----

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**UNITED      STATES**

**SECURITIES      AND EXCHANGE COMMISSION**

**FORM      10-QSB**

**x**
**      QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (D) OF **
**THE      SECURITIES EXCHANGE ACT OF 1934**

** ̈**
**      TRANSITIONAL REPORT UNDER SECTION 13 OR 15(D) OF **
**THE      SECURITIES EXCHANGE ACT OF 1934 (NO FEE REQUIRED)**

*Commission      File No. 0-32923*

**AOB      BIOTECH, INC.**

| **CALIFORNIA**                                                                |   | **90-0110902**                                         |
|-------------------------------------------------------------------------------|--------|--------------------------------------------------------|
| (State                or Other Jurisdiction of Incorporation or Organization) |   | (I.R.S.                Employer Identification Number) |

**301      N. Lake Avenue, Ste. 202, Pasadena CA 91101**

**(626)      796-3988**

**Yes**
**x      No ̈**

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*Table          of Contents*

**AOB      BIOTECH, INC.**

**TABLE      OF CONTENTS**

|                                                                                                                        | **Page**                   |
|-----------------------------------------------------------------------------------------------------------------------------|----------------------------|
| **PART                I FINANCIAL INFORMATION**                                                                             |                       |
|                                                                                                                        |                       |
| Item                1. Financial Statements                                                                                 |                       |
|                                                                                                                        |                       |
| Condensed                Balance Sheets (Unaudited)                                                                         | 4                          |
|                                                                                                                        |                       |
| Condensed                Statements of Operations                (Unaudited)                                                | 5                          |
|                                                                                                                        |                       |
| Condensed                Statements of Changes in Stockholders Equity                (Unaudited)                            | 6                          |
|                                                                                                                        |                       |
| Condensed                Statements of Cash Flows                (Unaudited)                                                | 7                          |
|                                                                                                                        |                       |
| Notes                to the Condensed Financial Statements                (Unaudited)                                       | 8 -                10 |
|                                                                                                                        |                       |
| Item                2. Management's Discussion and Analysis of Financial                Condition and Results of Operations | 11                         |
|                                                                                                                        |                       |
| Item                3. Controls and Procedures                                                                              | 13                         |
|                                                                                                                        |                       |
| **PART                II OTHER INFORMATION**                                                                                |                       |
|                                                                                                                        |                       |
| Item                1. Legal Proceedings                                                                                    | 14                         |
|                                                                                                                        |                       |
| Item                2. Changes in Securities                                                                                | 14                         |
|                                                                                                                        |                       |
| Item                3. Defaults upon Senior                Securities                                                       | 14                         |
|                                                                                                                        |                       |
| Item                4. Submission of Matters to Vote of Security                Holders                                     | 14                         |
|                                                                                                                        |                       |
| Item                5. Other Information                                                                                    | 14                         |
|                                                                                                                        |                       |
| Item                6. Exhibits and Reports on Form                8-K                                                      | 14                         |
|                                                                                                                        |                       |
| Signatures                and Certifications                                                                                | 14                         |

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*Table          of Contents*

**PART      I FINANCIAL INFORMATION**

**Item      1. Financial Statements**

**AOB      BIOTECH, INC.**

**TABLE      OF CONTENTS**

|                                                                                        | **Page**                    |
|---------------------------------------------------------------------------------------------|-----------------------------|
|                                                                                        |                        |
| Condensed                Balance Sheets                                                     |  4                     |
|                                                                                        |                        |
| Condensed                Statements of                Operations                            |  5                     |
|                                                                                        |                        |
| Condensed                Statements of Changes in Stockholders’                Equity |  6                     |
|                                                                                        |                        |
| Condensed                Statements of Cash Flows                                           |  7                     |
|                                                                                        |                        |
| Notes                to Condensed Financial                Statements                       |  8                - 10 |

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*Table          of Contents*

