U.S. SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549


                                    FORM 10-Q


                Quarterly Report Under Section 13 or 15(d) of the
                        Securities Exchange Act of 1934.


                 For the quarterly period ended: March 31, 2003

                           Commission File No. 1-16119




                            SFBC INTERNATIONAL, INC.
             (Exact name of registrant as specified in its charter)


           DELAWARE                                          59-2407464
(State or other jurisdiction of                           (I.R.S. Employer
 incorporation or organization)                         Identification Number)

                              11190 BISCAYNE BLVD.
                                 MIAMI, FL 33181
                                 (305) 895-0304
                          (Address and telephone number
                         of principal executive offices)



Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days. Yes [X] No [ ]

Indicate by check mark whether the registrant is an accelerated filer (as
defined in Rule 12b-2 of the Exchange Act). Yes [X] No [ ]

The registrant has 7,226,444 shares of common stock outstanding as of May 7,
2003


<PAGE>


                                      INDEX
<TABLE>
<CAPTION>

                                                                                                              Page
                         PART I - FINANCIAL INFORMATION
<S>             <C>                                                                                        <C>

ITEM 1.         Financial Statements

                Condensed Consolidated Balance Sheets
                  as of  March 31, 2003 and December 31, 2002                                                   3

                Condensed Consolidated Statements of Earnings
                  for the three months ended March 31, 2003 and 2002                                            4

                Condensed Consolidated Statements of Cash Flows
                  for the three months ended March 31, 2003 and 2002                                          5 - 6

                Notes to Unaudited Condensed Consolidated Interim Financial Statements                        7 - 12

ITEM 2.         Management's Discussion and Analysis of Interim Financial
                  Condition and Results of Operations                                                        13 - 21

ITEM 3.         Quantitative and Qualitative Disclosures About Market Risk                                   21 - 22

ITEM 4.         Controls and Procedures                                                                        22



                           PART II - OTHER INFORMATION


ITEM 1.         Legal Proceedings                                                                              22

ITEM 2.         Change in Securities                                                                           22

ITEM 3.         Defaults upon Senior Securities                                                                22

ITEM 4.         Submission of Matters to a Vote of Security Holders                                            23

ITEM 5.         Other Information                                                                              23

ITEM 6.         Exhibits and Reports on Form 8-K                                                               23


</TABLE>





                                       2
<PAGE>




SFBC INTERNATIONAL, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
MARCH 31, 2003 AND DECEMBER 31, 2002
================================================================================
<TABLE>
<CAPTION>

ASSETS                                                                              (Unaudited)
                                                                                      March 31,     December 31,
                                                                                        2003           2002
                                                                                        ----           ----

Current Assets
<S>                                                                                    <C>            <C>
      Cash and cash equivalents                                                        4,203,524      6,361,496
      Investment in marketable securities                                              3,894,279      2,413,522
      Accounts receivable, net                                                        21,880,388     21,753,778
      Income tax receivable                                                                   --        290,221
      Loans receivable from officers/stockholders                                        258,344        343,400
      Prepaids and other current assets                                                3,635,831      4,256,584
                                                                                     -----------    -----------
           Total current assets                                                       33,872,366     35,419,001
Loans receivable from officers                                                           600,000        600,000
Property and equipment, net                                                           17,205,112     16,612,579
Goodwill, net                                                                         30,151,148     30,151,148
Other intangibles, net                                                                 2,360,537      2,662,603
Deferred income taxes                                                                    616,554        283,665
Other assets, net                                                                        301,157        230,444
                                                                                     -----------    -----------
           Total assets                                                               85,106,874     85,959,440
                                                                                     ===========    ===========


LIABILITIES AND STOCKHOLDERS' EQUITY

Current liabilities
      Accounts payable                                                                 5,079,614      6,323,414
      Accrued liabilities                                                              2,269,580      3,041,087
      Advance billings                                                                 2,296,048      3,802,754
      Income taxes payable                                                                57,278             --
      Deferred income taxes                                                               85,308         85,308
      Notes payable, current portion                                                   1,496,656      1,361,231
                                                                                     -----------    -----------
           Total current liabilities                                                  11,284,484     14,613,794
Notes payable                                                                          2,778,157      2,786,956
Deferred income taxes                                                                         --             --
Commitments                                                                                   --             --
Stockholders' equity
      Preferred stock. $0.10 par value, 5,000,000 shares authorized, none issued
      Common stock, $0.001 par value, 20,000,000 shares authorized, 7,225,944 and
         7,408,682 shares issued and outstanding as of March 31, 2003 and
         December 31, 2002                                                                 7,226          7,409

      Additional paid-in capital                                                      55,978,133     58,068,002
      Retained earnings                                                               14,584,715     12,641,431
      Accumulated other comprehensive earnings                                           474,159         18,332
      Common stock held in treasury, at cost - 0 shares at March 31, 2003
        and 204,300 shares at December 31, 2002                                               --     (2,176,484)
                                                                                     -----------    -----------
           Total stockholders' equity                                                 71,044,233     68,558,690
                                                                                     -----------    -----------
           Total liabilities and stockholders' equity                                 85,106,874     85,959,440
                                                                                     ===========    ===========
</TABLE>

The accompanying notes are an integral part of these financial statements.


                                       3
<PAGE>

SFBC INTERNATIONAL, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS (UNAUDITED)
FOR THE THREE MONTHS ENDED MARCH 31, 2003 AND 2002
================================================================================
<TABLE>
<CAPTION>

                                                            Three Months Ended
                                                                March 31,
                                                          2003             2002
                                                          ----             ----
<S>                                                   <C>              <C>
Net revenue                                           $ 18,670,036     $  9,582,555
Costs and expenses
      Direct costs                                      10,568,592        4,861,743
      Selling, general and administrative expenses       5,814,860        2,819,628
                                                      ------------     ------------
           Total costs and expenses                     16,383,452        7,681,371
           Earnings from operations                      2,286,584        1,901,184
Other income (expense)
      Interest income                                       52,015          191,010
      Interest expense                                     (74,439)         (45,719)
                                                      ------------     ------------
           Total other income (expense)                    (22,424)         145,291
                                                      ------------     ------------
           Earnings before taxes                         2,264,160        2,046,475
Income tax expense                                         320,876          716,699
                                                      ------------     ------------
           Net earnings                               $  1,943,284     $  1,329,776
                                                      ============     ============
Earnings per share:
      Basic                                           $       0.27     $       0.20
                                                      ============     ============
      Diluted                                         $       0.26     $       0.18
                                                      ============     ============
Shares used in computing earnings per share:
      Basic                                              7,219,558        6,699,022
                                                      ============     ============
      Diluted                                            7,582,589        7,345,152
                                                      ============     ============
</TABLE>

The accompanying notes are an integral part of these financial statements.



