates in order to maintain certain volume levels and retain
            its work force.

            General and administrative expenses increased 25% to $5.6 million
            in the 1999 period from $4.5 million in the 1998 period. General
            and administrative expenses as a percentage of revenues for the
            1999 period represented 28% of total revenues, as compared to 18%
            for the 1998 period. The increase in general and administrative
            expenses was due to increased staffing at start-up facilities and
            at the corporate organization level, legal expenses for the ongoing
            environmental investigations, and expenses related to development
            of the Company's strategy for future expansion. During the current
            period the Company incurred costs of approximately $380,000 related
            to acquisition and equity offering efforts, and wrote-off
            approximately $310,000 related to the cancellation of the purchase
            of certain equipment.

            Net interest expense increased to $2.6 million in the 1999 period
            from $2.4 million in the 1998 period primarily due to additional
            interest expense related to financed equipment purchases at one of
            the Company's facilities, and a decrease in self-constructed
            assets, resulting in less capitalized interest.

            The decrease in income tax expense from approximately $508,000 in
            the 1998 period to a net income tax benefit of $1.9 million in the
            1999 period is directly attributable to the decrease in income
            before income taxes.



                                       6
<PAGE>   9

            Comparison of the nine months ended September 30, 1999 to the nine
            months ended September 30, 1998.

            Revenues increased 2% to $63.8 million in the 1999 period, compared
            with $62.6 million in the 1998 period. The 1998 period included
            only eight months of revenue generation by the Pasadena and West
            Pelican Island facilities acquired on February 2, 1998, and four
            and one-half months of revenue generation by the Galveston Island
            facility acquired on May 15, 1998. Though revenues in total
            increased marginally, revenues for the period were adversely
            affected by the general decline in market conditions in all sectors
            served by the Company. As a result of poor market conditions,
            billable labor hours related to repair work were down
            significantly. Despite poor market conditions, revenue from the
            Company's new construction activities increased 51% to $14.4
            million.

            Cost of revenue as a percentage of total revenues was 82% in the
            1999 period compared to 66% in the 1998 period. The cost of revenue
            percentage increased primarily due to the change in the mix of
            work.

            Gross profit decreased 46% to $11.6 million in the 1999 period from
            $21.4 million in the 1998 period. The gross profit margin decreased
            to 18% in the 1999 period from 34% in the 1998 period, due in part
            to the increase in lower margin new construction revenue, the
            decrease in higher margin inland boat and barge repair revenue, and
            the decrease in higher margin oilfield related repair and
            conversion work as percentages of total revenues. The declines in
            revenue were combined with substantial margin pressure in all
            market sectors served. Additionally, the Company performed work at
            lower rates in order to maintain certain volume levels and retain
            its work force. During the first quarter of 1999, disruptions
            caused by an initiative to upgrade production and control systems
            at the recently acquired Galveston Island facility had a negative
            impact of approximately $500,000 on the gross profit margin.

            General and administrative expenses increased 32% to $15.7 million
            in the 1999 period from $11.9 million in the 1998 period. General
            and administrative expenses as a percentage of revenues for the
            1999 period represented 25% of total revenues, as compared to 19%
            for the 1998 period. The increase in general and administrative
            expenses was due to the following: the increased staffing at
            start-up facilities and at the corporate organization level,
            expenses related to workforce development and training, legal
            expenses for the on-going environmental investigations, and
            expenses related to development of the Company's strategy for
            future expansion. During the 1999 period the Company recorded an
            impairment loss of approximately $325,000 related to a specialized
            piece of equipment that is not in use, incurred costs of
            approximately $640,000 related to acquisition and equity offering
            efforts, and wrote-off approximately $310,000 related to the
            cancellation of the purchase of certain equipment.

            Net interest expense rose to $7.6 million in the 1999 period from
            $6.5 million in the 1998 period primarily due to the following:
            nine months of interest expense on the Company's $90 million 11%
            Senior Notes, due 2008 reflected in the 1999 period compared with
            only eight months interest expense on the Senior Notes in the 1998
            period, additional interest expense related to financed equipment,
            and a decrease in self-constructed assets resulting in less
            capitalized interest.

            The decrease in income tax expense from approximately $1.2 million
            in the 1998 period to a net income tax benefit of $4.2 million in
            the 1999 period is directly attributable to the decrease in income
            before income taxes.

            During the 1998 period, the Company recorded an extraordinary item
            of ($933,000) which represented a $1.5 million loss on
            extinguishment of debt, net of an income tax benefit of $559,000.
            No extraordinary item was recorded in the 1999 period.


