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                                   FORM 10-Q
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

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

                For the quarter period ended September 30, 1997

                                       OR

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

                 For the transition period from _____ to _____

                         Commission File Number 0-18528

                         INCOME GROWTH PARTNERS, LTD. X
             (Exact name of registrant as specified in its charter)

        CALIFORNIA                                     33-0274177
(State of other jurisdiction of                     (I.R.S. Employer
incorporation or organization)                     Identification No.)

       11300 Sorrento Valley Road, Suite 108, San Diego, California 92121
       (Address of principal executive offices)               (Zip Code)

                                 (619) 457-2750
              (Registrant's telephone number, including area code)

(Former name, former address and former fiscal year, if changed since last
report)

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 filing requirements
for the past 90 days.  Yes [X]  No [ ]

The number of the registrant's Original Limited Partnership Units outstanding as
of July 31, 1997 was 18,826.5. The number of the registrant's Class A Units
outstanding as of July 31, 1997 was 8,100.

                         PART I - FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS

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                 INCOME GROWTH PARTNERS, LTD. X AND SUBSIDIARY
                       (A CALIFORNIA LIMITED PARTNERSHIP)

                          CONSOLIDATED BALANCE SHEETS
                    SEPTEMBER 30, 1997 AND DECEMBER 31, 1996

                                   ----------
<TABLE>
<CAPTION>

                                                       SEPTEMBER 30,  DECEMBER 31,
                                                           1997           1996
                                                       -------------  ------------
                                                        (UNAUDITED)

<S>                                                   <C>             <C>         
ASSETS

Rental properties:
      Land                                            $  7,778,365    $  7,778,365
      Buildings and improvements                        23,571,531      23,455,047
                                                      ------------    ------------
                                                        31,349,896      31,233,412
      Less accumulated depreciation and impairments    (11,183,959)    (10,545,531)
                                                      ------------    ------------
                                                        20,165,937      20,687,881

Other assets:
      Cash and cash equivalents                            240,261         244,582
      Prepaid expenses and other assets                    792,198         544,455
                                                      ------------    ------------
                                                         1,032,459         789,037
                                                      ------------    ------------
                                                      $ 21,198,396    $ 21,476,918
                                                      ============    ============
LIABILITIES AND PARTNERS' CAPITAL

Mortgage loans payable                                $ 19,640,605    $ 19,788,869

Other liabilities:
      Accounts payable and accrued liabilities             299,499          81,473
      Accrued interest payable                             119,111         123,392
      Security deposits                                    201,952         184,355
      Loan payable to affiliate                             43,000          55,300
                                                      ------------    ------------
                                                        20,304,167      20,233,389

Commitments

Partners' capital                                          904,229       1,253,529
Note receivable from general partner                       (10,000)        (10,000)
                                                      ------------    ------------
                                                      $ 21,198,396    $ 21,476,918
                                                      ============    ============
</TABLE>



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

                                        1

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                 INCOME GROWTH PARTNERS, LTD. X AND SUBSIDIARY
                       (A CALIFORNIA LIMITED PARTNERSHIP)

                     CONSOLIDATED STATEMENTS OF OPERATIONS
                                  (UNAUDITED)
                                   ----------

<TABLE>
<CAPTION>

                                                 FOR THE THREE MONTHS         FOR THE NINE MONTHS
                                                  ENDED SEPTEMBER 30,         ENDED SEPTEMBER 30,
                                             --------------------------    --------------------------
                                                 1997           1996           1997           1996
                                             -----------    -----------    -----------    -----------
<S>                                          <C>            <C>            <C>            <C>
Revenues:
     Rents                                   $   922,233    $   867,611    $ 2,711,423    $ 2,559,785
     Other                                        32,774         38,025        109,512        113,438
                                             -----------    -----------    -----------    -----------
                 Total revenues                  955,007        905,636      2,820,935      2,673,223
                                             -----------    -----------    -----------    -----------