                                       4
<PAGE>

SFBC INTERNATIONAL, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
FOR THE THREE MONTHS ENDED MARCH 31, 2003 AND 2002
================================================================================
<TABLE>
<CAPTION>

                                                                                    2003             2002
                                                                                    ----             ----

Cash flows from operating activities
<S>                                                                               <C>              <C>
    Net earnings                                                                  1,943,284        1,329,807
    Adjustments to reconcile net earnings to net cash provided by operating
    activities:
      Depreciation and amortization                                               1,035,312          249,590
      Provision for bad debt                                                       (140,000)              --
      Noncash compensation - reduction of note receivable                                --               --
      Common stock options issued as compensation                                        --           35,417
      Issuance of common stock for services                                              --               --
      Tax benefit resulting from exercise of stock options                               --               --
      Changes in assets and liabilities
        Accounts receivable                                                         430,769          556,865
        Income tax receivable                                                       290,221               --
        Prepaid expenses and other current assets                                   812,246         (236,141)
        Other assets                                                                (70,713)         277,532
        Accounts payable                                                         (1,502,289)        (751,258)
        Accrued liabilities                                                        (771,507)        (149,782)
        Advance billings                                                         (1,540,536)        (363,972)
        Income taxes payable                                                         57,278         (943,317)
        Deferred income taxes                                                      (220,651)        (681,833)
                                                                               ------------     ------------
Total adjustments                                                                (1,619,870)      (2,006,899)
                                                                               ------------     ------------
          Net cash provided by (used in) operating activities                       323,414         (677,092)
                                                                               ------------     ------------
Cash flows from investing activities
    Cash consideration - acquisitions, net of cash acquired                      (1,572,703)     (22,047,577)
    Purchase of property and equipment                                           (1,325,779)        (508,783)
    Purchase of / change in long term investment - marketable securities            362,985               --
    Loans to officers/stockholders                                                  (10,815)          (1,798)
    Repayment on loans to officers/stockholders                                      95,871               --
                                                                               ------------     ------------
          Net cash used in investing activities                                  (2,450,441)     (22,558,158)
                                                                               ------------     ------------
Cash flows from financing activities
    Principal payments on notes payable - purchase of assets                             --               --
    Principal payments on notes payable - stockholders                                   --               --
    Principal payments on notes payable                                            (166,799)          (1,873)
    Repurchase of common stock                                                           --               --
    Proceeds from the issuance/exercise of warrants and common stock                 86,433               --
    Net proceeds from secondary public offering                                          --               --
                                                                               ------------     ------------
          Net cash used in financing activities                                     (80,366)          (1,873)
                                                                               ------------     ------------
Net effect of exchange rate changes on cash                                          49,421               --
                                                                               ------------     ------------
Net decrease in cash and cash equivalents                                        (2,157,972)     (23,237,123)
Cash and cash equivalents at beginning of period                                  6,361,496       39,103,139
                                                                               ------------     ------------
Cash and cash equivalents at end of period                                     $  4,203,524     $ 15,866,016
                                                                               ============     ============
</TABLE>


The accompanying notes are an integral part of these financial statements.

                                       5
<PAGE>

SFBC INTERNATIONAL, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (Continued)
FOR THE THREE MONTHS ENDED MARCH 31, 2003 AND 2002
================================================================================
<TABLE>
<CAPTION>


                                                                                2002         2001
                                                                                ----         ----
Supplemental disclosures:
<S>                                                                         <C>           <C>
    Interest paid                                                           $   74,439    $   45,719
    Income taxes paid                                                       $   20,855    $1,706,740
Supplemental disclosures of non-cash investing and finance activities:
    Fair value of net assets (liabilities) assumed in connection with
       acquisition of businesses                                            $1,573,430    $  128,613
    Common stock issued in connection with acquisition of business          $       --    $3,255,443
    Professional fees accrued in connection with acquisition of business    $       --    $  413,000
    Common stock options issued as compensation                             $       --    $   35,417
</TABLE>


The accompanying notes are an integral part of these financial statements.




                                       6
<PAGE>



SFBC INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)
================================================================================

NOTE 1.           ORGANIZATION AND BASIS OF PRESENTATION
-------           --------------------------------------

                  PRINCIPLES OF CONSOLIDATION AND ORGANIZATION

                  The consolidated financial statements include the accounts of
                  SFBC International, Inc. (the "Company") and its wholly owned
                  subsidiaries South Florida Kinetics, Inc., SFBC Charlotte,
                  Inc., SFBC New Drug Services, Inc., SFBC Ft. Myers, Inc., SFBC
                  Canada, Inc., Anapharm Inc. and SFBC Analytical Laboratories,
                  Inc. (collectively the "Company"). On April 1, 2003, the
                  operations of SFBC Charlotte were merged into SFBC New Drug
                  Services. All significant intercompany balances and
                  transactions have been eliminated in consolidation.

                  BASIS OF PRESENTATION

                  The accompanying unaudited condensed consolidated financial
                  statements have been prepared in accordance with accounting
                  principles generally accepted in the United States of America
                  for interim financial information and with the instructions to
                  Form 10-Q for quarterly reports under section 13 of the
                  Securities Exchange Act of 1934. Accordingly, they do not
                  include all of the information and footnotes required by
                  accounting principles generally accepted in the United States
                  of America for complete financial statements. In the opinion
                  of management, all adjustments (consisting of normal recurring
                  items) necessary for a fair presentation have been made.
                  Operating results for the three-month period ended March
                  31,2003 are not necessarily indicative of the results that may
                  be expected for the remaining quarters and for the year ending
                  December 31, 2003.

NOTE 2.           SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
-------           ------------------------------------------

                  The accompanying condensed consolidated statements have been
                  prepared in accordance with the accounting policies described
                  in the Company's Annual Report Form 10-KSB for the year ended
                  December 31, 2002, and should be read in conjunction with the
                  consolidated financial statements and notes which appear in
                  that Report. These statements do not include all of the
                  information and footnotes required by accounting principles
                  generally accepted in the United States of America for
                  complete financial statements.

                  The preparation of the Company's financial statements in
                  conformity with accounting principles generally accepted in
                  the United States of America requires management to make
                  estimates and assumptions that affect the reported amounts of
                  assets and liabilities at the date of the financial statements
                  and revenues and expenses during the period. Future events and
                  their effects cannot be determined with absolute certainty;
                  therefore, the determination of estimates requires the
                  exercise of judgment. Actual results inevitably will differ
                  from those estimates, and such differences may be material to
                  our financial statements. Management continually evaluates its
                  estimates and assumptions, which are based on historical
                  experience and other factors that are believed to be

                                       7
<PAGE>


                  reasonable under the circumstances. These estimates and the
                  Company's actual results are subject to the risk factors
                  listed in "Forward-Looking Statements".

                  NET EARNINGS PER SHARE

                  The Company applies Statement of Financial Accounting
                  Standards No. 128, "Earnings Per Share" (FAS 128) which
                  requires dual presentation of net earnings per share: Basic
                  and Diluted. Basic earnings per share is computed using the
                  weighted average number of common shares outstanding during
                  the period. Diluted earnings per share is computed using the
                  weighted average number of common shares outstanding during
                  the period adjusted for incremental shares attributed to
                  outstanding options and warrants to purchase approximately
                  823,395 and 1,076,957, shares of common stock for the three
                  month periods ended March 31, 2003 and 2002, respectively,
                  less the assumed repurchase of shares in accordance with the
                  treasury stock method of approximately 460,363 and 430,827
                  shares for the three month period ended March 31, 2003 and
                  2002, respectively.

                  On July 17, 2002, we announced a common stock buyback plan of
                  up to 750,000 shares. As of December 31, 2002, we had
                  purchased 204,300 shares in various open market purchases at
                  an average price of approximately $10.65 per share, or a total
                  expenditure of approximately $2,176,484. These shares are
                  presented as common stock held in treasury at December 31,
                  2002 and were retired in February 2003. We have not made any
                  additional treasury share purchases since December 31, 2002.
                  We may continue to purchase our shares, or may discontinue the
                  buyback at any time depending on the selling price of our
                  common stock, the viability of potential acquisition targets,
                  and our cash flows from operations and on hand cash balances.