                                       7
<PAGE>   10


            INFLATION AND CHANGING PRICES

            The Company does not believe that general price inflation has had a
            significant impact on the Company's results of operations during
            the periods presented. To the extent that the effects of inflation
            are not offset by improvements in manufacturing and purchasing
            efficiency and labor productivity, the Company generally has been
            able to take such effects into account in pricing its contracts
            with customers. There can be no assurance, however, that inflation
            will not have a material effect on the Company's business in the
            future.

            LIQUIDITY AND CAPITAL RESOURCES

            The Company's ongoing liquidity requirements arise primarily from
            its need to service debt, fund working capital, acquire additional
            shipyard facilities and make capital improvements to its
            facilities. Prior to the Company's Senior Notes offering in 1998,
            bank financing and internally generated funds provided funding for
            these activities.

            In October 1999, the Company and four of its subsidiaries entered
            into a Loan and Security Agreement to obtain a $20.0 million credit
            facility. The credit facility, which matures in October 2003,
            initially provides for a $16.0 million revolving credit facility
            and a $4.0 million term loan. As the term loan amortizes, the
            availability under the revolver portion of the facility increases.
            The revolving credit facility is collateralized by accounts
            receivable of four subsidiaries of the Company and bears interest
            at prime plus 0.50%. The term loan is collateralized by certain
            assets of two subsidiaries, bears interest at prime plus 1.00%, and
            requires monthly principal and interest payments amortized over a
            six year period, with a balloon payment due in October 2003. The
            Loan and Security Agreement requires the payment of certain fees
            during the term of the agreement and requires the Company to
            maintain certain cash flow levels. As of November 11, 1999, the
            term loan portion of the facility was fully funded.

            A subsidiary of the Company had an additional $1.75 million
            revolving line of credit with a financial institution secured by
            accounts receivable. In July 1999, the subsidiary moved this line of
            credit to another financial institution and increased the line of
            credit to $3.0 million. As of November 11, 1999, the subsidiary had
            no outstanding borrowings under this line of credit but would need
            to obtain a waiver of certain financial covenants to reinstate
            availability under the line of credit.

            During the first quarter of 1999, the Company financed the purchase
            of certain machinery and equipment totaling $929,000. The largest
            financing was for $860,000 which bears interest at 8% per annum
            with principal and interest of approximately $12,000 due monthly
            over a seven year period, and a final balloon payment of $86,000
            due at maturity.

            Net cash provided by (used in) operating activities for the nine
            month periods ended September 30, 1999 and 1998 was $583,000 and
            ($3.5) million, respectively.

            Net cash provided by (used in) investing activities was $3.8
            million and ($44.1) million for the nine month periods ended
            September 30, 1999 and 1998, respectively. During the 1999 period,
            cash provided by investing activities was generated by sales and
            maturities of investments which were partially offset by asset
            additions.

            Net cash (used in) provided by financing activities was ($91,000)
            and $52.1 million for the nine month periods ended September 30,
            1999 and 1998, respectively.


                                       8
<PAGE>   11


            Management believes that with the cash generated from operations,
            and, if necessary, borrowings under the Company's lines of credit,
            or an infusion of equity, the Company will have sufficient
            resources available to meet its anticipated requirements for
            capital expenditures and working capital needs for the foreseeable
            future provided that market conditions stabilize or improve from
            current levels.

            YEAR 2000 DISCLOSURES

            Many computer software systems, as well as certain hardware and
            equipment containing date sensitive data, were structured to
            utilize a two-digit date field meaning that they may not be able to
            properly recognize dates in the Year 2000 and beyond. This could
            result in significant system and equipment failures. The Company
            has completed a detailed process to identify potential Year 2000
            problems and to implement solutions for all of its information
            technology ("IT") as well as non-IT systems. Necessary actions have
            been taken to ensure that essential IT and non-IT systems and
            services will continue to operate on and after January 1, 2000. The
            Company's technology projects are addressing the Year 2000 issue in
            those areas where replacement systems are being installed for
            functionality reasons. Where existing systems are expected to
            remain in place beyond 1999, the Company is implementing changes
            utilizing a combination of internal and external resources. In
            addition, the Company has communicated with its major customers,
            suppliers and financial institutions to coordinate year 2000
            readiness.

            Based on steps the Company has taken to address this issue, the
            Company does not expect the financial impact of Year 2000 date
            conversion to be material to its financial statements. However, the
            Company can give no assurance that the systems of other companies
            on which the Company's systems rely will be modified or otherwise
            addressed in a timely manner, or that any failure by another
            company would not have a material impact on the Company's financial
            statements.

ITEM 3.     QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

            The Company is only minimally exposed to market risk which could
            result from adverse changes in interest rates.

