10-Q

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

                               FORM 10-Q

(Mark One)
  X   QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For quarterly period ended September 30, 2012

      TRANSITION REPORT UNDER SECTION 13 OR 15 (d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from________to_________

Commission File Number: 0-6658

                       SCIENTIFIC INDUSTRIES, INC.
____________________________________________________________________

     (Exact name of registrant as specified in its charter)

       Delaware    	                  04-2217279
____________________________    ________________________________
(State or other jurisdiction	(IRS Employer Identification No.)
 of incorporation or
 organization)

70 Orville Drive, Bohemia, New York               11716
________________________________________        __________
(Address of principal executive offices)	(Zip Code)

                        (631)567-4700
____________________________________________________________________
      (Registrant's telephone number, including area code)

                               Not Applicable
____________________________________________________________________
(Former name, former address and former fiscal year, if changed since
last report)

Indicate by check whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities
Exchange Act during the preceding 12 months (or for such shorter
period that the registrant was required to file such reports),
other than Form 8-K Reports, with respect to an acquisition in
November 2011 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 a large accelerated
filer, an accelerated filer, a non-accelerated filer, or a small
reporting company.  See the definitions of "large accelerated filer,"
"accelerated filer" and "small reporting company" in Rule 12b-2 of
the Exchange Act.

	Large accelerated filer      Accelerated Filer
                               _____                  _____

	Non-accelerated filer        Smaller reporting company   X
                             ______                           ______
    (Do not check if a smaller reporting company)

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

The number of shares outstanding of the issuer's common stock par
value, $0.05 per share, as of October 26, 2012 was 1,335,712 shares.





			TABLE OF CONTENTS



PART I  - FINANCIAL INFORMATION


ITEM 1	CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED):

					                       Page

	Condensed Consolidated Balance Sheets		        1

	Condensed Consolidated Statements of Operations	        2

	Condensed Consolidated Statements of Comprehensive
	Income (Loss)						3

	Condensed Consolidated Statements of Cash Flows	        4

  	Notes to Condensed Consolidated Financial Statements	5

ITEM 2	MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF
        OPERATIONS                                             13

ITEM 4	CONTROLS AND PROCEDURES                                15

PART II - OTHER INFORMATION

ITEM 6	EXHIBITS AND REPORTS ON FORM 8-K                       16

SIGNATURE                                                      17

EXHIBITS                                                       18









                   PART I-FINANCIAL INFORMATION


Item 1.  Financial Statements

         SCIENTIFIC INDUSTRIES, INC. AND SUBSIDIARIES
             CONDENSED CONSOLIDATED BALANCE SHEETS

ASSETS
                                         September 30,   June 30,
                                             2012          2012
                                         _____________  __________
Current Assets:		                   (Unaudited)
  Cash and cash equivalents		   $  748,600   $  769,300
  Investment securities			      730,000	   718,300
  Trade accounts receivable, net	      639,100	   623,500
  Inventories				    1,748,300	 1,613,700
  Prepaid expenses and other current assets   150,400	   167,800
  Deferred taxes			       70,600	    70,200
                                           __________   __________
Total current assets			    4,087,000	 3,962,800

Property and equipment at cost, net	      182,400	   180,500

Intangible assets, net  		      850,600	   877,300

Goodwill				      589,900	   589,900

Other assets            		       25,600	    25,700

Deferred taxes				      130,600	   136,000
                                           __________   __________
Total assets                               $5,866,100   $5,772,200
                                           ==========   ==========

	LIABILITIES AND SHAREHOLDERS' EQUITY

Current Liabilities:
  Accounts payable			   $  178,700	$  114,800
  Customer advances			      200,900	    98,500
  Notes payable, current		       76,400	    75,800
  Accrued expenses and taxes		      233,000	   237,500
  Contingent consideration payable, current    19,000	    19,000
  Dividends payable			       40,100	      -
                                           __________   __________
 		Total current liabilities     748,100	   545,600

Contingent consideration payable, less
  current portion	                       88,400	    88,400