                  STOCK BASED COMPENSATION

                  At March 31, 2003, the Company had one stockbased compensation
                  plan and had entered into a limited number - stock option
                  agreements, which have been disclosed in the Company's annual
                  report on Form 10-KSB for the year ended December 31, 2002 and
                  its proxy statement for the 2003 annual meeting filed with the
                  Securities and Exchange Commisssion. The Company accounts for
                  stock-based compensation using the intrinsic value method.
                  Accordingly, compensation cost for stock options issued is
                  measured as the excess, if any, of the fair value of the
                  Company's common stock at the date of grant over the exercise
                  price of the options. The Company's net earnings and earnings
                  per share would have been changed to the pro forma amounts
                  indicated below had compensation cost for the stock option
                  plans and non-qualified options issued to employees been
                  determined based on the fair value of the options at the grant
                  dates consistent with the method of SFAS 123.

                                       8
<PAGE>

<TABLE>
<CAPTION>

                                                          MARCH 31, 2003    MARCH 31, 2002

Net earnings:
<S>                                                            <C>            <C>
   As reported.......................................          $1,943,284     $1,329,776
   Pro forma.........................................           1,405,975      1,081,409

Basic earnings per share:
   As reported.......................................          $     0.27     $     0.20
   Pro forma.........................................                0.19           0.16

Diluted earnings (loss) per share:
   As reported.......................................          $     0.26     $     0.18
   Pro forma.........................................                0.19           0.15
</TABLE>

                  The above pro forma disclosures may not be representative of
                  the effects on reported net earnings for future years as
                  options vest over several years and the Company may continue
                  to grant options to employees.

                  In accordance with the requirements of SFAS 123, the fair
                  value of each option grant was estimated on the date of grant
                  using a binomial option-pricing model with the following
                  weighted-average assumptions used for grants in 2003 and 2002,
                  respectively: no dividend yield for all years; expected
                  volatility of 75% for 2003 and 2002; risk-free interest rates
                  of 3% in 2003 and 2002; and expected holding periods of 5
                  years in 2003 and 2002.

                  NEW ACCOUNTING PRONOUNCEMENTS

                  In June 2002, the FASB issued Statement No. 146, "Accounting
                  for Costs Associated with Exit or Disposal Activities. ("SFAS
                  146"). SFAS 146 applies to costs associated with an exit
                  activity (including restructuring) or with a disposal of
                  long-lived assets. Those activities can include eliminating or
                  reducing product lines, terminating employees and contracts
                  and relocating plant facilities or personnel. SFAS 146 is
                  effective prospectively for exit or disposal activities
                  initiated after December 31, 2002, with earlier adoption
                  encouraged. The Company does not believe the adoption of this
                  standard will have a material impact on the financial
                  statements.

                  In December 2002, the FASB issued Statement No. 148,
                  "Accounting for Stock-Based Compensation-Transition and
                  Disclosure", ("SFAS 148") an amendment of FASB Statement No.
                  123. SFAS 148 amends FASB Statement No. 123, "Accounting for
                  Stock-Based Compensation", to provide alternative methods of
                  transition for an entity that voluntarily changes to the fair
                  value based method of accounting for stock-based employee
                  compensation and to require prominent disclosures about the
                  effects on reported net income of an entity's accounting
                  policy decisions with respect to stock-based employee
                  compensation. SFAS 148 also amends APB Opinion No. 28,

                                       9
<PAGE>


                  "Interim Financial Reporting," to require disclosures about
                  those effects in interim financial information. The Company
                  currently accounts for its stock-based compensation awards to
                  employees and directors under the accounting prescribed by
                  Accounting Principles Board Opinion No. 25 and provides the
                  disclosures required by SFAS No. 123. The Company currently
                  intends to continue to account for its stock-based
                  compensation awards to employees and directors under the
                  accounting prescribed by Accounting Principles Board Opinion
                  No. 25 and adopted the additional disclosure provisions of
                  SFAS 148 in December 2002.

                  In November 2002, the FASB issued Interpretation 45 (FIN 45),
                  Guarantor's Accounting and Disclosure Requirements for
                  Guarantees, Including Indirect Guarantees of Indebtedness of
                  Others. For a guarantee subject to FASB Interpretation 45, a
                  guarantor is required to:

                    o    measure and recognize the fair value of the guarantee
                         at inception (for many guarantees, fair value will be
                         determined using a present value method); and

                    o    provide new disclosures regarding the nature of any
                         guarantees, the maximum potential amount of future
                         guarantee payments, the current carrying amount of the
                         guarantee liability, and the nature of any recourse
                         provisions or assets held as collateral that could be
                         liquidated and allow the guarantor to recover all or a
                         portion of its payments in the event guarantee payments
                         are required.

                  The disclosure requirements of this Interpretation are
                  effective for financial statements for fiscal years ending
                  after December 15, 2002 and did not have a material effect on
                  the Company's financial statements. The initial recognition
                  and measurement provisions are effective prospectively for
                  guarantees issued or modified on or after January 1, 2003,
                  which should not have a material effect on the Company's
                  financial statements.

                  In January 2003, the FASB issued Interpretation No. 46,
                  Consolidation of Variable Interest Entities, an Interpretation
                  of APB No. 51, which requires all variable interest entities
                  to be consolidated by the primary beneficiary. The primary
                  beneficiary is the entity that holds the majority of the
                  beneficial interests in the variable interest entity. In
                  addition, the Interpretation expands disclosure requirements
                  for both variable interest entities that are consolidated as
                  well as variable interest entities from which the entity is
                  the holder of a significant amount of the beneficial
                  interests, but not the majority. The disclosure requirements
                  of this Interpretation are effective for all financial
                  statements issued after January 31, 2003. The consolidation
                  requirements of this Interpretation are effective for all
                  periods beginning after June 15, 2003. The Company does not
                  believe the adoption of this Interpretation will have a
                  material effect on its financial statements.


                                       10
<PAGE>


NOTE 3.           ACQUSITIONS
-------           -----------

                  During 2002, we acquired the common stock of Anapharm, Inc.
                  and the assets of New Drug Services, Inc. ("NDS"). The terms
                  of these acquisitions are described in our Form 10-KSB for the
                  period ended December 31, 2002.

                  On March 26, 2003, SFBC, through its wholly-owned subsidiary,
                  Anapharm, acquired substantially all of the common stock of
                  SynFine Research, Inc., an Ontario corporation. Earlier in
                  2003, SynFine acquired the assets of PDI-Research Laboratories
                  located in suburban Toronto, Canada. The business of PDI(now
                  SynFine) provides synthesized research compounds used by
                  bioanalytical laboratories. Prior to the acquisition, both
                  Anapharm and SFBC Analytical were customers of PDI.

                  We paid $1.6 million for SynFine's net assets comprised
                  primarily of scientific equipment, customer lists and real
                  estate. No goodwill was recorded on this transaction since the
                  fair value of the net assets was in excess of the $1.6 million
                  paid by the Company. Anapharm used its own cash without
                  borrowing any funds to consummate the transaction. All of the
                  12 employees of SynFine have remained as employees. This new
                  business unit within Anapharm will pursue the same research
                  activities and same business as PDI under the new name of
                  SynFine Research. This acquisition is not expected to have a
                  material impact on Anapharm's revenues or earnings during 2003
                  and is not material for financial reporting purposes.

                  The Company originally had anticipated entering into the
                  synthesis business during late 2004. However, we accelerated
                  our entry into this market due to the availability of PDI's
                  scientific expertise and personnel, and the availability of
                  PDI's equipment, customer list and real estate at a very
                  favorable price.

                  UNAUDITED PRO FORMA RESULTS

                  Unaudited pro forma results of operations after giving effect
                  to certain adjustments resulting from the 2002 acquisitions
                  were as follows for the periods ended March 31, 2003 and March
                  31, 2002 as if the business combinations had occurred at the
                  beginning of each period presented:
<TABLE>
<CAPTION>

                                                                   Three Months Ended March 31
                                                                     2003                2002
                                                                           (Unaudited)

<S>                                                               <C>                 <C>
                  Net revenue                                     18,670,036          15,686,635
                  Net earnings                                     1,943,284           1,910,857
                  Earnings per share - basic                           $0.27               $0.27
                  Earnings per share - diluted                         $0.26               $0.25
</TABLE>

                  The pro forma data is provided for information purposes only
                  and does not purport to be indicative of results which
                  actually would have been obtained if the combinations had been
                  effected at the beginning of each period presented, or of
                  those results which may be obtained in the future.

