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


                                   FORM 10-QSB

[X]      Quarterly  Export under Section 13 or 15(d) of The Securities  Exchange
         Act of 1934

                For the Quarterly Period Ended September 30, 2003

                          Commission File Number 0-9355

                               CUBIC ENERGY, INC.
             (Exact name of registrant as specified in its charter)

                    Texas                                   87-0352095
(State or other jurisdiction of incorporation)  IRS Employer Identification No.)

                                 9870 Plano Road
                                Dallas, TX 75238
                    (Address of principal executive offices)

                                 (972) 686-0369
                (Issuer's telephone number, including area code)


Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Exchange  Act 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.

                                 Yes [X] No [ ]

State the number of shares outstanding of each of the issuer's classes of common
equity, as of the latest practicable date:

          Common Stock                   Outstanding at September 30, 2003
         --------------                  ---------------------------------
         $.05 par value                         31,180,329

    Transitional Small Business Disclosure Format (Check one): Yes [ ] No [X]



<PAGE>

                               CUBIC ENERGY, INC.

                               TABLE OF CONTENTS



                         PART 1 - FINANCIAL INFORMATION

ITEM 1. Financial Statements

Independent Accountant's Report................................................3

Condensed Balance Sheets
As of September 30, 2003, (unaudited) and June 30, 2003.....................4, 5

Condensed Statement of Operations, (unaudited)
For the three months ended September 30, 2003 and 2002.........................6

Condensed Statements of Cash Flows, (unaudited)
For the three months ended September 30, 2003 and 2002.........................7

Notes to Condensed Financial Statements.....................................8, 9

ITEM 2. Management's Discussion and Analysis..................................10



                           PART II - OTHER INFORMATION

ITEM 1. Legal Proceedings.....................................................11

SIGNATURES....................................................................12

Certification: Re: 13a-14(b) and 15d-14.......................................13

Certification: Re: Section 906 of the Sarbanes-Oxley Act of 2002..............14















                                       2
<PAGE>

                          PART I. FINANCIAL INFORMATION

                         INDEPENDENT ACCOUNTANTS' REPORT


The Stockholders and Board of Directors
Cubic Energy, Inc.


We have reviewed the  accompanying  condensed  balance sheet as of September 30,
2003, and the related condensed statements of income, and of cash flows of Cubic
Energy,  Inc. for the  three-month  periods  ended  September 30, 2003 and 2002.
These financial statements are the responsibility of the Company's management.

We  conducted  our  reviews in  accordance  with  standards  established  by the
American  Institute  of  Certified  Public  Accountants.  A  review  of  interim
financial  information consists principally of applying analytical procedures to
financial  data and making  inquiries of persons  responsible  for financial and
accounting matters. It is substantially less in scope than an audit conducted in
accordance with auditing  standards  generally  accepted in the United States of
America,  the objective of which is the  expression of an opinion  regarding the
financial  statements taken as a whole.  Accordingly,  we do not express such an
opinion.

Based on our reviews, we are not aware of any material modifications that should
be made to the  accompanying  financial  statements for them to be in conformity
with accounting principles generally accepted in the United States of America.

We have  previously  audited,  in accordance with auditing  standards  generally
accepted in the United  States of America,  the balance  sheet of Cubic  Energy,
Inc.  as  of  June  30,  2003,   and  the  related   statements  of  operations,
stockholders'  equity and cash flows for the year then ended;  and in our report
dated  September  16,  2003,  we  expressed  an  unqualified  opinion  on  those
statements.