Notes payable, less current portion	       85,700	   105,000
                                           __________   __________
        Total liabilities		      922,200	   739,000
                                           __________   __________
Shareholders' equity:
  Common stock, $.05 par value; authorized 7,000,000 shares;
    1,355,514 issued and outstanding at
    September 30, and June 30, 2012    	       67,800	    67,800
  Additional paid-in capital                1,972,100	 1,968,700
  Accumulated other comprehensive loss    (     3,000)	(   12,600)
  Retained earnings                         2,959,400	 3,061,700
                                          ___________   __________
                                            4,996,300	 5,085,600
  Less common stock held in treasury, at cost,
   19,802 shares                               52,400       52,400
                                          ___________   __________
        Total shareholders' equity          4,943,900	 5,033,200
        Total liabilities and             ___________   __________
           shareholders' equity            $5,866,100   $5,772,200
                                          ===========   ==========



See notes to unaudited condensed consolidated financial statements

                                 1





         SCIENTIFIC INDUSTRIES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS(UNAUDITED)




		 		     For the Three Month
					Periods Ended
					 September 30,
                                   __________________________
				      2012            2011
                                   __________      __________
Net sales                	   $1,351,700      $1,541,000
Cost of sales		     	      887,300         937,000
                                   __________      __________
Gross profit              	      464,400         604,000
                                   __________      __________
Operating Expenses:
 General and administrative	      279,600         290,900
 Research and development	      120,100          46,900
                                   __________      __________
 	Total operating expenses      556,100         526,800
                                   __________      __________
Income (loss) from operations	  (    91,700)         77,200
                                   __________      __________
Other income (expense):
 Investment income		        2,900           3,600
 Other income			        2,500	        3,200
 Interest expense		  (     1,400)           -
                                   __________      __________
	Total other income		4,000	        6,800
                                   __________      __________
Income (loss) before income tax expense
 (benefit)			  (    87,700)	       84,000
                                   __________      __________
Income tax expense (benefit):
	Current		  	  (    30,600)         21,200
	Deferred		        5,100           3,400
                                   __________      __________
	Total income (loss) tax
          expense (benefit) 	  (    25,500)         24,600
                                   ___________     __________
Net income (loss)		  ($   62,200)     $   59,400
                                   ==========      ==========
Basic earnings (loss) per common
  share                           ($      .05)     $      .05
                                   ==========      ==========
Diluted earnings (loss) per common
  share		                  ($      .05)     $      .05
                                   ==========      ==========
Cash dividends declared
 per common share		   $      .03      $      .05
                                   ==========      ==========



See notes to unaudited condensed consolidated financial statements

                                   2







         SCIENTIFIC INDUSTRIES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)



					For the Three Month
					   Periods Ended
					    September 30,
                                      __________________________
					 2012	         2011
                                      __________       _________

Net income (loss)		      ( $62,200)	$59,400

Other comprehensive income (loss):
  Unrealized holding gain (loss)
  arising during period,
  net of tax				  9,600        (    900)
                                      __________       _________
Comprehensive income (loss)	      ( $52,600)	$58,500
                                      ==========       =========




See notes to unaudited condensed consolidated financial statements



                                3






       SCIENTIFIC INDUSTRIES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)


                                     For the Three Month Periods Ended
				        Sept. 30, 2012  Sept. 30, 2011
                                        _______________  _____________
Operating activities:
  Net income (loss)                         ($  62,200)     $   59,400
                                            ___________     __________
  Adjustments to reconcile net income (loss)
   to net cash provided by (used in) operating activities:
      Depreciation and amortization             44,300          47,100
      Deferred income taxes		         5,100	         3,400
	 Stock-based compensation		 3,400	           600
	 Changes in operating assets and liabilities:
         Accounts receivable                 (  15,600)	    (  232,600)
         Inventories                         ( 134,600)         47,200
         Prepaid expenses and other
          current assets                        17,400          48,800
	     other assets			   100	       -
         Accounts payable                       63,900      (   21,300)
         Customer advances	 	       102,400            -
         Accrued expenses and taxes          (   4,400)     (   18,200)
                                           ____________     ___________
       Total adjustments			82,000         125,000
                                           ____________     ___________
       Net cash provided by (used in)
        operating activities	                19,800      (   65,600)
                                           ____________     ___________
Investing activities:
  Purchase of investment securities,
    available-for-sale                       (   2,300)     (    2,900)
  Capital expenditures                       (  17,400)     (   54,900)
  Purchases of intangible assets             (   2,100)     (    1,300)
                                           ____________     ___________
       Net cash used in
	   investing activities		     (  21,800)	    (   59,100)
                                           ____________     ___________
Financing activities:
  Principal payments on note payable	     (  18,700)	          -
                                           ____________     ___________
Net decrease in cash and
  cash equivalents	 	             (  20,700)     (  124,700)
Cash and cash equivalents,
  beginning of period		               769,300         907,800
                                           ____________     ___________
Cash and cash equivalents, end of period    $  748,600	    $  783,100
                                           ============     ===========
Supplemental disclosures:

Cash paid during the period for:
  Income Taxes		                    $     -          $   1,500
  Interest			                 1,400	          -


See notes to unaudited condensed consolidated financial statements


                              4







         SCIENTIFIC INDUSTRIES, INC. AND SUBSIDIARIES
NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS


General:  The accompanying unaudited interim condensed consolidated
financial statements are prepared pursuant to the Securities
and Exchange Commission's rules and regulations for reporting
on Form 10-Q. Accordingly, certain information and footnotes
required by accounting principles generally accepted in the
United States for complete financial statements are not
included herein. The Company believes all adjustments
necessary for a fair presentation of these interim statements
have been included and that they are of a normal and
recurring nature.  These interim statements should be read in
conjunction with the Company's financial statements and notes
thereto, included in its Annual Report on Form 10-K, for the
fiscal year ended June 30, 2012.  The results for the three
months ended September 30, 2012, are not necessarily an
indication of the results for the full fiscal year ending
June 30, 2013.

1.	Summary of significant accounting policies:

	Principles of consolidation:

The accompanying consolidated financial statements include the
accounts of Scientific Industries, Inc. ("Scientific", a Delaware
corporation), Altamira Instruments, Inc.("Altamira", a wholly owned
subsidiary and Delaware corporation), Scientific Packaging Industries,
Inc. (an inactive wholly owned subsidiary and New York corporation)
and Scientific Bioprocessing, Inc., ("SBI", a wholly owned subsidiary
and Delaware corporation).  All are collectively referred to as the
"Company".  All material intercompany balances and transactions have
been eliminated.

2.	New Accounting Pronouncements:


In July 2012, the Financial Accounting Standards Board ("FASB")
issued Accounting Standards Update No. 2012-02, "Testing Indefinite-
Lived Intangible Assets for Impairment" ("ASU No. 2012-02"), which
allows entities to use a qualitative approach to test indefinite-
lived intangible assets for impairment.  ASU No. 2012-02 permits an
entity to first assess qualitative factors to determine whether it is
more likely than not that the fair value of the indefinite-lived
intangible asset is less than its carrying value.  If it is concluded
that this is the case, it is necessary to perform the currently
prescribed quantitative impairment test.  Otherwise, the quantitative
impairment test is not required.  ASU No. 2012-02 is effective for
annual and interim impairment tests performed for fiscal years
beginning after September 15, 2012.  The adoption of the provisions
of ASU No. 2012-02 is not expected to have a material impact on the
Company's financial position or results of operations.




                                       5





3.      Acquisition:


On November 14, 2011, the Company through SBI acquired substantially
all of the assets of a privately owned company consisting principally
of a license and sublicenses under patents held by the University of
Maryland, Baltimore County ("UMBC") with respect to the design,
development and production of bioprocessing methods, systems and
products. The acquisition was pursuant to an asset purchase
agreement("APA") whereby the Company paid to the seller $260,000 in
cash, issued 135,135 shares of Common Stock valued at $400,000,
issued to UMBC a $230,000 36-month note payable, and agreed to make
additional cash payments equal to 30% of net royalties received under
the acquired license and sublicenses, estimated at a present value of
$128,000 on the date of acquisition.

SBI's revenues are derived from royalties received by SBI under the
various sublicense agreements, net of royalty payments due to UMBC
and revenues from future sales of certain products being developed
under its existing license.  University, government, and industrial
laboratories working primarily in the biotechnology industry
worldwide are its targeted customers.

Management of the Company allocated the purchase price based on its
valuation of the assets acquired, all of which are intangible, as
follows:

         Technology, trademarks, and in-process
         research & development ("IPR&D")		$  500,000
         Sublicense agreements				   294,000
         Engineering drawings and software 		    64,000
         Non-competition agreements			    18,000
         Goodwill*				           142,000
                                                        __________
         Total Purchase Price				$1,018,000
                                                        ==========

*See Note 8, "Goodwill and Other Intangible Assets".

The amounts allocated to Technology, Trademarks, and IPR&D and
Sublicense Agreements are deemed to have a useful life of 10 years,
and to the remaining intangible assets to have a useful life of 5
years, all of which are being amortized on a straight-line basis,
except for goodwill.