                                       11
<PAGE>


NOTE 4.           GOODWILL AND INTANGIBLE ASSETS
-------           ------------------------------

                  In connection with adopting SFAS 142, the Company
                  reassessed the useful lives and the classifications of its
                  identifiable intangible assets and determined that they
                  continue to be appropriate. The components of the Company's
                  intangible assets subject to amortization are approximately as
                  follows:

<TABLE>
<CAPTION>

                                                            March 31,2003                 December 31, 2002
                                           Weighted  ----------------------------   -----------------------------
                                           Average      Gross          Gross           Gross            Gross
                                             Life      Carrying      Accumulated      Carrying        Accumulated
                                           (Years)      Amount       Amortization      Amount        Amortization
                                          ---------  -----------     ------------    -----------     ------------


<S>                                           <C>    <C>             <C>             <C>             <C>
                  Methodologies               3.5    $ 1,721,000     $  (496,000)    $ 1,721,000     $  (377,000)
                  Employment
                  Agreement                     5        590,000        (194,000)        590,000        (162,000)
                  Subject Database              4        900,000        (225,000)        900,000        (169,000)
                  Customer backlog            .75        290,000        (226,000)        290,000        (130,000)
                                                     -----------     -----------     -----------     -----------

                                                     $ 3,501,000     $(1,141,000)    $ 3,501,000     $  (838,000)
                                                     ===========     ===========     ===========     ===========
</TABLE>


                  Amortization expense for intangible assets during the
                  three-month period ended March 31, 2003 was approximately
                  $303,000. The following table provides information regarding
                  estimated amortization expense for each of the following years
                  ended December 31:

                  2003                                    $  987,000
                  2004                                       826,000
                  2005                                       725,000
                  2006                                       125,000
                                                          ----------
                                                          $2,663,000
                                                          ==========

                  As of March 31, 2003, all intangible assets except goodwill
                  were subject to amortization expense.

                  Reported earnings and earnings per share for the three month
                  periods ended March 31, 2003 and March 31, 2002 remain
                  unchanged by the adoption of SFAS 142.


                                       12
<PAGE>



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

                  As used in the quarterly report on Form 10-Q, "we", "our",
                  "us", the "Company" and "SFBC" refer to SFBC International,
                  Inc. and its subsidiaries unless the context otherwise
                  requires.

                  The following discussion of our financial condition and
                  results of operations should be read together with the
                  financial statements and related notes included in this
                  Report. This discussion contains forward-looking statements
                  that involve risks and uncertainties. Our actual results may
                  differ materially from those anticipated in those
                  forward-looking statements as a result of certain factors,
                  including, but not limited to, those contained in the
                  discussion on forward-looking statements that follows this
                  section.

                  OVERVIEW

                  We are a provider of specialized drug development services to
                  the pharmaceutical and biotechnology industries. We specialize
                  in recruiting for and conducting Phase I and Phase II clinical
                  trials including participants from special populations. We
                  also provide our clients with bioanalytical service for Phase
                  I and II clinical trials. Our clients include the largest
                  pharmaceutical manufacturers in the world, medium and small
                  pharmaceutical manufacturers, generic drug companies,
                  biotechnology companies and other drug development companies,
                  such as ourselves. Our principal clinical operations are
                  located in Miami, Florida and Anapharm's facilities in Quebec
                  and Montreal, Canada. Our Miami Phase I and II clinic is, we
                  believe, the largest Phase I and Phase II clinic in the United
                  States. We very recently opened our new expanded Phase I
                  through IV clinical trial facility in Ft. Myers, Florida. In
                  addition we provide data management, regulatory submissions,
                  and Phase III and IV clinical trials management services in
                  targeted therapeutic areas. Our services help reduce the
                  amount of time and expense associated with drug development
                  and enable our clients to bring new drugs to market faster.

                  Our revenues consist primarily of fees earned under contracts
                  with pharmaceutical and biotechnology company clients.
                  Typically, a portion of our contract fee is due upon signing
                  of the contract, and the majority of the contract fee is
                  generally paid in installments upon the achievement of certain
                  agreed upon performance milestones over the duration of the
                  contracted services.

                  All financial information presented in this report relating to
                  Anapharm has been converted to United States dollars.

                  CRITICAL ACCOUNTING POLICIES
                  ----------------------------

                  Revenue and Cost Recognition
                  ----------------------------

                  Revenues from contracts are generally recognized as services
                  are performed on the percentage-of-completion method of
                  accounting with performance generally assessed using output
                  measures, such as units-of-work performed to date as compared
                  to the total units-of-work contracted. Contracts may contain

                                       13
<PAGE>


                  provisions for renegotiation in the event of cost overruns due
                  to changes in the level of work scope. Renegotiated amounts
                  are included in revenue when the work is performed and
                  realization is assured. Provisions for losses to be incurred
                  on contracts are recognized in full in the period in which it
                  is determined that a loss will result from performance of the
                  contractual arrangement.

                  Direct costs include all direct costs related to contract
                  performance. Costs are not deferred in anticipation of
                  contracts being awarded, but instead are expensed as incurred.
                  Changes in job performance and estimated profitability may
                  result in revisions to costs and income and are recognized in
                  the period in which the revisions are determined. Due to the
                  inherent uncertainties in estimating costs, it is at least
                  reasonably possible that the estimates used will change in the
                  near term and the change could be material.

                  Included in accounts receivable are unbilled amounts, which
                  represent revenue recognized in excess of amounts billed.
                  Advance billings represent amounts billed in excess of revenue
                  recognized.

                  Collectibility of Accounts Receivable
                  -------------------------------------

                  The Company's allowance for doubtful accounts and allowance
                  for changes in contracts are based on management's estimates
                  of the creditworthiness of its clients, analysis of subsequent
                  changes in contracts, analysis of delinquent accounts, the
                  payment histories of the accounts and management's judgment
                  with respect to current economic conditions and, in the
                  opinion of management, is believed to be an amount sufficient
                  to respond to normal business conditions. Management sets
                  reserves for customers based upon historical collection
                  experience, and sets specific reserves for customers whose
                  accounts have aged significantly beyond this historical
                  collection experience. Should business conditions deteriorate
                  or any major client default on its obligations to the Company,
                  this allowance may need to be significantly increased, which
                  would have a negative impact upon the Company's operations.

                  The allowance for changes in contracts is an estimate
                  established through reductions to net revenue while the
                  allowance for doubtful accounts is an estimate established
                  through charges to selling, general and administrative
                  expenses.

                  Income Taxes
                  ------------

                  Significant management judgment is required in developing the
                  Company's provision for income taxes, including the
                  determination of foreign tax liabilities, deferred tax assets
                  and liabilities and any valuation allowances that might be
                  required against the deferred tax assets. The Company
                  evaluates quarterly its ability to realize its deferred tax
                  assets and adjusts the amount of its valuation allowance, if
                  necessary. The Company operates within multiple taxing
                  jurisdictions and is subject to audit in those jurisdictions.
                  Because of the complex issues involved, any claims can require
                  an extended period to resolve. In management's opinion,
                  adequate provisions for income taxes have been made.