            Total long-term debt at September 30, 1999 included one floating
            rate facility in the amount of $3.0 million. During the third
            quarter of 1999, the Company had maximum borrowings on this facility
            of $500,000. As of November 11, 1999, there were no outstanding
            borrowings on this facility. In the future, the Company's annual
            interest expense could fluctuate because the interest rate on the
            facility is a floating rate. Additionally, the Company's $20 million
            credit facility entered into in October 1999 is a floating rate
            facility. The Company did not have any open derivative contracts
            relating to its floating rate debt.



                                       9
<PAGE>   12

                           PART II: OTHER INFORMATION

ITEM 1.     LEGAL PROCEEDINGS.

            On August 11, 1999, one of the Company's subsidiaries,
            Newpark-Brady, received an Information from the State of Texas
            charging Newpark-Brady with a one count water pollution misdemeanor,
            for allegedly discharging industrial waste from a barge in violation
            of Texas Water Code Section 26.121(a)(1) on or about July 30, 1997.
            Newpark-Brady is presently investigating the matter and plans to
            vigorously defend itself against the charge.

            On August 13, 1998, Newpark-Brady was the subject of a search
            warrant executed by a multi-agency environmental task force. The
            government's search warrant was primarily directed at the facility's
            wastewater treatment plant. The Board of Directors of the Company
            authorized outside legal counsel to conduct an internal corporate
            investigation of the matters raised by the agencies in their
            investigation. In addition, the Company promptly undertook
            aggressive measures to assure environmental compliance. The internal
            investigation concluded that no officer or director of Newpark-Brady
            or the Company participated in or had knowledge of any
            non-compliance. The investigation did find some evidence of past
            instances of non-compliance with environmental laws and regulations
            in connection with Newpark-Brady's operation and monitoring of the
            facility's wastewater treatment system. A state grand jury
            investigation into these matters began in February 1999. In April
            1999, for reasons apparently no more significant than prosecutorial
            availability, the investigation was transferred to the federal
            government. At this time, the Company cannot estimate the impact
            that may result from enforcement action, if any, related to the
            government's investigation. The Company does not believe that any
            aspects of the matters described above will subject the parent
            company, First Wave Marine, Inc., to criminal liability.

ITEM 2-5.   NOT APPLICABLE.

ITEM 6.     EXHIBITS AND REPORTS ON FORM 8-K.

            (a)  Exhibits

                 Exhibit
                 Number       Description
                 -------      -----------

                  *10.1       Loan and Security Agreement between First Wave
                              Marine, Inc., Newpark Shipbuilding-Galveston
                              Island, Inc., Newpark Shipbuilding-Pelican
                              Island, Inc., Newpark Shipbuilding-Greens Bayou,
                              Inc. and Newpark Shipbuilding-Pasadena, Inc., as
                              Borrowers, and Bank of America Commercial Finance
                              Corporation, as Lender, dated October 14, 1999.

                  *10.2       Amendment No. 1 to the First Wave Marine, Inc.
                              Amended and Restated 1997 Incentive Equity Plan.

                  *27.1       Financial Data Schedule.

                              * Filed herewith

            (b)  Reports on Form 8-K

                 None



                                      10
<PAGE>   13

                                   SIGNATURES




Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange
Act of 1934, the Registrant has duly caused this report to be signed on its
behalf by the undersigned thereunto duly authorized.


                                                  FIRST WAVE MARINE, INC.



November 12, 1999                                 /s/ Frank R. Pierce
                                                  ------------------------------
                                                  Frank R. Pierce
                                                  Vice President and
                                                  Chief Financial Officer





November 12, 1999                                 /s/ Dale E. Schexnayder
                                                  ------------------------------
                                                  Dale E. Schexnayder
                                                  Corporate Controller



                                      11
<PAGE>   14

                               INDEX TO EXHIBITS

<TABLE>
<CAPTION>
                 Exhibit
                 Number       Description
                 -------      -----------
<S>                           <C>
                  *10.1       Loan and Security Agreement between First Wave
                              Marine, Inc., Newpark Shipbuilding-Galveston
                              Island, Inc., Newpark Shipbuilding-Pelican
                              Island, Inc., Newpark Shipbuilding-Greens Bayou,
                              Inc. and Newpark Shipbuilding-Pasadena, Inc., as
                              Borrowers, and Bank of America Commercial Finance
                              Corporation, as Lender, dated October 14, 1999.

                  *10.2       Amendment No. 1 to the First Wave Marine, Inc.
                              Amended and Restated 1997 Incentive Equity Plan.

                  *27.1       Financial Data Schedule.

                              * Filed herewith
</TABLE>