In connection with the acquisition, SBI entered into a research and
development agreement providing for the seller to perform services
with respect to the research and development of bioprocessing
methods, systems, and products pursuant to programs set forth in the
Agreement at a fee of $14,000 per month with SBI to bear all related
expenses.  The agreement is for a two year term with SBI having three
one-year extension options.  SBI has the right to terminate the
agreement in the event of a failure to achieve the designated product
development terms set forth in the agreement.




                              6




Pro forma results

The unaudited pro forma condensed consolidated financial information
in the table below summarizes the consolidated results of operations
of Scientific, Altamira and SBI on a pro forma basis, as though the
companies had been consolidated as of July 1, 2011 (the beginning of
the period presented).  The unaudited pro forma condensed financial
information presented below is for informational purposes only and is
not intended to represent or be indicative of the consolidated results
of the operations that would have been achieved if the acquisition had
been completed as of the commencement of the period presented.


			     		        For the Three Month
				    		Period Ended
				     		September 30,
                                                ___________________
				    	           2011
                                                ___________________
           Net sales				$1,578,500

           Net income				$   27,100

           Net income
              per share - basic	      	              $.02

           Net income
 	      per share - diluted        	      $.02


4.      Segment Information and Concentrations:

The Company views its operations as three segments:  the manufacture and
marketing of standard benchtop laboratory equipment for research
in university, hospital and industrial laboratories sold primarily
through laboratory equipment distributors ("Benchtop Laboratory Equipment"),
the manufacture and marketing of custom-made catalyst research instruments
for universities, government laboratories, and chemical and petrochemical
companies sold on a direct basis ("Catalyst Research Instruments") and the
marketing and production of bioprocessing systems for laboratory research
in the biotechnology industry sold directly to customers and through
distributors ("Bioprocessing Systems").



                                  7






	Segment information is reported as follows:


               Benchtop    Catalyst     Bio-       Corporate
               Laboratory  Research     processing and       Conso-
               Equipment   Instruments  Systems    Other     lidated
               __________  ___________  __________ _________ ___________
Three months ended September 30, 2012:

 Net Sales     $1,064,900  $  284,200   $    2,600  $    -   $1,351,700
 Foreign Sales	  621,700     239,200         -          -      860,900
 Profit(Loss)     117,600  (  134,300) (    75,000)      -  (    91,700)
 Assets     	2,556,900     987,000      801,000 1,521,200  5,866,100
 Long-Lived Asset
    Expenditures    2,100      17,400          -         -       19,500
 Depreciation and
    Amortization   11,100       9,300       23,900       -       44,300





               Benchtop    Catalyst     Bio-       Corporate
               Laboratory  Research     processing and       Conso-
               Equipment   Instruments  Systems    Other     lidated
               __________  ___________  __________ _________ ___________
Three months ended September 30, 2011:

 Net Sales     $1,075,200  $  465,800   $    -     $    -    $1,541,000
 Foreign Sales	  608,700     112,600        - 	        -	721,300
 Profit(Loss)     135,800 (    58,600)       -          -        77,200
 Assets     	2,621,100   1,078,300        -     1,333,400  5,032,800
 Long-Lived Asset
    Expenditures    8,200      46,700        -          -        54,900
 Depreciation and
    Amortization   11,800      35,300        -          -        47,100


Approximately 61% and 63% of net sales of benchtop laboratory equipment
for the three month periods ended September 30, 2012 and 2011,
respectively, were derived from the Company's main product, the
Vortex-Genie 2(R) mixer, excluding accessories.

Two customers accounted in the aggregate for approximately 22% and 20%
of the net sales of the Benchtop Laboratory Equipment Operations and 17%
and 14% of the consolidated sales for the three months ended September
30, 2012, and 2011, respectively.  Sales of catalyst research instruments
generally comprise a few very large orders averaging at least $100,000
per order to a limited number of customers, who differ from order to
order.  Sales to five and three customers represented approximately
97% and 91% of the Catalyst Research Instrument Operations' net sales,
respectively, and 17% and 28% of the consolidated sales for
the three months ended September 30, 2012 and 2011, respectively.

The Company's foreign sales are principally to customers in Europe
and Asia.