                                       14
<PAGE>


                  Impairment of Assets
                  --------------------

                  The Company reviews long-lived assets and certain identifiable
                  intangibles held and used for possible impairment whenever
                  events or changes in circumstances indicate that the carrying
                  amount of an asset may not be recoverable. In evaluating the
                  fair value and future benefits of its intangible assets,
                  management performs an analysis of the anticipated
                  undiscounted future net cash flows of the individual assets
                  over the remaining amortization period. The Company will
                  recognize an impairment loss if the carrying value of the
                  asset exceeds the expected future cash flows.

                  In 2002, the Company began to perform an annual test for
                  impairment of goodwill. This test is performed by comparing,
                  at the reporting unit level, the carrying value of goodwill to
                  its fair value. The Company assesses fair value based upon its
                  best estimate of the present value of future cash flows that
                  it expects to generate by the reporting unit. The tests
                  performed for 2002 did not identify any instances of
                  impairment. However, changes in expectations as to the present
                  value of a reporting unit's future cash flows might impact a
                  subsequent year's assessments of impairment.

                  Other Estimates
                  ---------------

                  The Company makes a number of other estimates in the ordinary
                  course of business. Historically, past changes to these
                  estimates have not had a material impact on our financial
                  condition. However, circumstances could change which may alter
                  future expectations.


                  RESULTS OF OPERATIONS

                  During the first quarter ended March 31, 2002 we had
                  operations in Miami, Charlotte, Ft. Myers, and Philadelphia,
                  and for one-half a month at Anapharm. In contrast this year we
                  had operations in all of the mentioned locations for the full
                  quarter including the results of operations of the NDS
                  business which we acquired on September 6, 2002.

                  PRO FORMA DISCLOSURE

                  The following table reflects our actual results of operations
                  for the quarter ended March 31, 2003 and our pro forma results
                  of operations for the same quarter. The pro forma adjustment
                  reflects the reclassification of $750,149 in Canadian tax
                  credits to the costs which generated the credit. Under United
                  States generally accepted accounting principles ("GAAP"),
                  these tax credits are applied as a deduction from "Income Tax
                  Expense" on the income statement.

                  Under the U.S. GAAP approach, net income before taxes is
                  reduced by the amount of all of the direct costs and selling,
                  general and administrative expenses. Under the pro forma
                  approach credits are added back increasing the income tax
                  expense. The end result is that the net income is identical
                  under both the actual and pro forma approaches.

                  We believe that the above pro forma presentation, which is a
                  non-GAAP financial measure as defined by Regulation G of the
                  Securities and Exchange Commission, is more indicative of
                  income from operations and operating margins; it also assists

                                       15
<PAGE>


                  management in calculating earnings before income taxes,
                  depreciation and amortization ("EBITDA") and comparing EBITDA
                  to other companies in our sector. For these reasons, we
                  believe the pro forma table is useful to investors.

SELECTED PROFORMA QUARTERLY  DISCLOSURES
FOR THE PERIOD ENDED MARCH 31, 2003 (all in $USD)


Recast proforma income statement to reflect the impact
------------------------------------------------------
of Canadian tax credits
-----------------------
<TABLE>
<CAPTION>

                                                                                         (UNAUDITED)
                                                                                           ADJUSTED
                                                                                           PROFORMA
                                                                         CANADIAN           INCOME
                                                 (UNAUDITED)               TAX            REFLECTING
                                                   REPORTED               CREDIT           CANADIAN
                                                    ACTUAL                RECLASS         TAX CREDITS
                                                 RESULTS FOR              FOR THE           FOR THE
                                                  THE PERIOD              PERIOD            PERIOD
                                                    ENDED                  ENDED             ENDED
                                                   3/31/03                3/31/03           3/31/03
                                                                            (A)               (B)

<S>                                              <C>             <C>      <C>                 <C>             <C>
Net revenue                                      $ 18,670,036    100.0%                    $ 18,670,036    100.0%

Costs and expenses
     Direct costs                                  10,568,592     56.6%   $ (635,562)         9,933,030     53.2%
     Selling, general and administrative
        expenses                                    5,814,860     31.1%     (114,587)         5,700,273     30.5%
                                                -------------           ------------    ---------------
         Total costs and expenses                  16,383,452     87.8%     (750,149)        15,633,303     83.7%
         Earnings from operations                   2,286,584     12.2%      750,149          3,036,733     16.3%
Other income (expense)
     Interest income                                   52,015                                    52,015
     Interest expense                                 (74,439)                                  (74,439)
                                                -------------                           ---------------
         Total other income (expense)                 (22,424)                                  (22,424)
                                                -------------           ------------    ---------------
         Earnings before taxes                      2,264,160                750,149          3,014,309
Income tax expense                                    320,876     14.2%      750,149          1,071,025     35.5%
                                                -------------           ------------    ---------------
                                                                                        ---------------
         Net earnings                            $  1,943,284     10.4%   $       (0)      $  1,943,284     10.4%
                                                =============           ============    ===============
Earnings per share:
     Basic                                             $ 0.27                              $       0.27
                                                =============                           ===============
     Diluted                                           $ 0.26                              $       0.26
                                                =============                           ===============
Shares used in computing earnings per share:
     Basic                                          7,219,558                                 7,219,558
                                                =============                           ===============
     Diluted                                        7,582,589                                 7,582,589
                                                =============                           ===============
</TABLE>


                                       16
<PAGE>

                  Net Revenues
                  ------------

                  Our net revenues were $18,670,036 for the three-month period
                  ended March 31, 2003, which is an increase of 95% from
                  $9,582,555 from the corresponding period in the prior year.
                  The increase is attributable to (i) three months of revenues
                  from Anapharm, (ii) three months of revenues from the
                  subsidiary which acquired NDS and (iii) internal growth from
                  operations. The strong performance at Anapharm reflects its
                  importance as a significant entity in the market for generic
                  drug research.

                  On a pro forma basis, if the Company had owned all of its
                  subsidiaries as of January 1, 2002, net revenue for the
                  three-month period ended March 31, 2003 would have increased
                  approximately 19.0% over the same three-month period ended
                  March 31, 2002. We believe that this pro forma comparison
                  permits us to more accurately track our growth rate. We
                  believe it is also more meaningful to investors since the
                  inclusion of the results of operations from our two
                  acquisitions since the date of the acquisitions does not
                  provide a fair comparison. For the period ended March 31, 2003
                  net revenues from foreign operations (substantially all from
                  Anapharm) were $8,842,870 , and $9,827,166 from U.S.
                  operations.

                  Gross Profit Margins
                  --------------------

                  Our gross profit margins decreased to 43.4% from 49.3% for the
                  three months ended March 31, 2003 as compared to the
                  corresponding period in the prior year. This decrease in our
                  gross profit margins is primarily attributable to the
                  inclusion of a full quarter of Anapharm's operations compared
                  to approximately one-half of one month during the same three
                  month period in 2002. Anapharm's gross profit margins are
                  lower due to the nature of Anapharm's business in the generic
                  market where it employs a high number of research and
                  development employees and incurs higher direct costs as a
                  percentage of revenues than our United States operations. The
                  Canadian government subsidizes a portion of these additional
                  expenses through tax credits. Under United States GAAP, these
                  credits are applied against income tax expense rather than
                  against the underlying direct cost that generated the credit.
                  The overall impact on our operations is that the direct cost
                  and S,G&A expenses as a percentage of revenues will be
                  permanently higher and our effective tax rate will be
                  permanently lower than in the past. Our net income is not
                  affected by this method. See "Pro Forma Disclosure".

                  Additionally, to a lesser extent, the decrease in our gross
                  margins is attributable to the mix of our contracts which
                  changes from quarter to quarter. For the remainder of the year
                  we expect our gross margins to be between 41-43%.