**AOB      BIOTECH, INC.**

|                                                                                                                                                                                                                                                     |   | **November                30, 2006 (Unaudited)** |    | May                31, 2006 |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------|---------|-----------------------------|--------|
| **ASSETS**                                                                                                                                                                                                                                               |   |
|                                                                                                                                                                                                                                                     |   |                                             |    |                        |   |
| Current                assets                                                                                                                                                                                                                            |   |                                             |    |                        |   |
|                   Cash and equivalents                                                                                                                                                                                                         |   | $                                                | 545,948 |                        | $      | 636,645 |   |
|                   Accounts receivable                                                                                                                                                                                                          |   |                                             | 206,797 |                        |   | 256,797 |   |
|                   Inventory                                                                                                                                                                                                                    |   |                                             | 89,855  |                        |   | 90,808 |   |
|                   Prepaid expenses                                                                                                                                                                                                             |   |                                             | 6,224   |                        |   | 915 |   |
| Total                current assets                                                                                                                                                                                                                      |   |                                             | 848,824 |                        |   | 985,165 |   |
|                                                                                                                                                                                                                                                     |   |                                             |    |                        |   |   |   |
| Property                and equipment                                                                                                                                                                                                                    |   |                                             |    |                        |   |   |   |
|                   Office furniture and equipment, net                                                                                                                                                                                          |   |                                             | 11,291  |                        |   | 12,214 |   |
|                   Software, net                                                                                                                                                                                                                |   |                                             | 405     |                        |   | 491 |   |
| Total                property and equipment, net                                                                                                                                                                                                         |   |                                             | 11,696  |                        |   | 12,705 |   |
|                                                                                                                                                                                                                                                     |   |                                             |    |                        |   |   |   |
| Other                assets                                                                                                                                                                                                                              |   |                                             |    |                        |   |   |   |
|                   Deposit                                                                                                                                                                                                                      |   |                                             | 33,500  |                        |   | 33,500 |   |
|                                                                                                                                                                                                                                                     |   |                                             |    |                        |   |   |   |
| **Total                assets**                                                                                                                                                                                                                          |   | $                                                | 894,020 |                        | $      | 1,031,370 |   |
|                                                                                                                                                                                                                                                     |   |                                             |    |                        |   |   |   |
| **LIABILITIES                AND SHAREHOLDERS’ EQUITY**                                                                                                                                                                                            |
|                                                                                                                                                                                                                                                     |   |                                             |    |                        |   |   |   |
| Current                liabilities                                                                                                                                                                                                                       |   |                                             |    |                        |   |   |   |
|                   Account payable                                                                                                                                                                                                              |   | $                                                | 1,400   |                        | $      | 30,719 |   |
|                   Deferred revenue                                                                                                                                                                                                             |   |                                             | 100,000 |                        |   | 300,000 |   |
|                   Accrued expenses                                                                                                                                                                                                             |   |                                             | 54,726  |                        |   | 72,212 |   |
|                   Loan from affiliate                                                                                                                                                                                                          |   |                                             | 117,720 |                        |   | 81,344 |   |
|                   Loan from officer                                                                                                                                                                                                            |   |                                             | 77,124  |                        |   | 77,124 |   |
| Total                current liabilities                                                                                                                                                                                                                 |   |                                             | 350,970 |                        |   | 561,399 |   |
|                                                                                                                                                                                                                                                     |   |                                             |    |                        |   |   |   |
| Stockholders’                equity                                                                                                                                                                                                                |   |                                             |    |                        |   |   |   |
|                   Common stock, no par value, 50,000,000 shares authorized,                   14,395,036 and 14,273,836 shares                issued and outstanding as of 11/30/06 and 5/31/06,    respectively |   |                                             | 631,518 |                        |   | 570,918 |   |
|                   Stock subscriptions receivable                                                                                                                                                                                               |   |                                             | (25,000 | )                           |   | (25,000 | ) |
|                   Retained earnings                                                                                                                                                                                                            |   |                                             | (63,468 | )                           |   | (75,947 | ) |
| Total                stockholders’ equity                                                                                                                                                                                                          |   |                                             | 543,050 |                        |   | 469,971 |   |
|                                                                                                                                                                                                                                                     |   |                                             |    |                        |   |   |   |
| **Total                liabilities and shareholders’ equity**                                                                                                                                                                                      |   | $                                                | 894,020 |                        | $      | 1,031,370 |   |

