United States

Securities and Exchange Commission

Washington, D.C. 20549



Form 10-QSB



[X] QUARTERLY REPORT UNDER SECTION 13 OR 15(d)

OF THE

SECURITIES EXCHANGE ACT OF 1934



For the quarterly period ended June 30, 2007.



or



[  ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT



For the transition period from __________ to __________.



Commission file number 333-133545



IVECON CORPORATION

(Name of small business issuer in its charter)



Delaware

(State or other jurisdiction of Incorporation or organization)



59-3681572

(I.R.S. Employer Identification No.)



5113 Central Avenue, St. Petersburg, Florida 33710

(Address of principal executive offices and Zip Code)



Registrants telephone number, including area code:  (727) 410-5858



Check whether the issuer: (1) filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  (x) Yes (__) No



Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act)  (__) Yes (x) No



The number of shares of the issuers common stock, part value $.001 per share, outstanding as of August 10, 2007 was 1,350,000.



Transitional Small Business Disclosure Format (Check one):  (__) Yes (x) No







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Part I.  Financial Information

Item 1.  Financial Statements.



|                                                                                                        |                                            |                                                     |             |             |      |     
|------------------------------------------------------------------------------------------------------- | ------------------------------------------ | --------------------------------------------------- | ----------- | ----------- | ---- | ----
|Ivecon Corporation
Consolidated Balance Sheets
For the Periods Ended June 30, 2007 and 2006
(UNAUDITED)
|                                                                                                       
|                                                                                                        |                                            |                                                     |             |             | 2007 | 2006
|ASSETS                                                                                                  |                                           
|                                                                                                        | Current Assets:                            |                                                     |            
|                                                                                                        |                                            | Cash and Cash Equivalents                           | 1,129.05    | 935.05     
|                                                                                                        | Total Current Assets                       | 1,129.05                                            | 935.05     
|                                                                                                        | Other Assets:                              |                                                     |            
|                                                                                                        |                                            | Organizational Costs                                | 253.00      | 253.00     
|                                                                                                        |                                            | Less: Accumulated Amortization                      | (253.00)    | (253.00)   
|                                                                                                        | Total Other Assets                         | 0.00                                                | 0.00       
|                                                                                                        | TOTAL ASSETS                               | 1,129.05                                            | 935.05     
|                                                                                                        |                                           
|LIABILITIES AND STOCKHOLDERS' EQUITY                                                                    |                                           
|                                                                                                        | Current Liabilities:                       |                                                     |            
|                                                                                                        |                                            | Accounts Payable                                    | 350.00      | 500.00     
|                                                                                                        |                                            | Loans from Shareholders                             | 21,540.80   | 11,840.80  
|                                                                                                        | Total Current Liabilities                  | 21,890.80                                           | 12,340.80  
|                                                                                                        | TOTAL LIABILITIES                          | 21,890.80                                           | 12,340.80  
|                                                                                                        | Stockholders' Equity:                      |                                                     |            
|                                                                                                        |                                            | Common Stock, $.0001 par value, 50,000,000 shares   |             |            
|                                                                                                        |                                            | authorized, 1,350,000 shares issued and outstanding | 13.50       | 13.50      
|                                                                                                        |                                            | Paid-In-Capital                                     | 7,719.50    | 7,719.50   
|                                                                                                        |                                            | Retained Earnings                                   | (28,494.75) | (19,138.75)
|                                                                                                        | Total Equity                               | (20,761.75)                                         | (11,405.75)
|                                                                                                        | TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | 1,129.05                                            | 935.05     









See accompanying notes and accountants report.