                                      8





5.	Fair Value of Financial Instruments:

The FASB defines the fair value of financial instruments as the a
mount that would be received to sell an asset or paid to transfer a
liability in an orderly transaction between market participants at the
measurement date.  Fair value measurements do not include transaction
costs.

The accounting guidance also expands the disclosure requirements
around fair value and establishes a fair value hierarchy of valuation
inputs.  The hierarchy prioritizes the inputs into three levels based
on the extent to which inputs used in measuring fair value are
observable in the market.  Each fair value measurement is reported
in one of the three levels, which is determined by the lowest level
input that is significant to the fair value measurement in its entirety.
These levels are described below:

	Level 1	Inputs that are based upon unadjusted quoted prices
                for identical instruments traded in active markets.

	Level 2	Quoted prices in markets that are not considered to
                be active or financial instruments for which all
                significant inputs are observable, either directly
                or indirectly.


        Level 3 Prices or valuation that require inputs that are both
                significant to the fair value measurement and
                unobservable.

The following tables set forth by level within the fair value hierarchy
the Company's financial assets that were accounted for at fair value on a
recurring basis at September 30, 2012 and June 30, 2012 according to the
valuation techniques the Company used to determine their fair values:

                                  Fair Value Measurements Using Inputs
                                                Considered as

Assets:
                          Fair Value at
                          September 30, 2012 Level 1    Level 2  Level 3
                          _________________  __________ _______  _______


Cash and cash equivalents	$  748,600  $  748,600  $  -     $  -
Available for sale securities      730,000     730,000     -        -
                                __________  __________  _______  ________
Total			        $1,478,600  $1,478,600  $  -     $  -
                                ==========  ==========  =======  ========
Liabilities:

Contingent consideration        $  107,400  $    -      $  -   	 $107,400
                                ==========  ==========  =======  ========

                                      Fair Value Measurements Using Inputs
                                                  Considered as

Assets:
                          Fair Value at
                          JUne 30, 2012      Level 1    Level 2  Level 3
                          _________________  __________ _______  _______

Cash and cash equivalents	$  769,300  $  769,300  $  -     $  -
Available for sale securities      718,300     718,300     -        -
                                __________  __________  _______  ________
Total			        $1,487,600  $1,487,600  $  -     $  -
                                ==========  ==========  =======  ========
Liabilities:

Contingent consideration        $  107,400  $    -      $  -   	 $107,400
                                ==========  ==========  =======  ========



                                       9





Investments in marketable securities classified as available-for-sale by
security type at September 30, 2012 and June 30, 2012 consisted of the
following:

                                                       Unrealized
                                           Fair	       Holding Gain
                            Cost  	   Value  	  (Loss)
                        _________       _________     _____________
At September 30, 2012:
   Available for sale:
   Equity securities	$   5,900	$  16,400     $   10,500
   Mutual funds		  727,100	  713,600	 (13,500)
                        _________       _________     ___________
                        $ 733,000	$ 730,000     $  ( 3,000)
                        =========       =========     ===========


					10




                                                       Unrealized
                                           Fair	       Holding Gain
                            Cost  	   Value  	  (Loss)
                        _________       _________     _____________

At June 30, 2012:
   Available for sale:
   Equity securities	$   5,900	$  16,000     $    10,100
   Mutual funds		  725,000	  702,300	  (22,700)
                        _________       _________     ____________
                        $ 730,900	$ 718,300     $   (12,600)
                        =========       =========     ============

6.	Inventories:

Inventories for financial statement purposes are based on perpetual
inventory records at September 30, 2012 and based on a physical count as
of June 30, 2012.  Components of inventory are as follows:

			    September 30,         June 30,
				 2012   	    2012
                            _____________        ___________

	Raw Materials         $1,291,600	 $1,146,800
	Work in process          248,400            221,900
	Finished Goods           208,300            245,000
                              __________         __________
			      $1,748,300	 $1,613,700
                              ==========         ==========

7.   Earnings (Loss) per common share:

Basic earnings (loss) per common share are computed by dividing net income
or loss by the weighted-average number of shares outstanding.  Diluted
earnings per common share include the dilutive effect of stock options, if
any.