                                                    PHILIP VOGEL & CO. PC

                                                    /s/ Philip Vogel & Co. PC
                                                    -------------------------

                                                    Certified Public Accountants


Dallas, Texas
October 30, 2003




                                       3
<PAGE>
<TABLE>
<CAPTION>

ITEM 1. FINANCIAL STATEMENTS

                               CUBIC ENERGY, INC.
                            CONDENSED BALANCE SHEETS

                                     ASSETS

                                                                                 (Unaudited)
                                                                              September 30, 2003     June 30, 2003
                                                                              ------------------   ------------------
<S>                                                                           <C>                  <C>

Current assets:
  Cash and cash equivalents                                                   $          142,414   $          117,450
  Accounts receivable - trade                                                             91,204               58,130
                                                                              ------------------   ------------------

Total current assets                                                          $          233,618   $          175,580


Property and equipment (at cost): Oil and gas properties, full cost method:
    Proved properties (including wells and
    related equipment and facilities)                                         $        1,537,625   $        1,537,625
  Office and other equipment                                                                 910                  910
                                                                              ------------------   ------------------
                                                                              $        1,538,535   $        1,538,535
  Less accumulated depreciation, depletion
  and amortization                                                                     1,029,350            1,000,114
                                                                              ------------------   ------------------
                                                                                         509,185              538,421

                                                                              $          742,803   $          714,001
                                                                              ==================   ==================
</TABLE>

























            See accompanying notes to condensed financial statements.

                                       4
<PAGE>
<TABLE>
<CAPTION>

                               CUBIC ENERGY, INC.
                            CONDENSED BALANCE SHEETS

                      LIABILITIES AND STOCKHOLDERS' EQUITY

                                                (Unaudited)
                                             September 30, 2003      June 30, 2003
                                             ------------------    ------------------
<S>                                          <C>                   <C>
Current liabilities:
  Accounts payable and accrued expenses      $          137,766    $          116,039
  Due to affiliates                                       6,092                   179
                                             ------------------    ------------------

Total current liabilities                    $          143,858    $          116,218

Non-current liabilities:
  Deferred income taxes                                       0                     0

Commitments and contingencies

Stockholders' equity:
  Preferred stock - $.01 par value,
    authorized 10,000,000 shares,
    issued: none                             $                0    $                0
  Common stock - $.05 par value,
    Authorized 50,000,000 shares,
    issued 31,180,329 shares at
    September 30, 2003 and
    June 30, 2003                                     1,559,017             1,559,017

  Additional paid-in capital                          8,892,992             8,892,992
  Accumulated deficit                                (9,853,064)           (9,854,226)
                                             ------------------    ------------------

Stockholders' equity                                    598,945               597,783
                                             ------------------    ------------------
                                             $          742,803    $          714,001
                                             ==================    ==================
</TABLE>
















            See accompanying notes to condensed financial statements.

                                       5
<PAGE>
<TABLE>
<CAPTION>

                               CUBIC ENERGY, INC.
                       CONDENSED STATEMENTS OF OPERATIONS
                                   (Unaudited)

                                                For the Three       For the Three
                                                 Months Ended        Months Ended
                                             September 30, 2003   September 30, 2002
                                             ------------------   ------------------
<S>                                          <C>                  <C>
Revenues:
  Oil and gas sales                          $          104,422   $           74,602
                                             ------------------   ------------------

Total revenues                               $          104,422   $           74,602
                                             ------------------   ------------------

Costs and expenses:
  Oil and gas production, operating and
  development costs                          $           35,669   $           34,544
  Selling, general and
  administrative expenses                                38,355               48,926
  Depreciation, depletion and
  amortization                                           29,236               22,546
                                             ------------------   ------------------

Total costs and expenses                     $          103,260   $          106,016
                                             ------------------   ------------------

Operating income (loss)                      $            1,162   $          (31,414)
                                             ------------------   ------------------

Non-operating income (expense):
  Gain (loss) on sales of securities         $                0   $                0
  Other income                                                0                    0
  Interest expense                                            0                    0
  Interest income                                             0                    0
                                             ------------------   ------------------

Total non-operating income (expense)         $                0   $                0
                                             ------------------   ------------------

Income (loss) before taxes:                  $            1,162   $          (31,414)

Provision for (benefit of) income taxes                       0                    0
                                             ------------------   ------------------

Net income (loss)                            $            1,162   $          (31,414)
                                             ==================   ==================

Net gain (loss) per common share
- basic and diluted                          $            0.000   $           (0.001)
                                             ==================   ==================

Weighted average common shares outstanding
- basic and diluted                                  31,180,329           31,180,329
                                             ==================   ==================
</TABLE>











            See accompanying notes to condensed financial statements.