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|                                                                                                                              |                               |                           |          |            |          |               |  |              
|----------------------------------------------------------------------------------------------------------------------------- | ----------------------------- | ------------------------- | -------- | ---------- | -------- | ------------- |  | -------------
|Ivecon Corporation
Consolidated Statements of Operations
For the Three Month Periods Ended
June 30, 2007 and 2006
(UNAUDITED)
|                                                                                                                             
|                                                                                                                              |                               |                           |          |            |          |               |  |              
|                                                                                                                              |                               |                           |          |            |          | June 30, 2007 |  | June 30, 2006
|                                                                                                                              | Revenues                      |                           |          | 0.00       |          | 0.00         
|                                                                                                                              | Operating Expenses            |                           |          |           
|                                                                                                                              |                               | Audit Fees                | 600.00   |            | 500.00  
|                                                                                                                              |                               | Bank Service Charges      | 60.00    |            | 50.00   
|                                                                                                                              |                               | Consultants Fee           | 0.00     |            | 300.00  
|                                                                                                                              |                               | Dues and Subscriptions    | 100.00   |            | 455.00  
|                                                                                                                              |                               | Office Supplies           | 0.00     |            | 20.00   
|                                                                                                                              |                               | Professional Fees         | 4,300.00 |            | 5,000.00
|                                                                                                                              |                               | Stock Transfer Agent Fees | 750.00   |            | 450.00  
|                                                                                                                              |                               | Taxes & Licenses          | 200.00   |            | 618.00  
|                                                                                                                              |                               |                           |          |            |          | 6,010.00      |  | 7,393.00     
|                                                                                                                              | Income (Loss) From Operations | (6,010.00)                |          | (7,393.00)
|                                                                                                                              | Provision For Income Taxes    | 0.00                      |          | 0.00      
|                                                                                                                              | Net Income (Loss)             | (6,010.00)                |          | (7,393.00)
|                                                                                                                              |                               |                           |          |           
|                                                                                                                              | Earnings per common share:    |                           |          |           
|                                                                                                                              | Net Income (Loss) per share   | (0.00)                    |          | (0.01)    

























See accompanying notes and accountants report.



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|                                                                                                                              |                                           |                                            |                               |            |            |            
|----------------------------------------------------------------------------------------------------------------------------- | ----------------------------------------- | ------------------------------------------ | ----------------------------- | ---------- | ---------- | -----------
|Ivecon Corporation
Consolidated Statements of Cash Flows
For the Three Month Periods Ended
June 30, 2007 and 2006
(UNAUDITED)
|                                                                                                                             
|                                                                                                                              |                                           |                                            |                               | 2007       |            | 2006       
|                                                                                                                              | OPERATING ACTIVITIES:                     |                                            |                               |           
|                                                                                                                              |                                           | Net Income (Loss)                          | (6,010.00)                    |            | (7,393.00)
|                                                                                                                              |                                           | Adjustments to reconcile Net Income (Loss) |                               |            |           
|                                                                                                                              |                                           | to net cash provided by operations:        |                               |            |           
|                                                                                                                              |                                           | (Increase) Decrease in:                    |                               |            |           
|                                                                                                                              |                                           |                                            | Prepaid Expenses              | 0.00       |            | 89.00      
|                                                                                                                              |                                           |                                            | Stock Subscription Receivable | 0.00       |            | 12.00      
|                                                                                                                              |                                           | Increase (Decrease) in:                    |                               |            |           
|                                                                                                                              |                                           |                                            | Accounts Payable              | (1,297.00) |            | (3,500.00) 
|                                                                                                                              |                                           |                                            |                               | (7,307.00) |            | (10,792.00)
|                                                                                                                              | INVESTING ACTIVITIES:                     |                                            |                               |           
|                                                                                                                              |                                           |                                            |                               | 0.00       |            | 0.00       
|                                                                                                                              | FINANCING ACTIVITIES:                     |                                            |                               |           
|                                                                                                                              |                                           | Shareholder Loans                          | 7,200.00                      |            | 10,429.00 
|                                                                                                                              |                                           |                                            |                               | 7,200.00   |            | 10,429.00  
|                                                                                                                              | NET CASH INCREASE (DECREASE) FOR THE YEAR | (107.00)                                   |                               | (363).00  
|                                                                                                                              | BEGINNING CASH                            | 1,236.05                                   |                               | 1,298.05  
|                                                                                                                              | ENDING CASH                               | 1,129.05                                   |                               | 935.05    































See accompanying notes and accountants report.