**See      Accompanying Notes to Financial Statements**

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*Table          of Contents*

**AOBBIOTECH,      INC.**

|                                                                                                         |   | **Three                Months Ended November 30,** |       | **Six                Months Ended November 30,** |   |
|--------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------|------------|--------------------------------------------------|--------|
|                                                                                                         |   | **2006**                                           |       | **2005**                                         |   | **2006** |   | **2005** |   |
|                                                                                                         |   |                                               |       |                                             |   |   |   |   |   |
| Revenues                                                                                                     |   |                                               |       |                                             |   |   |   |   |   |
|                   Product Sales                                                                    |   | $                                                  | 1,129      |                                             | $      | -- |   | $ | 3,219 |   | $ | -- |   |
|                   Marketing consulting service                                                     |   |                                               | --         |                                             |   | 5,000 |   |   | -- |   |   | 5,000 |   |
|                   Formula development                                                              |   |                                               | 200,000    |                                             |   | -- |   |   | 200,000 |   |   | -- |   |
| Total                revenues                                                                                |   |                                               | 201,129    |                                             |   | 5,000 |   |   | 203,219 |   |   | 5,000 |   |
|                                                                                                         |   |                                               |       |                                             |   |   |   |   |   |   |   |   |   |
| Cost                of revenues                                                                              |   |                                               |       |                                             |   |   |   |   |   |   |   |   |   |
|                   Cost of goods sold                                                               |   |                                               | 865        |                                             |   | -- |   |   | 953 |   |   | -- |   |
|                   Marketing consulting service                                                     |   |                                               | --         |                                             |   | 1,413 |   |   | -- |   |   | 1,413 |   |
|                   Formula development                                                              |   |                                               | 19,530     |                                             |   | -- |   |   | 19,530 |   |   | -- |   |
| Total                cost of revenues                                                                        |   |                                               | 20,395     |                                             |   | 1,413 |   |   | 20,483 |   |   | 1,413 |   |
|                                                                                                         |   |                                               |       |                                             |   |   |   |   |   |   |   |   |   |
| Gross                profit                                                                                  |   |                                               | 180,734    |                                             |   | 3,587 |   |   | 182,736 |   |   | 3,587 |   |
|                                                                                                         |   |                                               |       |                                             |   |   |   |   |   |   |   |   |   |
| Selling,                general and administrative expenses                                                  |   |                                               | 74,918     |                                             |   | 86,358 |   |   | 177,779 |   |   | 127,427 |   |
|                                                                                                         |   |                                               |       |                                             |   |   |   |   |   |   |   |   |   |
| Income                (Loss) from operations                                                                 |   |                                               | 105,816    |                                             |   | (82,771 | ) |   | 4,957 |   |   | (123,840 | ) |
|                                                                                                         |   |                                               |       |                                             |   |   |   |   |   |   |   |   |   |
| Other                income (expense)                                                                        |   |                                               |       |                                             |   |   |   |   |   |   |   |   |   |
|                   Other income                                                                     |   |                                               | 515        |                                             |   | -- |   |   | 515 |   |   | -- |   |
|                   Interest income                                                                  |   |                                               | 5,984      |                                             |   | 5,219 |   |   | 12,311 |   |   | 7,108 |   |
|                   Interest expense                                                                 |   |                                               | (2,353     | )                                                |   | (727 | ) |   | (4,504 | ) |   | (2,083 | ) |
| Total                other income (expense)                                                                  |   |                                               | 4,146      |                                             |   | 4,492 |   |   | 8,322 |   |   | 5,025 |   |
|                                                                                                         |   |                                               |       |                                             |   |   |   |   |   |   |   |   |   |
| Net                income (loss) before income taxes                                                         |   | $                                                  | 109,962    |                                             | $      | (78,279 | ) | $ | 13,279 |   | $ | 118,815 |   |
|                                                                                                         |   |                                               |       |                                             |   |   |   |   |   |   |   |   |   |
| Provision                for income taxes                                                                    |   |                                               | --         |                                             |   | -- |   |   | 800 |   |   | 800 |   |
|                                                                                                         |   |                                               |       |                                             |   |   |   |   |   |   |   |   |   |
| Net                income (loss)                                                                             |   | $                                                  | 109,962    |                                             | $      | (78,279 | ) | $ | 12,479 |   | $ | (119,615 | ) |
|                                                                                                         |   |                                               |       |                                             |   |   |   |   |   |   |   |   |   |
| Weighted                average number of common shares outstanding - basic and fully                diluted |   |                                               | 14,354,711 |                                             |   | 14,100,288 |   |   | 14,279,935 |   |   | 13,895,866 |   |
|                                                                                                         |   |                                               |       |                                             |   |   |   |   |   |   |   |   |   |
| Net                income (loss) per share -- basic and fully diluted                                        |   | $                                                  | 0.0077     |                                             | $      | (0.0056 | ) | $ | 0.0009 |   | $ | (0.0086 | ) |