                                       6
<PAGE>
<TABLE>
<CAPTION>

                               CUBIC ENERGY, INC.
                       CONDENSED STATEMENTS OF CASH FLOWS
                                   (Unaudited)

                                                     For the Three         For the Three
                                                      Months Ended          Months Ended
                                                   September 30, 2003    September 30, 2002
                                                   ------------------    ------------------
<S>                                                <C>                   <C>
Cash flows from operating activities:

Net income (loss)                                  $            1,162    $          (31,414)

Adjustments to reconcile net income (loss)
to cash provided (used) by operating activities:
  Depreciation, depletion and amortization                     29,236                22,546

Net change in assets and liabilities:
  (Increase) decrease in accounts receivable                  (33,074)                8,875
  Increase (decrease) in loan from affiliate                    5,913                (4,810)
  Increase (decrease) in accounts payable and
    Accrued liabilities                                        21,727                (5,939)
                                                   ------------------    ------------------

Net cash provided (used) by operating activities   $           24,964    $          (10,742)
                                                   ------------------    ------------------

Net cash provided (used) by investing activities   $                0    $                0
                                                   ------------------    ------------------

Net cash provided (used) by financing activities   $                0    $                0
                                                   ------------------    ------------------

Net increase (decrease) in cash and
    cash equivalents                               $           24,964    $          (10,742)
                                                   ------------------    ------------------

Cash at beginning of period                                   117,450               169,334
                                                   ------------------    ------------------

Cash at end of period                              $          142,414    $          158,592
                                                   ==================    ==================
</TABLE>



















            See accompanying notes to condensed financial statements.

                                       7
<PAGE>

                               CUBIC ENERGY, INC.
                          NOTES TO FINANCIAL STATEMENTS
                            AS OF SEPTEMBER 30, 2003
                                   (Unaudited)

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of presentation:

The accounting policies followed by Cubic Energy, Inc., a Texas corporation (the
"Company" or "Cubic"),  are set forth in the Company's financial statements that
are a part of its June 30, 2003,  Form 10-KSB and should be read in  conjunction
with the  financial  statements  for the three months ended  September 30, 2003,
contained herein.

The financial  information included herein as of September 30, 2003, and for the
three-month  periods ended  September 30, 2003,  and 2002,  have been  presented
without an audit,  pursuant  to  accounting  principles  for  interim  financial
information generally accepted in the United States of America, and the rules of
the  Securities  and  Exchange   Commission.   The  Company  believes  that  the
disclosures are adequate to make the information  presented not misleading.  The
information  presented  reflects all  adjustments  (consisting  solely of normal
recurring adjustments), which are, in the opinion of management, necessary for a
fair statement of results for the period.

Earnings per share:

The Company has adopted the  provisions  of Statement  of  Financial  Accounting
Standards  (SFAS)  No.  128,   Earnings  per  Share.   SFAS  No.  128  reporting
requirements  replace  primary and  fully-diluted  earnings per share (EPS) with
basic and diluted EPS. Basic EPS is calculated by dividing net income (available
to  common  stockholders)  by the  weighted  average  number  of  common  shares
outstanding  for the period.  Diluted EPS reflects the  potential  dilution that
could  occur  if  securities  or other  contracts  to issue  common  stock  were
exercised or converted into common stock.