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Ivecon Corporation

Notes to Financial Statements

June 30, 2007





NOTE A  ORGANIZATION AND NATURE OF BUSINESS



The Company was incorporated January 1, 2000 in the State of Delaware.  The Company is a developer of a secure (encrypted) instant messenger with integrated desktop search, media center, and commerce system and is located in St. Petersburg, Florida.

NOTE B  SIGNIFICANT ACCOUNTING POLICIES

Cash and Cash Equivalents

For purposes of the statement of cash flows, the Company considers all short-term securities with a maturity of three months or less to be cash equivalents.

Fixed Assets

Property and equipment are stated at cost.  Depreciation is computed using accelerated methods over the estimated useful lives of the assets.  Expenditures for major renewals and betterments that extend the useful lives of property and equipment are capitalized.  Expenditures for maintenance and repairs are charged to expense as incurred.

Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting principles requires the corporation to make estimates and assumptions that affect certain reported amounts and disclosures.  Accordingly, actual results could differ from those estimates.

Revenue Recognition

The Company generates revenue by providing services in the field of computer consulting.  It is in the process of developing a secure instant messenger system.  The Company recognizes its revenue when consulting services have been completed and its customers are billed.

Income Taxes

Income taxes are provided for the tax effects of transactions reported in the financial statements and consist of taxes currently due plus deferred taxes, if and when applicable, related primarily to differences between the bases of certain assets and liabilities for financial and tax reporting.  Any deferred taxes would represent the future tax return consequences of those differences, which will either be taxable when the assets and liabilities are recovered or settled.

NOTE C   EARNINGS PER COMMON SHARE



Earnings (Loss) per common share of ($.00) were calculated based on a net income (loss) numerator of ($6,010.00) divided by a denominator of 1,350,000 shares of outstanding common stock.











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REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM





To the Board of Directors and
Stockholders of Ivecon Corporation:



We have reviewed the accompanying balance sheet of Ivecon Corporation as of June 30, 2007 and the related statements of operations and cash flows for the six months ended June 30, 2007 and 2006. These financial statements are the responsibility of the companys management.

We conducted our review in accordance with the standards of the Public Company Accounting Oversight Board (United States). A review of financial information consists principally of applying analytical procedures and making inquiries of persons responsible for financial and accounting matters. It is substantially less in scope than an audit conducted in accordance with standards of the Public Company Accounting Oversight Board (United States), 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 review, 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.

|                          | 
|------------------------- | 
|Randall N. Drake, CPA, PA
|Randall N. Drake, CPA, PA | 
|                         
|Clearwater, Florida       | 
|                          | 
|July 31, 2007             | 





















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



Managements Discussion and Analysis of Financial Condition and Results of Operations



The following management's discussion, analysis of financial condition, and plan of operations should be read in conjunction with our financial statements and notes thereto contained elsewhere in this prospectus.

Plan of Operation

General

Since our inception on September 11, 2000 the Company has been in the development of a secure point-to-point instant messaging software.  For three (3) years considerable time was spent on the actual coding of our program.  When the Company ran out of funds it became minimally operational while a strategic plan for funding and operations was being developed. Presently our President, Jay D. Solomon, provides the necessary labor to the company developing the strategic financial and operational plan of operation. He has been developing his financial and business skills since he began practicing as a C.P.A. (over nineteen years) to provide leadership for the company when we have the necessary capital.

Employees

We intend to hire three (3) managers by the end of the fourth quarter of 2007. Our employees will be those individuals that we have named as our key personnel who are currently assisting the company on an unpaid basis.  They are Lawrence D. Larsen, Lance Larsen and Serguei Tevs. With their programming and business experience we believe we will be able to develop an appropriate sales force through their personal and professional contacts.