**See      Accompanying Notes to Financial Statements**

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*Table          of Contents*

**AOBBIOTECH,      INC.**

|                                                                   |   | November                  30, 2006 (Unaudited) |       | May                  31, 2006 |   |
|------------------------------------------------------------------------|--------|------------------------------------------------|------------|-------------------------------|--------|
|                                                                   |   |                                           |       |                          |   |
| Common                  stock, number of shares outstanding            |   |                                           |       |                          |   |
|                     Balance at beginning of the period       |   |                                           | 14,273,836 |                          |   | 13,400,000 |   |
|                     Shares issued for the period             |   |                                           | 121,200    |                          |   | 873,836 |   |
|                                                                   |   |                                           |       |                          |   |   |   |
| Balance                  at end of the period                          |   |                                           | 14,395,036 |                          |   | 14,273,836 |   |
|                                                                   |   |                                           |       |                          |   |   |   |
| Common                  stock, no par value                            |   |                                           |       |                          |   |   |   |
|                     Balance at beginning of the period       |   | $                                              | 570,918    |                          | $      | 134,000 |   |
|                     Shares issued for the period             |   |                                           | 60,600     |                          |   | 426,918 |   |
|                                                                   |   |                                           |       |                          |   |   |   |
| Balance                  at end of the period                          |   |                                           | 631,518    |                          |   | 570,918 |   |
|                                                                   |   |                                           |       |                          |   |   |   |
| Stock                  subscriptions receivable                        |   |                                           |       |                          |   |   |   |
|                     Balance at beginning of the period       |   |                                           | (25,000    | )                             |   | -- |   |
|                     Shares issued for the period             |   |                                           | --         |                          |   | (25,000 | ) |
|                                                                   |   |                                           |       |                          |   |   |   |
| Balance                  at end of the period                          |   |                                           | (25,000    | )                             |   | (25,000 | ) |
|                                                                   |   |                                           |       |                          |   |   |   |
| Retained                  deficits                                     |   |                                           |       |                          |   |   |   |
|                     Balance at beginning of the period       |   |                                           | (75,947    | )                             |   | (27,092 | ) |
|                     Shares issued for the period             |   |                                           | 12,479     |                          |   | (48,855 | ) |
|                                                                   |   |                                           |       |                          |   |   |   |
| Balance                  at end of the period                          |   |                                           | (63,468    | )                             |   | (75,947 | ) |
|                                                                   |   |                                           |       |                          |   |   |   |
| Total                  stockholders’ equity at end of the period |   | $                                              | 543,050    |                          | $      | 469,971 |   |

**See      Accompanying Notes to Financial Statements**

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*Table          of Contents*