Stock grants:

On September 12, 2003, the Directors of Cubic Energy, Inc.  tentatively approved
of a Director and Officer compensation plan as follows: (i.) Directors of record
as of June 1, 2003 would receive 24,000  restricted  Cubic common shares (16,000
share per year,  multiplied by 1.5 years) for years of prior service,  (ii.) the
President/CEO  of Cubic would  receive  45,000  restricted  Cubic common  shares
(30,000  share per year,  multiplied  by 1.5 years) for years of prior  service,
(iii.) the  Secretary  of Cubic would  receive  22,500  restricted  Cubic common
shares  (15,000  shares per year,  multiplied  by 1.5 years) for prior  years of
service,  (iv.) going forward,  Directors would receive 16,000  restricted Cubic
common shares per year of service,  (v.) going forward,  the President/CEO would
receive 30,000  restricted Cubic common shares per year of service,  (vi.) going
forward,  the Secretary would receive 15,000  restricted Cubic common shares per
year of service,  (vii.) Audit Committee members would receive 10,000 restricted
Cubic common shares per audit,  and, (viii.) any Compensation  Committee member,
should one be formed,  would  receive 3,000  restricted  Cubic common shares per
year of service. As of September 30, 2003, no shares had been issued pursuant to
this compensation plan because the exact terms had not been determined.



                                       8
<PAGE>

Pro forma information related to stock options:

The Company accounts for its stock-based  employee  compensation plans under the
recognition  and  measurement  principles of APB Opinion No. 25,  Accounting for
Stock Issued to Employees, and related interpretations.  No stock based employee
compensation cost is reflected in net income, as all options granted under those
plans had an  exercise  price at least  equal to the  market  of the  underlying
common  stock on the date of the grant.  The  following  table  illustrates  the
effect on net income and  earnings per share if the company had applied the fair
value  recognition   provisions  of  FASB  Statement  No.  123,  Accounting  for
Stock-Based Compensation.
<TABLE>
<CAPTION>

                                                                  3 Months Ended
                                                      September 30, 2003    September 30, 2002
                                                      ------------------    ------------------
<S>                                                   <C>                   <C>
Net earnings (loss), as reported                      $            1,162    $          (31,414)

Deduct: Total stock-based employee compensation
  expense  determined under fair value based method
  for all awards, net of tax effect                               (8,866)              (13,691)
                                                      ------------------    ------------------

Pro forma net income (loss)                           $           (7,704)   $          (45,105)
                                                      ------------------    ------------------

Earnings (loss) per common share:
   Basic - as reported                                $             --      $            (0.00)
   Basic - pro forma                                  $            (0.00)   $            (0.00)

   Diluted - as reported                              $              n/a                    n/a
   Diluted - pro forma                                $              n/a                   n/a
</TABLE>

SAFE HARBOR  STATEMENTS UNDER THE PRIVATE  SECURITIES  LITIGATION  REFORM ACT OF
1995:

This report 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.  Such forward-looking  statements are based on
current expectations that involve a number of risks and uncertainties that could
cause  actual  results to differ  materially  from the results  discussed in the
forward-looking statements. Generally,  forward-looking statements include words
or phrases  such as " management  anticipates",  "the  Company  believes",  "the
Company   anticipates"   and  words  and   phrases   of  similar   impact.   The
forward-looking  statements  are made pursuant to safe harbor  provisions of the
Private Securities Litigation's Reform Act of 1995.

The  factors  that could  cause  actual  results to differ  materially  from the
forward-looking  statements  include,  but  are not  limited  to:  (i)  industry
conditions  and  competition  (ii) the cyclical  nature of the  industry,  (iii)
domestic and  worldwide  supplies and demand for oil and gas,  (iv)  operational


                                       9
<PAGE>

risks and insurance, (v) environmental liabilities which may arise in the future
which are not covered by insurance or indemnity,  (vi) the impact of current and
future laws and government  regulations,  as well as repeal or  modification  of
same,  affecting  the oil and gas  industry  and  the  Company's  operations  in
particular,  (vii) production  levels and other activities of OPEC and other oil
and gas  producers,  and the impact that the above factors and other events have
on the current and  expected  future  pricing of oil and natural gas, and (viii)
the risks described from time to time in the Company's reports to the Securities
and Exchange  Commission,  including the Company's Annual Report Form 10-KSB for
the fiscal year ended June 30, 2003.