                                    10





Earnings (Loss) per common share was computed as follows:

                           	For the Three Month
                           	Periods Ended
                             	September 30,
                                ___________________________
    				     2012            2011
                                ___________________________
Net income (loss)		 ($    62,200)   $   59,400
                                 =============   ==========
Weighted average common
 shares outstanding		    1,335,712     1,196,577
Dilutive  securities	                 -    	     14,924
                                 _____________   __________
Weighted average dilutive
 common shares outstanding	    1,335,712     1,211,501
                                 =============   ==========
Basic earnings (loss) per
 common share		         ($     .05)	 $      .05
                                 =============   ==========
Diluted earnings (loss) per
  common share		         ($     .05)	 $      .05
                                 =============   ==========

Approximately 60,000 shares of the Company's common stock issuable upon
the exercise of outstanding options were excluded from the calculation of
diluted loss per common share for the three month period ended September
30, 2012, because the effect would be anti-dilutive due to the loss for
the period.

Approximately 2,000 shares of the Company's Common Stock issuable upon the
exercise of outstanding stock options were excluded from the calculation of
diluted earnings per common share for the three months ended September 30,
2011, because the effect would be anti-dilutive.

8.   Goodwill and Other Intangible Assets:

Goodwill represents the excess of the purchase price over the fair value
of the net assets acquired in connection with the Company's acquisition of
Altamira and SBI's acquisition of assets.  Goodwill amounted to $589,900
as of September 30, 2012 and June 30, 2012, all of which is expected to be
deductible for tax purposes.

 The components of other intangible assets are as follows:


			 Useful                Accumulated
			 Lives      Cost       Amortization  Net
                         ________   _________  ____________  _________
 At September 30, 2012:

 Technology, trademarks  5/10 yrs.  $ 864,000  $  354,900    $ 509,100
 Customer relationships   10 yrs.     237,000 	  195,400       41,600
 Sublicense agreements    10 yrs.     294,000      25,700      268,300
 Non-compete agreements    5 yrs.     120,000     105,200       14,800
 Other intangible assets   5 yrs.     146,000     129,200       16,800
                                   __________  __________   __________
	  			   $1,661,000  $  810,400    $ 850,600
                                   ==========  ==========   ==========


                                    11




			 Useful                Accumulated
			 Lives      Cost       Amortization  Net
                         ________   _________  ____________  _________

 At June 30, 2012:

 Technology, trademarks  5/10 yrs.  $ 864,000  $  339,300    $ 524,700
 Customer relationships   10 yrs.     237,000 	  192,100       44,900
 Sublicense agreements    10 yrs.     294,000      18,400      275,600
 Non-compete agreements    5 yrs.     120,000     104,300       15,700
 Other intangible assets   5 yrs.     143,900     127,500       16,400
                                   __________  __________   __________
	  			   $1,658,900  $  781,600    $ 877,300
                                   ==========  ==========   ==========

Total amortization expense was $28,800 and $28,300 for the three months
ended September 30, 2012 and 2011, respectively.  As of September 30,
2012, estimated future amortization expense related to intangible assets
is $85,500 for the remainder of the fiscal year ending June 30, 2013,
$108,800 for fiscal 2014, $105,200 for fiscal 2015, $109,400 for fiscal
2016, $93,800 for fiscal 2017, and $347,900 thereafter.





				12





           SCIENTIFIC INDUSTRIES, INC. AND SUBSIDIARIES


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

Certain statements contained in this report are not based on historical facts,
but are forward-looking statements that are based upon various assumptions
about future conditions.  Actual events in the future could differ materially
from those described in the forward-looking information.  Numerous unknown
factors and future events could cause such differences, including but not
limited to, product demand, market acceptance, impact of competition, the
ability to reach final agreements, the ability to finance and produce to
customers' specifications catalyst research instruments, and to develop
marketable bioprocessing systems, adverse economic conditions, and other
factors affecting the Company's business that are beyond the Company's
control.  Consequently, no forward-looking statement can be guaranteed.

We undertake no obligation to publicly update forward-looking
statements, whether as a result of new information, future events or
otherwise.

Liquidity and Capital Resources

Cash and cash equivalents decreased by $20,700 to $748,600 as of September 30,
2012 from $769,300 as of June 30, 2012.

Net cash provided by operating activities was $19,800 for the three months
ended September 30, 2012 as compared to cash used by operating activities of
$65,600 for the comparable three month period in 2011, due mainly to the lower
accounts receivable balances generated in the current period compared to the
prior period and advances received during the three months ended September 30,
2012 from customers for catalyst research instrument orders received in the
current period.  Cash used in investing activities was $21,800 for the three
month period ended September 30, 2012 compared to $59,100 for the three month
period ended September 30, 2011 due primarily to decreased capital
expenditures.  Cash used in financing activities was $18,700 for the three
months ended September 30, 2012 related to a loan in connection with the recent
acquisition.