**AOB      BIOTECH, INC.**

|                                                                                                            |   | **Six                Months Ended May 30,** |     |
|-----------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------|----------|
|                                                                                                            |   | **2006**                                    |     | **2005** |   |
|                                                                                                            |   |                                        |     |   |   |
| **Cash                flows from operating activities**                                                         |   |                                        |     |   |   |
| Net                income (loss)                                                                                |   | $                                           | 12,479   |   | $ | (119,615 | ) |
| Adjustments                to reconcile net income to net cash provided by operating                activities: |   |                                        |     |   |   |   |   |
|                    Depreciation and amortization expenses                                        |   |                                        | 1,010    |   |   | 201 |   |
|                    (Increase) Decrease in accounts receivable                                    |   |                                        | 50,000   |   |   | -- |   |
|                    (Increase) Decrease in prepaid expenses                                       |   |                                        | (5,309   | ) |   | (1,800 | ) |
|                    (Increase) Decrease in inventory                                              |   |                                        | 953      |   |   | (25,000 | ) |
|                    (Increase) Decrease in deposits                                               |   |                                        | --       |   |   | (10,500 | ) |
|                    Increase (Decrease) in accounts payable                                       |   |                                        | (29,319  | ) |   | -- |   |
|                    Increase (Decrease) in deferred revenue                                       |   |                                        | (200,000 | ) |   | 500,000 |   |
|                    Increase (Decrease) in accrued expenses                                       |   |                                        | (17,485  | ) |   | (2,214 | ) |
| **Net                cash provided by (used in) operating activities**                                          |   |                                        | (187,671 | ) |   | 341,072 |   |
|                                                                                                            |   |                                        |     |   |   |   |   |
| **Cash                flows from investing activities**                                                         |   |                                        |     |   |   |   |   |
|                    Cash used to purchase fixed assets                                            |   |                                        | --       |   |   | (6,324 | ) |
| **Net                cash used in investing activities**                                                        |   |                                        | --       |   |   | (6,324 | ) |
|                                                                                                            |   |                                        |     |   |   |   |   |
| **Cash                flows from financing activities**                                                         |   |                                        |     |   |   |   |   |
|                    Increase (Decrease) in loan from affiliate                                    |   |                                        | 36,374   |   |   | (50,000 | ) |
|                    Increase (Decrease) in loan from shareholder                                  |   |                                        | --       |   |   | 15,834 |   |
|                    Proceeds from issuance of common stock                                        |   |                                        | 60,600   |   |   | 402,918 |   |
| **Net                cash provided by financing activities**                                                    |   |                                        | 96,674   |   |   | 368,752 |   |
|                                                                                                            |   |                                        |     |   |   |   |   |
| **Net                increase (decrease) in cash**                                                              |   |                                        | (90,697  | ) |   | 703,500 |   |
|                                                                                                            |   |                                        |     |   |   |   |   |
| Cash                - beginning                                                                                 |   |                                        | 636,645  |   |   | 80,734 |   |
| Cash                - ending                                                                                    |   | $                                           | 545,948  |   | $ | 784,234 |   |
|                                                                                                            |   |                                        |     |   |   |   |   |
| **SUPPLEMENTAL                DISCLOSURES**                                                                     |   |                                        |     |   |   |   |   |
|                                                                                                            |   |                                        |     |   |   |   |   |
| Interest                paid                                                                                    |   | $                                           | --       |   | $ | -- |   |
| Income                taxes paid                                                                                |   | $                                           | 800      |   | $ | 800 |   |

**See      Accompanying Notes to Financial Statements**

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*Table          of Contents*

**AOB      BIOTECH, INC.**

**NOTES      TO THE FINANCIAL STATEMENTS**

**NOTE      1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**

**NOTE      2 - RELATED PARTY TRANSACTIONS**

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*Table          of Contents*

**NOTE      3 - CAPITAL STOCK**

**NOTE      4 - COMMITMENTS**

| For                the year ended November, |   | Amount |    |
|---------------------------------------------|--------|--------|---------|
|                                        |   |   |    |
| 2007                                        |   | $      | 155,884 |   |
| 2008                                        |   |   | 96,754  |   |
| 2009                                        |   |   | 22,446  |   |
|                                        |   |   |    |   |
| Total                                       |   | $      | 275,084 |   |