Expenses:
     Interest                                    367,983        330,307      1,134,252      1,120,354
     Operating expenses (excluding
         depreciation and amortization)          454,593        416,969      1,366,796      1,275,261
     Depreciation and amortization               223,254        240,106        669,186        665,722
                                             -----------    -----------    -----------    -----------
                 Total expenses                1,045,830        987,382      3,170,234      3,061,337
                                             -----------    -----------    -----------    -----------

Net loss                                         (90,823)   $   (81,746)   $  (349,299)   $  (388,114)
                                             ===========    ===========    ===========    ===========

Net loss per limited partnership unit        $     (3.37)   $     (3.04)   $    (12.97)   $    (14.41)
                                             ===========    ===========    ===========    ===========

Weighted average limited partnership units
     outstanding                                  26,926         26,926         26,926         26,926
                                             ===========    ===========    ===========    ===========
</TABLE>




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


                                        2

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                 INCOME GROWTH PARTNERS, LTD. X AND SUBSIDIARY
                       (A CALIFORNIA LIMITED PARTNERSHIP)

                     CONSOLIDATED STATEMENTS OF CASH FLOWS
             FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1997 AND 1996
                                  (UNAUDITED)

                                   ----------

<TABLE>
<CAPTION>
                                                                       SEPTEMBER 30,   SEPTEMBER 30,
                                                                           1997            1996
                                                                       -------------   -------------
<S>                                                                      <C>            <C>       
Cash flows from operating activities:
     Net loss                                                            $(349,299)     $(388,114)
     Adjustments to reconcile net loss to net cash provided
         by operating activities:
             Depreciation and amortization                                 669,186        665,722
             Increase in prepaid expenses and other assets                (278,501)       (80,491)
             Increase (decrease) in:
                 Accounts payable and accrued liabilities                  218,025         16,784
                 Security deposits                                          17,597         19,516
                 Accrued interest payable                                   (4,281)        67,874
                                                                         ---------      ---------
                      Net cash provided by operating activities            272,727        301,291
                                                                         ---------      ---------

Cash flows from investing activities:
   Capital expenditures                                                   (116,484)       (52,795)
                                                                         ---------      ---------

               Net cash used in investing activities                      (116,484)       (51,795)
                                                                         ---------      ---------

Cash flows from financing activities:
        Principal payments under mortgage debt                            (148,264)      (129,965)
        Principal payments to affiliate                                    (12,300)       (46,700)
                                                                         ---------      ---------

               Net cash used by financing activities                      (160,564)      (176,665)
                                                                         ---------      ---------

               Net increase (decrease)  in cash and cash equivalents        (4,321)        71,831

Cash and cash equivalents at beginning of period                           244,582        153,735
                                                                         ---------      ---------

               Cash and cash equivalents at end of period                $ 240,261      $ 225,566
                                                                         =========      =========



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

</TABLE>

                                        3

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                 INCOME GROWTH PARTNERS, LTD. X AND SUBSIDIARY
                       (A CALIFORNIA LIMITED PARTNERSHIP)

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

                                   ----------


 1.     BASIS OF FINANCIAL STATEMENT PRESENTATION:
        The accompanying unaudited consolidated financial statements of Income
        Growth Partners, Ltd. X, a California limited partnership, and
        subsidiary (the "Partnership") have been prepared pursuant to the rules
        and regulations of the Securities and Exchange Commission. Certain
        information and note disclosures normally included in annual financial
        statements prepared in accordance with generally accepted accounting
        principles have been condensed or omitted pursuant to those rules and
        regulations, although the Partnership believes that the disclosures made
        are adequate to make the information presented not misleading. These
        consolidated financial statements should be read in conjunction with the
        financial statements and the notes thereto included in the Partnership's
        latest audited financial statements for the year ended December 31, 1996
        filed on Form 10K.

        The accompanying consolidated financial statements have not been audited
        by independent public accountants, but include all adjustments
        (consisting of normal recurring adjustments) which are, in the opinion
        of the general partners, necessary for a fair presentation of the
        financial condition, results of operations and cash flows for period
        presented. However, these results are not necessarily indicative of
        results for a full year.
   
        Certain prior period amounts have been reclassified to conform with the
        current period presentation.