On September 21, 2012, the Board of Directors of the Company declared a cash
dividend of $.03 per share of Common Stock payable on November 1, 2012 to
holders of record as of the close of business on October 1, 2012.

The Company's working capital decreased by $78,300 to $3,338,900 at September
30, 2012 from $3,417,200 at June 30, 2012, mostly due to the net loss for the
current three moth period.

The Company has a line of credit with its bank, JPMorgan Chase Bank, N.A. which
provides for maximum borrowings of up to $700,000, to bear interest at 3.08
percentage points above a defined LIBOR Index. The interest rate as of
September 30, 2012 was approximately 3.32% and the borrowing is to be secured
by a pledge of collateral consisting of the inventory, accounts, chattel paper,
equipment and general intangibles of the Company.  Outstanding amounts are due
and payable by June 13, 2013 with a requirement that the Company is to reduce
the outstanding principal balance to zero during the 30 day period ending on
the anniversary date of the promissory note.  As of September 30, 2012 and June
30, 2012, no borrowings under the line were outstanding.



				  13





Management believes that the Company will be able to meet its cash flow needs
during the next 12 months from its available financial resources which include
its cash and investment securities.



Results of Operations

Financial Overview

The Company recorded a loss before income tax benefit of $87,700  for the three
month period ended September 30, 2012 compared to income before income taxes of
$84,000 for the comparative prior fiscal year period, primarily as a result of
the increased loss of the Catalyst Research Instruments Operations and the loss
generated by the new Bioprocessing Systems business, which has yet to generate
meaningful product sales.



The Three Months Ended September 30, 2012 Compared With the Three Months Ended
September 30, 2011

Net sales for the three months ended September 30, 2012 decreased by $189,300
(12.3%) to $1,351,700 from $1,541,000 for the three months ended September 30,
2011, primarily as a result of a $181,600 decrease in catalyst research
instrument sales for the quarter.  Sales of catalyst research instruments are
sold pursuant to a small number of larger orders, typically averaging over
$100,000 each, resulting in significant swings in revenues. Sales of benchtop
laboratory products decreased slightly by $10,300 compared to the same period
last year.  The Bioprocessing Systems Operations generated approximately $2,600
in revenues from sales of small parts, but is expected to generate future sales
from products currently under development, although no assurance can be given.
The backlog of orders for catalyst research instruments was $1,240,000 as of
September 30, 2012, substantially all of which is expected to be delivered by
fiscal year end, as compared to the backlog as of September 30, 2011 of
$268,000.

The gross profit percentage for the three months ended September 30, 2012
decreased to 34.4% compared to 39.2% for the three months ended September 30,
2012, due primarily to higher material costs for the Benchtop Laboratory
Equipment Operations and fixed overhead costs for the Catalyst Research
Instruments Operations on decreased sales.

General and administrative expenses for the three months ended September 30,
2012 decreased by $11,300 (3.9%) to $279,600 from $290,900 for the three months
ended September 30, 2011, primarily due to acquisition costs of the
Bioprocessing Systems Operations which were incurred in the three month period
ended September 30, 2011.

Selling expenses for the three months ended September 30, 2012 decreased
$32,600 (17.2%) to $156,400 from $189,000 for the three months ended September
30, 2011, primarily the result of decreased sales commissions for the Catalyst
Research Instruments Operations.

Research and development expenses for the three months ended September 30, 2012
increased by $73,200 (156.1%) to $120,100 from $46,900 for the three months
ended September 30, 2011, primarily the result of product development costs
related to the new Bioprocessing Systems Operations, and increased development
activity by the Benchtop Laboratory Equipment Operations.



                                     14





Other income decreased to $4,000 for the three months ended September 30, 2012
from $6,800 for the prior year period, mainly due to the interest expense
incurred by the new Bioprocessing Systems Operations.

As a result of the loss for the three months ended September 30, 2012, the
Company recorded an income tax benefit of $25,500 compared to income tax
expense of $24,600 for the three months ended September 30, 2011.

The result of the foregoing was a net loss for the three months ended September
30, 2012 of $62,200 compared to net income of $59,400 for the three months
ended September 30, 2011.