We are currently researching the type of individual, salary ranges and benefit program we will need to put in place to attract personnel that can produce results.  Outside of our key employees we believe that we will need to augment our staff with a general accounting person to coordinate accounts payable and receivables as well as our general ledger.  A receptionist/secretary will be hired to handle and distribute incoming inquires for sales and general inquires.

It is our intention to utilize computerization where possible to eliminate the need for a staff person.  This specifically applies to our incoming calls for service of equipment as well as directing non-sales inquiries directly to the person called.

Product Research and Development

We plan to continue the additional programming necessary to insure the viability of our software product. We believe this additional programming is necessary to insure that our additional features are in keeping with the continually changing demands of the public.  Since three (3) of our key individuals were the original developers of our program we believe that they are necessary to continue the development of our software.

As a tab on the side of your desktop, Ivecon begins as a graphically rich, easy to use, and totally secure Instant Messaging system called Raptor. Raptor uses an open source encryption plug-in



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system -- click a button and select any plug-in you desire, from DES to Military-Grade Skipjack. The days of worrying about any entity spying on your communiqué are over. This is peace of mind for users (read: shoppers), and imperative to businesses. Until now, corporations have been slow to adopt IM due to security. Ivecon is suitable for even government use, and will be submitted for government review. The FBI/CIA/NSA are free to create their own encryption plug available only to authorized users.

On installation, Ivecon allows the user to create an encrypted key that is kept on their hard drive for communications, and a second key containing the users credit card and shipping address used for commerce. Studies show a small number of e-commerce websites command a huge percentage of e-commerce traffic (e-bay, e-trade, Amazon.com, Staples.com.) Ivecon includes a number of e-commerce stores granted to a handful of companies that have proven to be web-friendly.

We will attempt to use a strategic alliance with Voxeo Corporation so that Ivecons Raptor instant messenger will use an integration of multimedia and telephony. Should you be away from your messenger, Raptor can forward an incoming message to your cell phone. Using a text to speech engine your message is read. Should you choose, you may press a button to reply. A voice recording is created and sent back to the original senders Raptor messenger. Ivecon users are issued a phone number on their initial sign-up. Voxeo provides hubs of phone numbers from 14 cities around the U.S. New areas are added every day. Using your computers mic/speakers, you can place telephone calls to any POTS telephone. Should you be away from your computer, you can check Raptor messages by calling your Ivecon phone number and entering a password. The Raptor Contact list is available through this phone number to send voice messages to other users. If those users are online, you can speak with them. Even your home answering machine messages can be sent to your Ivecon Raptor system at work by forwarding your phone to your Voxeo number. Should you have a Microsoft Cordless Phone Answering Machine, Ivecon will pick up new messages left on the machine and send them to your cell phone or other logged on Raptor session.

From the emerging panel users can enter Ivecon stores, select products, click the checkout button and have the items show up on the users doorstep. Credit card information is exchanged with the commerce site using the preferred encryption, point-to-point. Stores are broken out into instant delivery and shipped goods stores. The instant delivery stores available may very depending on the geographical location of the user, determined by zip code.

Raptor users can initiate a secure voice call. On initiation Ivecon sends each user an encrypted hash table that is used against their public ring to scramble the call. This Military-Grade system ensures that your words will not be intercepted. Secure videophone will also be available in latter stages of development. This feature alone replaces a pair of $5000 scramble handsets.

Any time after signing up with Ivecon, you can easily order a credit card sized CD-ROM that contains your encryption token, and can be carried in your wallet. If you are at a co-workers desk and want to check your messages, place the CD card in the drive. If the computer has Ivecon install, the current user is logged out and you are prompted for password. On successful entry, your contact list fills in and all your outstanding messages arrive. Pop out the CD and your history is triple-wiped from the hard drive and dumped from memory. Your read messages are sent to your home history list, and the previous user is prompted for their password.