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*Table          of Contents*

**NOTE      5 - SEGMENT INFORMATION**

|                                        |   | **Six                Months Ended November 30,** |    |
|---------------------------------------------|--------|--------------------------------------------------|---------|
|                                        |   | **2006**                                         |    | **2005** |   |
|                                        |   | Revenue                                          |    | Gross                Profit |   | Revenue |   | Gross                Profit |   |
|                                        |   |                                             |    |   |   |   |   |   |   |
| Product                Sales                |   | $                                                | 3,219   |   | $ | 2,266 |   | $ | -- |   | $ | -- |   |
| Formula                development          |   |                                             | 200,000 |   |   | 180,470 |   |   | -- |   |   | -- |   |
| Marketing                consulting service |   |                                             | --      |   |   | -- |   |   | 5,000 |   |   | 3,587 |   |
|                                        |   | $                                                | 203,219 |   | $ | 182,736 |   | $ | 5,000 |   | $ | 3,587 |   |

|                         |   | **Six                Months Ended November 30,** |    |
|------------------------------|--------|--------------------------------------------------|---------|
|                         |   | **2006**                                         |    | **2005** |   |
|                         |   |                                             |    |   |   |
| United                States |   | $                                                | 3,219   |   | $ | 5,000 |   |
| Japan                        |   |                                             | 200,000 |   |   | -- |   |
|                         |   |                                             |    |   |   |   |   |
| Total                        |   | $                                                | 203,219 |   | $ | 5,000 |   |

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*Table          of Contents*

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

**Overview      **

For      the      year ended May 31, 2005, the Company received all of its revenues from its      marketing and consulting services and of those revenues over 90% was from one      customer, FINA International Co., Ltd. In the year ended May 31, 2006 the      Company was able to develop its product sales business which represented      approximately 56% of total revenues. Over 95% of the Company’s revenues was      generated by only one customer. This customer who purchased the Company’s      products owes the Company, as of August 31, 2006, $206,440. These monies should      all be paid by December 31, 2006. Super Max USA, Inc. was responsible for all      of      the Company’s formula development business. The Company received $500,000 for      the development of five products. 

**Results      of Operations**

**Six      Months Ended November 30, 2006 Compared to Six Months Ended November 30,      2005**

**Three          Months Ended November 30, 2006 Compared to Three Months Ended November          30,          2005.**

**Liquidity      and Capital Resources **

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*Table          of Contents*

**Critical      Accounting Policies**

**Revenue      Recognition **

**Income      Taxes **

**Allowance      for Doubtful Accounts **

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*Table          of Contents*

**Inventory      Reserves **

**Segment      Information **

**Caution      regarding forward-looking statements**

**Item      3. Controls and Procedures**

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*Table          of Contents*

**PART      II - OTHER INFORMATION**

**Item      1. Legal Proceedings**

**Item      2. Changes in Securities**

**Item      3. Defaults Upon Senior Securities**

**Item      4. Submission of Matters to a Vote of Securities      Holders**

**Item      5. Other Information**

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

| a)   | Form                8-K - None |
|----------------|--------------------------------|

| b)   | Exhibits |
|----------------|----------|

| Exhibit                  number |   | Description                                                 |
|---------------------------------|--------|-------------------------------------------------------------|
|                            |   |                                                        |
| 31.1                            |   | Section                  302 Certification                  |
|                            |   |                                                        |
| 31.2                            |   | Section                  302 Certification                  |
|                            |   |                                                        |
| 32.1                            |   | Section                  906                  Certification |

**SIGNATURES**

| Dated:                January 18, 2007 | AOB                Biotech, Inc.         |
|----------------------------------------|------------------------------------------|
|                                   |                                     |
|                                   | *By:**/s/                Nelson Liao*    |
|                                   | *Nelson                Liao*             |
|                                   | *Chief                Executive Officer* |

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*Table          of          Contents*