                  Selling, General and Administrative Expenses
                  --------------------------------------------

                  Our selling, general and administrative expenses or S,G&A
                  expenses increased to $5,814,860 for the three-month period
                  ended March 31, 2003 from $2,819,628 in the corresponding
                  period in the prior year, an increase of 106%. As a percentage
                  of net revenues, our S,G&A expenses increased from 29.4% for
                  the three-month period ended March 31, 2003 to 31.1% for the
                  three-month period ended March 31, 2002.


                                       17
<PAGE>


                  The increase in total S,G&A expenses is primarily due to (i)
                  our increased sales and marketing efforts, (ii) increased
                  depreciation and amortization expense and other expenses
                  consistent with the growth of the Company, and (iii) the
                  inclusion of Anapharm's and NDS' S,G&A expenses for a full
                  quarter. The increase in S,G&A expenses as a percentage of
                  revenues is primarily due to the inclusion of Anapharm's
                  S,G,&A expenses. As noted above in the "Gross Profit Margins"
                  section and shown in the "Pro Forma Disclosure" above,
                  Anapharm also receives tax credits for certain S,G&A expenses.
                  These credits are accounted in the same manner as direct
                  costs.

                  Net Earnings
                  ------------

                  Net income increased from $1,329,807 to $1,943,284 for the
                  three-month period ended March 31, 2003 as compared to the
                  corresponding period in the prior year, an increase of 46%. On
                  a fully diluted basis, our earnings per share increased from
                  $.18 to $.26 for the three-month period ended March 31, 2003
                  compared to the same period in 2002. The weighted average
                  number of shares outstanding used in computing earnings per
                  share on a fully diluted basis increased from 7,345,152 to
                  7,582,589 for the three-month period ended March 31, 2003 as
                  compared to the corresponding period in the prior year. The
                  change in the number of shares resulted primarily from the
                  issuance of 167,375 shares to Anapharm on March 18th 2002, and
                  234,060 shares to NDS on September 6, 2003 as acquisition
                  consideration, the exercise of approximately 337,000 options
                  and warrants, and the change in our stock price (which causes
                  additional unexercised options to be included as shares
                  outstanding), offset by the share repurchases described below.

                  On July 17, 2002, we announced a common stock buyback plan of
                  up to 750,000 shares. As of December 31, 2002, we had
                  purchased 204,300 shares in various open market purchases at
                  an average price of approximately $10.65 per share, or a total
                  expenditure of approximately $2,176,484. These shares are
                  presented as common stock held in treasury at December 31,
                  2002 and were retired in February 2003. We have not made any
                  additional treasury share purchases since December 31, 2002.
                  We may continue to purchase our shares, or may discontinue the
                  buyback at any time depending on the selling price of our
                  common stock, the viability of potential acquisition targets,
                  and our cash flows from operations and on hand cash balances.
                  Our effective tax rate for the three month period ended March
                  31, 2003 was 14% compared to 35% for the same period in 2002.
                  This decrease is primarily attributable to the inclusion of
                  our Canadian income, which is taxed at a significantly lower
                  tax rate than U.S. operations, for the full three month period
                  ended March 31, 2003, compared to the inclusion of Canadian
                  operations for only one-half of one month in 2002. As
                  described earlier, Anapharm receives significant tax credits
                  from the government of Canada for incurring research and
                  development expenses. These credits and the lower Canadian tax
                  rates lower our effective tax rate. We expect Canada's
                  provision for research and development tax credits to
                  continue; however, there can be no assurance on the future
                  amount of these credits on a quarterly or annual basis.

                  The future effective tax rate will be dependent on the amount
                  of the credits Anapharm receives and Anapharm's relative
                  contribution to our consolidated pre-tax income. For the
                  remainder of 2003, we expect our average effective tax rate to
                  be between 24% and 26%, and an annual rate of between 20-22%,
                  compared to the 2002 tax rate of 24% which included Anapharm's
                  lower tax rate for nine and one-half months. The higher tax
                  rate we anticipate for the balance of the year gives effect to
                  the fact that our Phase I and II business in the United States
                  during 2002 was substantially stronger in the second half of
                  the year, particularly in the fourth quarter. In 2002
                  excluding SFBC NDS U.S. operations recorded approximately 40%
                  of its revenues and earnings in the first half of the year and
                  60% in the second half of the year. We expect this cyclical
                  trend to continue.


                                       18
<PAGE>


                  Whenever commercially practical, we refer Phase I and Phase II
                  studies and bioanalytical contracts to our Canadian operations
                  to benefit from the lower operating costs lower tax rates in
                  Canada, and the availability of tax credits. Excluding the
                  impact of tax credits, SFBC's effective tax rate in Canada is
                  approximately 33% compared to approximately 40% in the United
                  States. There will be some practical limitations which prevent
                  us from referring some studies to Anapharm including differing
                  areas of expertise, the availability of special population
                  groups or client preferences on where the work should be
                  performed.

                  LIQUIDITY AND CAPITAL RESOURCES

                  For the three months ended March 31, 2003, net cash provided
                  by operating activities was $323,414 in contrast to $677,092
                  of net cash used in operations for the corresponding period in
                  2002. The change is primarily attributable to the increase in
                  net earnings and depreciation and amortization resulting from
                  the growth of our business, offset by substantial decreases in
                  the Company's accounts payable, accrued liabilities and
                  advance billings.

                  For the three months ended March 31, 2003, net cash used in
                  investing activities was $2,450,441 compared to $22,558,158
                  used in investing activities for the corresponding period in
                  2002. The decrease is primarily attributable to the use of
                  approximately $22,000,000 of net cash to acquire Anapharm,
                  Inc. in March 2002 as compared to approximately $1,600,000 of
                  net cash used to acquire SynFine Research, Inc. on March 26,
                  2003.

                  During the three months ended March 31 2003, we used $80,366
                  in financing activities compared to net cash used in financing
                  activities of $1,873 in the corresponding period of 2002. The
                  increase is primarily attributable to payments made against
                  notes outstanding and the effect of changes in currency
                  exchange rates on the notes outstanding. In addition, proceeds
                  of approximately $86,000 were received from the exercise of
                  stock options and warrants.

                  On September 16, 2002, we entered into a $10 million Revolving
                  Credit and Security Agreement with Wachovia Bank National
                  Association. The interest rate on this Credit Facility is
                  LIBOR based and variable. As of December 31, 2002, our average
                  interest rate on the entire Credit Facility was approximately
                  3.5 %. This Credit Facility enables SFBC to borrow for general
                  working capital purposes and for the purpose of financing
                  acquisitions of companies in related industries. This Credit
                  Facility is secured by substantially all of our assets. We
                  have not borrowed any funds under this Credit Facility. In
                  order to qualify to be able to draw down on the Credit
                  Facility we must comply with covenants requiring us to
                  maintain certain leverage and debt service coverage ratios, as
                  well as minimum liquidity. As of March 31, 2003, the Company
                  was in compliance with all required covenants.

                  We expect to spend between $3.0 to $3.5 million during the
                  balance of the year to acquire capitla assets.

                  At May 9, 2003, we had approximately $ 5,000,000 in cash on
                  hand. Based upon our cash balances and our positive cash flows
                  from operations, we believe we have enough working capital to
                  meet our operational needs within the next 12 months. If we
                  consummate any acquisitions, we expect to use our Credit
                  Facility and, if necessary, obtain additional debt or equity
                  financing. Except for the possibility of issuing stock related
                  to potential earn-outs described in "Commitments" below or a a
                  potential accretive acquisition, should one arise we do not
                  anticipate issuing any of our common stock during 2003.