 2.     RECENT ACCOUNTING PRONOUNCEMENTS:
        In February 1997, the Financial Accounting Standards Board ("FASB") 
        issued Statement of Financial Accounting Standards ("SFAS") No 128,
        Earnings Per Share. SFAS No. 128 requires dual presentation of newly
        defined basic and diluted earnings per share on the face of the income
        statement for all entities with complex capital structures. The
        accounting standard is effective for fiscal years ending after December
        15, 1997, including interim periods. The effect of SFAS No. 128 is not
        expected to have any impact on the Partnership's previously reported
        earnings per partnership unit. 

        In February 1997, FASB issued SFAS No. 129, Disclosure of Information
        About Capital Structure. This statement establishes standards for
        disclosing information about an entity's capital structure. Management
        intends to comply with the disclosure requirements for this statement
        which are effective for periods ending after December 15, 1997.



   Continued                            4
<PAGE>   6




                 INCOME GROWTH PARTNERS, LTD. X AND SUBSIDIARY
                       (A CALIFORNIA LIMITED PARTNERSHIP)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS, CONTINUED
                                   ----------

 2.     RECENT ACCOUNTING PRONOUNCEMENTS, CONTINUED:
        In June 1997, the FASB issued SFAS No. 130, Reporting Comprehensive
        Income. SFAS No. 130 establishes requirements for disclosure of
        comprehensive income and becomes effective for the Partnership for the
        year ending December 31, 1998. Comprehensive income includes such items
        as foreign currency translation adjustments and unrealized holding gains
        and losses on available for sale securities that are currently being
        presented by the Company as a component of stockholders' equity
        (deficit). The Partnership does not expect this pronouncement to
        materially impact the Partnership's results of operations. 

        In June 1997, the FASB issued SFAS No. 131, Disclosures About Segments
        of an Enterprise and Related Information. SFAS No. 131 establishes
        standards for disclosure about operating segments in annual financial
        statements and selected information in interim financial reports. It
        also establishes standards for related disclosures about products and
        services, geographic areas and major customers. This statement
        supersedes SFAS No. 14, Financial Reporting for Segments of a Business
        Enterprise. The new standard becomes effective for the Partnership for
        the year ending December 31, 1998, and requires that comparative
        information from earlier years be restated to conform to the
        requirements of this standard. The Partnership does not expect this
        pronouncement to materially change the Partnership's current reporting
        and disclosures. 

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

        The following Management's Discussion and Analysis of Financial
        Condition and Results of Operations should be read in conjunction with
        the financial statements and notes thereto filed herewith.

        a. Liquidity and Capital Resources:

           Since inception, the Partnership's operating and debt service
           obligations have been financed through the sale of Partnership Units,
           cash provided by operating activities, and 1995 debt restructuring
           activities. During the nine months ended September 30, 1997, all of
           the Partnership's operating and debt service cash requirements have
           been met through cash generated from operations.



Continued                                5

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                 INCOME GROWTH PARTNERS, LTD. X AND SUBSIDIARY
                       (A CALIFORNIA LIMITED PARTNERSHIP)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS, CONTINUED
                                   ----------


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

        As of September 30, 1997, the Partnership's properties, Shadowridge
        Meadows and Mission Park, remain highly leveraged. The Mission Park
        mortgage was refinanced in December 1995 at a fixed interest rate of
        7.76%. The Shadowridge Meadows mortgage was refinanced subsequent to
        September 30, 1997 at a fixed interest rate of 7.49%. 


        Despite the refinancings, mortgage indebtedness on the properties
        remains high, which may make it difficult for the properties to service
        their debt through Partnership operations. In the event that one or more
        of the properties is unable to support its debt service and the
        Partnership is unable to cover operational shortfalls from cash
        reserves, the Partnership may have to take one or more alternative
        courses of action. The general partners would then determine, based on
        their analysis of relevant economic conditions and the status of the
        properties, a course of action intended to be consistent with the best
        interests of the Partnership. Possible courses of action might include
        the sacrifice, sale or refinancing of one or more of the properties, the
        entry into one or more joint venture partnerships with other entities,
        or the filing of another bankruptcy petition.