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If you are at a computer does not have Ivecon installed, it is installed from the CD. After use, your user history is wiped from the drive. Read messages are sent to the history of your home Ivecon machine. Because we allow an instance of Ivecon to be tagged as the home computer, Ivecon includes X10 control to allow remote operation of any lights, drapes, or other X10 equipment in your home or office. Reboot a work server from home or flip on the driveway light before leaving from work late. X10 is an inexpensive, proven, and reliable system on the verge of a vertical market. The main roadblock to widespread X10 adoption is an easy interface to use it.

Ivecon includes a community broadcasting system that allows users to broadcast their own radio program to anyone that cares to listen. As hardware and bandwidth allow, Ivecon will later migrate into television allowing users to utilize their webcam to stream their own TV station. Every 13 minutes during these radio and TV programs, a two-minute commercial will interrupt their broadcast.

How long can we satisfy our cash requirements and will we need to raise additional funds in the next 12 months?

Our Plan of Operation for the next twelve months is to raise capital to implement our strategy. We do not have the necessary cash and revenue to satisfy our cash requirements for the next twelve months. We anticipate that we will use the funds raised in this offering and revenues generated to fund the hiring of employees, equipment purchases, office improvements, and marketing activities and working capital. Our failure to market and promote our services will harm our business and future financial performance. If we are unable to commence our operations within the next twelve months, we will likely fail to increase our revenues.  We cannot guarantee that additional funding will be available on favorable terms, if at all. If adequate funds are not available, then we may not be able to expand our operations. If adequate funds are not available, we believe that our officers and directors will contribute funds to pay for some of our expenses. However, we have not made any arrangements or agreements with our officers and directors regarding such advancement of funds. We do not know whether we will issue stock for the loans or whether we will merely prepare and sign promissory notes. If we are forced to seek funds from our officers or directors, we will negotiate the specific terms and conditions of such loan when made, if ever. None of our officers or directors is obligated to pay for our expenses. Moreover, only one (1) of our officers or directors has specifically agreed to pay our expenses should we need such assistance, our President Jay D. Solomon.

During the last twelve months our revenue decreased and we had a decrease in cash available at December 31, 2006 compared to December 31, 2005.  Our cash available at the end of the year December 31, 2006 decreased from December 31, 2005 mainly due to a decrease in our revenues and an increase in professional fees.  At our current burn rate of cash of approximately $900 per month we will need to raise additional capital immediately as we do not have sufficient cash for the next twelve months.

We directly attribute the dramatic increase in our expenses and resulting loss to the additional legal, accounting and other fees related to the costs of filing a registration statement and periodic reports with the Securities and Exchange Commission.



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The implementation of our business strategy is estimated to take approximately twelve (12) months. Once we are able to secure funding, implementation will begin immediately. We anticipate 30 days to be in a stage of full operational activity to gain clients. The major parts of the strategy that are to be immediately implemented will be the human resource procurement, sales and marketing and office equipment.

We will compete with national manufacturers and distributors. Once our website is operational, however, we will also compete with other Internet-based companies and businesses that have developed and are in the process of developing competing websites. We cannot guarantee that other websites or functionally similar services have not been developed or are not in development. Many of these Internet-based competitors have greater financial and other resources, and more experience in research and development, than we have. We plan to design our website to allow current and potential clients to ask our account managers introductory questions via e-mail. We believe that interchange will allow us to tailor our services to each particular client.  We do not expect to have this website operational until we secure additional capital. However, as of the date of this prospectus, our website has not moved beyond the mere discussion phase as we currently lack the necessary funds to begin development of our website. We do believe that it can be fully operational within thirty days after securing funds. We will use one of our key people who will design and maintain our website and provide continual updates to our site with the most current information for our potential clients. Assuming our proposed website becomes operational, we expect to next focus on expanding the scope of our Internet presence. We hope to achieve such expansion by registering with major search engines with the goal of placing our website at the top of search results. This typically requires pre-funding with certain search engines. We do not currently have adequate financial resources to conduct such registration.

Expected purchases or sale of plant and significant equipment

We do anticipate purchases of significant computer equipment.  In addition other general office supplies and general office equipment will be made should we raise sufficient funds to purchase such equipment.