                  COMMITMENTS

                  Charlotte Earn-out
                  ------------------

                  We acquired SFBC Charlotte in March 2000. As part of the
                  purchase price we agreed to pay the seller potential
                  additional consideration up to a maximum payment of $1.2
                  million earn-out based upon future SFBC Charlotte's operating
                  performance during the first three post-acquisition years.
                  This three year period ended on March 31, 2003. No payments
                  have been earned during the first two years following the
                  acquisition. Based upon the attainment by SFBC Charlotte of
                  certain operating milestones through the 12-month measurement
                  period ending March 31,2003 of the third year, we expect to

                                       19
<PAGE>


                  pay the full $1.2 million to the seller of SFBC Charlotte. As
                  a result both goodwill and accrued liabilities on our
                  Consolidated Balance Sheet have been increased by $1.2
                  million. We have the option to pay this earn-out in any
                  combination of cash and SFBC common stock when it is due on
                  July 1, 2003. If we elect to deliver stock, the number of
                  shares is based upon the average closing price for each
                  trading day of April 2003 or a maximum of approximately 81,000
                  shares. We expect to make the determination as to whether to
                  deliver cash or deliver shares of common stock (or some
                  combination of both) on or before July 1, 2003. If we deliver
                  shares of common stock, we have agreed to register them on
                  Form S-3. If we do so, we expect that the registration
                  statement will be effective by the July 1st delivery date. If
                  the registration statement is not effective by July 1st and
                  the price upon effectiveness is lower than on July 1st, the
                  seller will have the option at that time to elect to receive
                  the shares or cash up to $1,200,000.

                  NDS Earn-out
                  ------------

                  In addition, we may pay NDS up to $8 million as an earn-out
                  based upon SFBC NDS' future operating results over a three
                  year period with the initial year ending September 30, 2003.
                  Of this $8 million potential earnout, $6 million is to be paid
                  in cash and the remaining $2 million will be paid through the
                  issuance of common stock.

                  RELATED PARTY TRANSACTIONS

                  In March 2003, Lisa Krinsky, M.D., our chairman of the board
                  of directors and president, voluntarily prepaid a note due on
                  July 31, 2003 in the amount of $94,918 including accrued
                  interest. The loan represented personal expenses we paid for
                  Dr. Krinsky in 1998 prior to our initial public offering. We
                  will not make any future loans to our executive officers and
                  directors.

                  FORWARD-LOOKING STATEMENTS The statements in this Report
                  relating to our expectations about our future gross margins,
                  future Canadian tax credits and tax rates, Anapharm's
                  contribution to our pre-tax income, the Company's effective
                  future tax rates, continuation of the cyclical trend which
                  affects our United States operations, the possibility of
                  future dilution, the adequacy of our working capital, new
                  capital expenditures, and future acquisitions, the type of
                  consideration to used to pay the Charlotte earn-out,
                  effectiveness of the registration statement and the repurchase
                  of our common stock are forward-looking statements within the
                  meaning of the Private Securities Litigation Reform Act of
                  1995 (the "Act"). Additionally, words such as "expects",
                  "anticipates", "intends", "believes", "will" and similar words
                  are used to identify forward-looking statements within the
                  meaning of the Act.

                  The results anticipated by any or all of these forward-looking
                  statements might not occur. Important factors, uncertainties
                  and risks that may cause actual results to differ materially
                  from these forward-looking statements include (1) our
                  ability to successfully implement our plans for operational
                  and geographical expansion; (2) our ability to successfully
                  achieve and manage the technical requirements of specialized
                  clinical trial services, while maintaining compliance with
                  applicable rules and regulations; (3) our ability to compete
                  nationally in attracting pharmaceutical companies in order to
                  develop additional business; (4) our continued ability to
                  recruit participants for clinical studies; (5) the economic

                                       20
<PAGE>


                  climate nationally and internationally as it affects drug
                  development operations, (6) our ability to integrate and
                  absorb any future acquisitions into our current operational
                  structure, (7) the changing mix of, and the amount contracts
                  and laboratory services offered, (8) future legislation in
                  Canada which may affect our ability to continue to generate
                  tax credits at Anapharm to lower the effective tax rate, and
                  (9) our future stock price.

                  We undertake no obligation to publicly update or revise any
                  forward-looking statements, whether as the result of new
                  information, future events or otherwise. For more information
                  regarding some of the ongoing risks and uncertainties of our
                  business, see the Form 10-KSB for the year ended December 31,
                  2002 we filed with the Securities and Exchange Commission.

ITEM 3.           QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

                  SFBC is subject to market risks in some of its financial
                  instruments. These instruments are carried at fair value on
                  its financial statements. SFBC is subject to currency risk at
                  Anapharm . SFBC is also subject to interest rate risk on its
                  credit facility if it borrows under it as described below.
                  SFBC has not entered into market risk sensitive instruments
                  for trading purposes.

                  In 2002, SFBC purchased certain debt securities SFBC
                  classifies its investments in debt securities as
                  available-for-sale in accordance with SFAS 115, "Accounting
                  for Certain Investments in Debt and Equity Securities."
                  Investments classified as available-for-sale are carried at
                  fair value based on quoted market prices. The estimated fair
                  value of securities for which there are no quoted market
                  prices is based on similar types of securities that are traded
                  in the market. The unrealized holding gain (loss) on
                  available-for-sale securities is reported as a component of
                  accumulated other comprehensive earnings, net of applicable
                  deferred income taxes. As of December 31, 2002 the unrealized
                  gain on investments in marketable securities was
                  insignificant. Cost is determined on an average cost per share
                  basis for determining realized gains and losses. In 2002,
                  there were no realized gains or losses.

                  Financial instruments that potentially subject SFBC to credit
                  risk consist principally of trade receivables. SFBC performs
                  services and extends credit based on an evaluation of its
                  clients' financial condition without requiring collateral.
                  Exposure to losses on receivables is expected to vary by
                  client due to the financial condition of each client. SFBC
                  monitors exposure to credit losses and maintains allowances
                  for anticipated losses considered necessary under the
                  circumstances. Additionally, SFBC, from time to time,
                  maintains cash balances with financial institutions in amounts
                  that exceed federally insured limits.

                  SFBC's financial instruments consist primarily of cash and
                  cash equivalents, marketable securities, accounts receivable,
                  notes receivable, accounts payable, and notes payable. At
                  December 31, 2002, the fair value of these instruments
                  approximates the carrying amount of these items due to the
                  short-term maturities of these instruments.

                  At Anapharm where the local currency is the functional
                  currency, assets and liabilities are translated into United
                  States dollars at the exchange rate in effect at the end of
                  the year. Revenues and expenses of Anapharm are translated at
                  the average exchange rate during the year. The aggregate
                  effect of translating the financial statements of Anapharm is
                  included in a separate component of stockholders' equity
                  entitled "Accumulated Other Comprehensive Earnings." In 2002,

                                       21
<PAGE>


                  SFBC had losses from foreign currency transactions of
                  $123,264. Currency translation risks arise primarily from
                  Anapharm. SFBC does not hedge its foreign currency risks.

                  On September 16, 2002, SFBC entered into a $10 million
                  Revolving Credit and Security Agreement with Wachovia Bank
                  National Association. The interest rate on this Credit
                  Facility is LIBOR based and variable. As of December 31, 2002,
                  our average interest rate on the entire Credit Facility was
                  3.5 %. This Credit Facility enables SFBC to borrow for general
                  working capital purposes and for the purpose of financing
                  acquisitions of companies in related industries. This Credit
                  Facility is secured by substantially all of SFBC's assets. As
                  of December 31, 2002 and as of the date of this Report, SFBC
                  had not borrowed on this credit facility. Changes in interest
                  rates, and LIBOR in particular, will affect the cost of funds
                  should SFBC draw on such facility.