        The Partnership changed its method of reporting cash flows from the
        direct method to the indirect method in 1996. Prior period amounts have
        been reclassified to conform with the current year presentation. Net
        cash provided by operating activities for the nine month period ended
        September 30, 1997 was $272,727 compared to net cash provided by
        operating activities of $301,291 for the same period in 1996. The
        principal reason for this difference is increased deferred expenses
        related to the refinancing of Shadowridge Meadows.

     b. Results of Operations: 

        COMPARISON OF THREE MONTHS ENDED SEPTEMBER 30, 1997 TO THE THREE MONTHS
        ENDED SEPTEMBER 30, 1996.

        Rental revenue for the three months ended September 30, 1997 was
        approximately $922,000, an increase of 6% over rents of approximately
        $868,000 in the comparable period in 1996. The increase is primarily
        attributable to an increase in average occupancy from 96.5% at September
        30, 1996 to 98% at September 30, 1997 and to increases in monthly tenant
        rental rates.


Continued                              6

<PAGE>   8




                 INCOME GROWTH PARTNERS, LTD. X AND SUBSIDIARY
                       (A CALIFORNIA LIMITED PARTNERSHIP)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS, CONTINUED
                                   ----------

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

                Interest expense for the three months ended September 30, 1997
                was approximately $368,000, an increase of 11% over interest
                expense of approximately $330,000 in the comparable period in
                1996. The increase is primarily attributable to increases in the
                variable interest rate on the Shadowridge Meadows property.

                Operating expense for the three months ended September 30, 1997
                were $455,000, an increase of 9% over operating expense of
                $417,000 in the comparable period in 1996. The increase is
                primarily attributable to an increase in refurbishment expenses.

                Depreciation and amortization expenses for the three months
                ended September 30, 1997 were $223,000, a decrease of 7% over
                depreciation and amortization expenses of $240,000 in the
                comparable period in 1996. The decrease is primarily
                attributable to non-recurring loan refinancing fee amortization
                recorded during the three months ended September 30, 1996.

                COMPARISON OF NINE MONTHS ENDED SEPTEMBER 30, 1997 TO THE NINE
                MONTHS ENDED SEPTEMBER 30, 1996. 

                Rental revenue for the nine months ended September 30, 1997 was
                approximately $2,711,000, an increase of 6% over rents of
                approximately $2,560,000 in the comparable period in 1996. The
                increase is primarily attributable to an increase in occupancy
                from 96.5% at September 30, 1996 to 98% at September 30, 1997
                and to increases in monthly tenant rental rates. 

                Interest expense for the nine months ended September 30, 1997
                was approximately $1,134,000, an increase of 1% over interest
                expense of approximately $1,120,000 in the comparable period in
                1996. The increase is primarily attributable to increases in the
                variable interest rate on the Shadowridge Meadows property.

                Operating expense for the nine months ended September 30, 1997
                were $1,367,000, an increase of 7% over operating expense of
                $1,275,000 in the comparable period in 1996. The increase is
                primarily attributable to an increase in refurbishment expenses.

                Depreciation and amortization expenses for the nine months ended
                September 30, 1997 was approximately $669,000, an increase of 1%
                over depreciation and amortization expenses of approximately
                $666,000 in the comparable period in 1996. The increase is
                primarily attributable to increased loan costs and loan fees
                resulting from preparation of the refinancing for Shadowridge
                Meadows.


Continued                                 7

<PAGE>   9



                 INCOME GROWTH PARTNERS, LTD. X AND SUBSIDIARY
                       (A CALIFORNIA LIMITED PARTNERSHIP)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS, CONTINUED
                                   ----------

PART II - OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS:

        There are no pending legal proceedings which may have a material adverse
        effect on the Partnership. However, the Partnership is involved in small
        claims court proceedings against certain present or former tenants of
        its apartment complexes with regard to landlord-tenant matters, all of
        which are considered to be in the ordinary course of its business.


ITEM 2. CHANGES IN SECURITIES:

        None

ITEM 3. DEFAULTS UPON SENIOR SECURITIES:

        None

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

        None

ITEM 5. OTHER INFORMATION:

        None

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

        None

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