The computer equipment we anticipate purchasing will include multiple servers as well as a networked system for our four (4) key personnel.

Off-Balance Sheet Arrangements

We have made no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that is material to investors.



Item 3.  Controls and Procedures.



The Board of Directors has established a regular three (3) month meeting to completely review the financial reporting of the Company. Our Chairman/President, Jay D. Solomon will be providing a full financial reporting and accounting of the Company according to the Generally



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Accepted Accounting Principles and guidelines established by the American Institute of Certified Public Accountants. The Board of Directors has found no weakness in the controls that have been established and believes that the quarterly monitoring by the full Board of Directors will keep those who invest in our Company fully informed of the true financial status of the Company at all times. Should there be a change in our internal control over financial reporting, this change or changes will be made available in our reports due to the Securities and Exchange Commission.

Part II.  Other Information



Item 1.  Legal Proceedings.



NONE



Item 2.  Unregistered Sales of Equity Securities and Use of Proceeds.



NONE



Item 3.  Defaults Upon Senior Securities



NONE



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



NONE



Item 5.  Other Information.



NONE



Item 6.  Exhibits



(a) Exhibits



Exhibit Number

Location

and Description

Reference



(a)

Reports of Independent Certified Accountants

Filed Herewith



(b)

Financial Statements

Filed Herewith

(c)

Exhibits required by Item 601, Regulation SB;



(2.0)

Plan of purchase, sale, organization, arrangement

None

liquidation or succession



(3.0)

Articles of Incorporation





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(3.1)

Initial Articles of Incorporation filed

See Exhibit Key

with SB-2 Registration Statement

on April 26, 2006



(3.2)

Amendment to Articles of Incorporation

See Exhibit Key

filed with SB-2 Registration Statement

on April 26, 2006



(3.3)

Bylaws filed with SB-2 Registration

See Exhibit Key

Statement on April 26, 2006



(4.0)

Instruments defining the rights of security

None

holders, including indentures

(9.0)

Voting trust agreement

None



(10.0)

Material contracts

None



(11.0)

Statement re:  computation of per share

Note C to

earnings

Financial Stmts.



(14.0)

Code of Ethics

See Exhibit Key



(16.0)

Letter on change of certifying accountant

None



(18.0)

Letter on change in accounting principles

None



(20.0)

Other documents or statements to security

None

holders or any document incorporated by

reference



(21.0)

Subsidiaries of small business issuer

None



(22.0)

Published report re: matters submitted to

None

vote of security holders



(23.0)

Consents of experts and counsel

See Exhibit Key



(24.0)

Power of attorney

None



(31.0)

Certificate of Chief Executive Officer

Filed herewith

and Chief Financial Officer



(32.0)

Certification pursuant to 18 U.S.C. § 1350,

Filed herewith

as adopted pursuant to Section 906 of the

Sarbanes-Oxley Act of 2002





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(99.0)

Additional Exhibits

None



Exhibit Key



3.1

Incorporated by reference herein to the Companys Form SB-2

Registration Statement filed with the Securities and Exchange

Commission on April 26, 20006.



3.2

Incorporated by reference herein to the Companys Form SB-2

Registration Statement filed with the Securities and Exchange

Commission on April 26, 20006.



3.3

Incorporated by reference herein to the Companys Form SB-2

Registration Statement filed with the Securities and Exchange

Commission on April 26, 20006.



14.0

Incorporated by reference herein to the Companys Form SB-2

Registration Statement filed with the Securities and Exchange

Commission on April 26, 20006.



23.0

Incorporated by reference herein to the Companys Form SB-2

Registration Statement filed with the Securities and Exchange

Commission on April 26, 20006.







SIGNATURES



In accordance with Section 13 or 15(d) of the Exchange Act, the Registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.







IVECON CORPORATION





Date: August 10, 2007

By:  /s/ Jay D. Solomon





JAY D. SOLOMON,

Chief Executive Officer

Chief Operating Officer







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