ITEM 4.           CONTROLS AND PROCEDURES

                  In accordance with Section 302 of the Sarbanes-Oxley Act of
                  2002 and the rules thereunder, our chief executive officer and
                  chief financial officer reviewed our disclosure controls and
                  procedures. This review was completed within the time required
                  by law, and these executive officers reported the results to
                  our audit committee. Based upon this review, our chief
                  executive officer and chief financial officer concluded that
                  our disclosure controls and procedures are effective and are
                  sufficient to meet the requirements for this report.

                  In addition, we reviewed our internal controls, and there have
                  been no significant changes in our internal controls or in
                  other factors that could significantly affect those controls
                  subsequent to the date we carried out this evaluation.

                           PART II - OTHER INFORMATION

ITEM 1.           LEGAL PROCEEDINGS

                  Not applicable.


ITEM 2.           CHANGES IN SECURITIES

                  During the quarter ended March 31, 2003, we issued shares of
                  our common stock to the following individuals and corporation
                  upon exercise of options or warrants which were not covered by
                  an effective registration statement but were exempt under
                  Section 4(2) of the Securities Act of 1933:

       DATE         NAME               NUMBER OF SHARES   CONSIDERATION
       ----         ----               ----------------   -------------

February 18, 2003   Andrew B. Dorman   2,813              Cashless exercise of
                                                          10,000 Stock Options

ITEM 3.           DEFAULTS UPON SENIOR SECURITIES

                  Not applicable.

                                       22
<PAGE>


ITEM 4.           SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

                  Not applicable.


ITEM 5.           OTHER INFORMATION

                  Not applicable.


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

                  (a)      EXHIBIT INDEX


Exhibit
Number     Description
--------   ---------------------------------------------------------------------
3.1        Certificate of Incorporation(1)
3.2        First Amendment to Certificate of Incorporation(1)
3.3        Certificate of Correction to Certificate of Incorporation(2)
3.4        Bylaws(1)
3.5        First Amendment to the Bylaws(2)
3.6        Second Amendment to the Bylaws (3)
99.1       Section 906 Certification of Chief Executive Officer.
99.2       Section 906 Certification of Chief Financial Officer.

(1)  Contained in Form SB-2 filed on August 17, 1999.
(2)  Contained in Form SB-2 filed on October 5, 2000.
(3)  Contained in Form 10-KSB for the fiscal year ended December 31, 2002 filed
     on March 31, 2003.

                  (b)      REPORTS ON FORM 8-K.

On March 21, 2003, the registrant filed a Form 8-K/A No. 3. The date of the
report was September 6, 2002, and the report contained the Asset Purchase
Agreement regarding the NDS acquisition.



                                       23
<PAGE>




                                   SIGNATURES

In accordance with the requirements of the Securities Exchange Act of 1934, the
registrant caused this report to be signed on its behalf on May 15, 2003 by the
undersigned, thereunto duly authorized.


                                  SFBC INTERNATIONAL, INC.


                                   /s/ Arnold Hantman
                                   ------------------
                                   Arnold Hantman, Chief Executive Officer



                                   /s/ David Natan
                                   ---------------
                                   David Natan, Chief Financial Officer



                                       24
<PAGE>




                                  CERTIFICATION
I, Arnold Hantman, certify that:

1.   I have reviewed this quarterly report on Form 10-Q of SFBC International,
     Inc.;

2.   Based on my knowledge, this quarterly report does not contain any untrue
     statement of a material fact or omit to state a material fact necessary to
     make the statements made, in light of the circumstances under which such
     statements were made, not misleading with respect to the period covered by
     this quarterly report;

3.   Based on my knowledge, the financial statements, and other financial
     information included in this quarterly report, fairly present in all
     material respects the financial condition, results of operations and cash
     flows of the registrant as of, and for, the periods presented in this
     quarterly report;

4.   The registrant's other certifying officers and I are responsible for
     establishing and maintaining disclosure controls and procedures (as defined
     in Exchange Act Rules 13a-14 and 15d-14) for the registrant and we have:

     a)   designed such disclosure controls and procedures to ensure that
          material information relating to the registrant, including its
          consolidated subsidiaries, is made known to us by others within those
          entities, particularly during the period in which this quarterly
          report is being prepared;

     b)   evaluated the effectiveness of the registrant's disclosure controls
          and procedures as of a date within 90 days prior to the filing date of
          this quarterly report (the "Evaluation Date"); and

     c)   presented in this quarterly report our conclusions about the
          effectiveness of the disclosure controls and procedures based on our
          evaluation as of the Evaluation Date;

5.   The registrant's other certifying officers and I have disclosed, based on
     our most recent evaluation, to the registrant's auditors and the audit
     committee of registrant's board of directors (or persons performing the
     equivalent function):

     a)   all significant deficiencies in the design or operation of internal
          controls which could adversely affect the registrant's ability to
          record, process, summarize and report financial data and have
          identified for the registrant's auditors any material weaknesses in
          internal controls; and

     b)   any fraud, whether or not material, that involves management or other
          employees who have a significant role in the registrant's internal
          controls; and

6.   The registrant's other certifying officers and I have indicated in this
     quarterly report whether or not there were significant changes in internal
     controls or in other factors that could significantly affect internal
     controls subsequent to the date of our most recent evaluation, including
     any corrective actions with regard to significant deficiencies and material
     weaknesses.

Date: May 15, 2003

                                                         /s/ Arnold Hantman
                                                         ------------------
                                                         Chief Executive Officer



                                       25
<PAGE>



                                  CERTIFICATION
I, David Natan, certify that:

1.   I have reviewed this quarterly report on Form 10-Q of SFBC International,
     Inc.;

2.   Based on my knowledge, this quarterly report does not contain any untrue
     statement of a material fact or omit to state a material fact necessary to
     make the statements made, in light of the circumstances under which such
     statements were made, not misleading with respect to the period covered by
     this quarterly report;

3.   Based on my knowledge, the financial statements, and other financial
     information included in this quarterly report, fairly present in all
     material respects the financial condition, results of operations and cash
     flows of the registrant as of, and for, the periods presented in this
     quarterly report;

4.   The registrant's other certifying officers and I are responsible for
     establishing and maintaining disclosure controls and procedures (as defined
     in Exchange Act Rules 13a-14 and 15d-14) for the registrant and we have:

     a)   designed such disclosure controls and procedures to ensure that
          material information relating to the registrant, including its
          consolidated subsidiaries, is made known to us by others within those
          entities, particularly during the period in which this quarterly
          report is being prepared;

     b)   evaluated the effectiveness of the registrant's disclosure controls
          and procedures as of a date within 90 days prior to the filing date of
          this quarterly report (the "Evaluation Date"); and

     c)   presented in this quarterly report our conclusions about the
          effectiveness of the disclosure controls and procedures based on our
          evaluation as of the Evaluation Date;

5.   The registrant's other certifying officers and I have disclosed, based on
     our most recent evaluation, to the registrant's auditors and the audit
     committee of registrant's board of directors (or persons performing the
     equivalent function):

     a)   all significant deficiencies in the design or operation of internal
          controls which could adversely affect the registrant's ability to
          record, process, summarize and report financial data and have
          identified for the registrant's auditors any material weaknesses in
          internal controls; and

     b)   any fraud, whether or not material, that involves management or other
          employees who have a significant role in the registrant's internal
          controls; and

6.   The registrant's other certifying officers and I have indicated in this
     quarterly report whether or not there were significant changes in internal
     controls or in other factors that could significantly affect internal
     controls subsequent to the date of our most recent evaluation, including
     any corrective actions with regard to significant deficiencies and material
     weaknesses.

Date: May 15,  2003

                                                         /s/ David Natan
                                                         ---------------
                                                         Chief Financial Officer

                                       26