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS

Results of Operations:

Three Months Ended  September 30, 2003 Compared To Three Months Ended  September
30, 2002 Gross Revenues for the three months ended  September 30, 2003 increased
from  $74,602 at  September  30, 2002 to $104,422 at  September  30, 2003 due to
increased  natural  gas  prices  and  despite  decreased  rates of  natural  gas
production.

Oil and Gas Production,  Operating and Development  Costs increased from $34,544
(46% of oil and gas sales) at September  30, 2002 to $35,669 (34% of oil and gas
sales) at September 30, 2003.

Operating  Income  increased  from a loss of $31,414 at September  30, 2002 to a
gain of $1,162 at  September  30, 2003 due to improved  natural gas prices and a
reduction in general and administrative expenses.

Liquidity and Capital Resources:
Long-term debt of the company is currently zero.

Stock grants:

On September 12, 2003, the Directors of Cubic Energy, Inc.  tentatively approved
of a Director and Officer compensation plan as follows: (i.) Directors of record
as of June 1, 2003 would receive 24,000  restricted  Cubic common shares (16,000
share per year,  multiplied by 1.5 years) for years of prior service,  (ii.) the
President/CEO  of Cubic would  receive  45,000  restricted  Cubic common  shares
(30,000  share per year,  multiplied  by 1.5 years) for years of prior  service,
(iii.) the  Secretary  of Cubic would  receive  22,500  restricted  Cubic common
shares  (15,000  shares per year,  multiplied  by 1.5 years) for prior  years of
service,  (iv.) going forward,  Directors would receive 16,000  restricted Cubic
common shares per year of service,  (v.) going forward,  the President/CEO would
receive 30,000  restricted Cubic common shares per year of service,  (vi.) going
forward,  the Secretary would receive 15,000  restricted Cubic common shares per
year of service,  (vii.) Audit Committee members would receive 10,000 restricted
Cubic common shares per audit,  and, (viii.) any Compensation  Committee member,
should one be formed,  would  receive 3,000  restricted  Cubic common shares per
year of service. As of September 30, 2003, no shares had been issued pursuant to
this approved compensation plan.




                                       10
<PAGE>

                           PART II - OTHER INFORMATION

ITEM 1. Legal Proceedings

The Company filed suit in the 29th Judicial District Court in Palo Pinto County,
Texas, styled "Roseland Oil and Gas, Inc. v. William Vandever, et al.", bringing
suit against  Clifford  Kees,  William  Vandever,  and other  persons  seeking a
judicial  determination  that all  grants of  preferential  rights in the Reagan
Sections  11 and 12 are void.  This  lawsuit  was filed on April 26,  1999.  All
Section 11 preferential  rights were returned to the Company on or about January
2002. However, Clifford Kees was to retain his 1% overriding royalty interest in
these Reagan Lease Sections.

Clifford  Kees then moved to trial against on the claim of attorney fees owed to
him for the  prosecution  of this lawsuit.  The trial was heard on September 25,
2002,  with Kees requesting in excess of $200,000.00 in attorney fees and costs.
In June of 2003 the Court  re-opened  the trial as to attorney fees and costs to
allow Kees to put on  additional  evidence,  and such trial was convened on June
19, 2003.

On July 15,  2003 the Court  entered a Judgment in favor of Kees and against the
Company for approximately $112,000.00.  The Company believes the Judgment should
not stand and is in the process of appealing the  Judgment.  Should the Judgment
stand,  it could  have a material  adverse  effect on the cash  position  of the
Company.
















                                       11
<PAGE>

                                   SIGNATURES

Pursuant  to the  requirements  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.


                                             CUBIC ENERGY, INC.
                                             (Registrant)


Date: November 13, 2003                      /s/ Calvin A. Wallen, III
                                             -----------------------------------
                                             Calvin A. Wallen, III, President
                                             (Principal Executive, Financial and
                                             Accounting Officer)