Item 4.  Controls and Procedures

Evaluation of Disclosure Controls and Procedures.  As of the end of the period
covered by this report, based on an evaluation of the Company's disclosure
controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the
Securities Exchange Act of 1934), the Chief Executive and Chief Financial
Officer of the Company has concluded that the Company's disclosure controls and
procedures are effective to ensure that information required to be disclosed by
the Company in its Exchange Act reports is recorded, processed, summarized and
reported within the applicable time periods specified by the SEC's rules and
forms. The Company also concluded that information required to be disclosed in
such reports is accumulated and communicated to the Company's management,
including its principal executive and principal financial officer, as
appropriate to allow timely decisions regarding required disclosure.

Changes in Internal Control Over Financial Reporting. There was no change in
the Company's internal controls over financial reporting that occurred during
the most recently completed fiscal quarter that materially affected or is
reasonably likely to materially affect the Company's internal controls over
financial reporting.




                                  15





Part II - OTHER INFORMATION


Item 6.  Exhibits and Reports on Form 8-K

	(a) Exhibit Number:	Description

        31.1			Certification of Chief Executive Officer
                                and Chief Financial Officer pursuant to
                                Section 302 of the Sarbanes-Oxley Act of 2002.

	  32.1			Certification of Chief Executive Officer and
                                Chief Financial Officer pursuant to Section 906
                                of the Sarbanes-Oxley Act of 2002.



	(b) Reports on Form 8-K:

                                None





                                          16



			SCIENTIFIC INDUSTRIES, INC. AND SUBSIDIARIES



                                    SIGNATURE



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




                              Scientific Industries, Inc.
                              Registrant


                              /s/ Helena R. Santos
                              ____________________
                              Helena R. Santos
                              President, Chief Executive Officer
                              and Treasurer
                              Principal Executive, Financial and
                              Accounting Officer

Date: November 14, 2012



                                 17

EX-31

						Exhibit 31.1

                           CERTIFICATION

   I, Helena R. Santos, certify that:

1.	I have reviewed this report on Form 10-Q for the quarter ended
September 30, 2012 of Scientific Industries, Inc., a smalller reporting
company (the "Registrant");

2.	Based on my knowledge, this 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 report;

3.	Based on my knowledge, the financial statements, and other
financial information included in this 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 report;

4.	I am responsible for establishing and maintaining disclosure
controls and procedures (as defined in Exchange Act Rules 13a-15(e) and
15d-15(e) and internal control over financial reporting (as defined in
Exchange Act Rules 13a-15 (f) and 15d-15(f) for the Registrant and have:

a)	Designed such internal disclosure and procedures, or caused such
controls and procedures to be designed under my supervision, to ensure
that material information relating to the Registrant, including its
consolidated subsidiaries, is made known to me by others within those
entities, particularly during the period in which this report is being
prepared;


b)	Designed such internal control over financial reporting, or caused
such internal control over financial reporting to be designed under my
supervision, to provide reasonable assurance, regarding the reliability
of financial reporting and the preparation of financial statements for
external purposes in accordance with generally accepted accounting
principles;


c)	Evaluated the effectiveness of the Registrant's disclosure controls
and procedures and presented in this report my conclusions about the
effectiveness of the disclosure controls and procedures, as of the end
of the period covered by this report based on such evaluation; and


d)	Disclosed in this report any change in the Registrant's internal
control over financial reporting that occurred during the Registrant's
most recent fiscal quarter that has materially affected, or is
reasonably likely to affect, the Registrant's internal control over
financial reporting; and

  5. I have disclosed, based on my most recent evaluation of internal
controls over financial reporting, to the Registrant's auditors and the
audit committee of the Registrant's board of directors (or persons
performing the equivalent functions):


a)	 All significant deficiencies and material weaknesses in the
design or operation of internal controls over financial reporting which
are reasonably likely to adversely affect the Registrant's ability to
record, process, summarize and report financial information; 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 over financial reporting.




November 14, 2012


/s/ Helena R. Santos
____________________

Helena R. Santos
Chief Executive Officer and Chief Financial Officer

EX-32

						Exhibit 32.1



                         CERTIFICATION

The undersigned as Chief Executive Officer and Chief Financial Officer of
the Company, does hereby certify that the foregoing Quarterly Report of
SCIENTIFIC INDUSTRIES, INC. (the "Company"), on Form 10-Q for the period
ended September 30, 2012:

	(1)	Fully complies with the requirements of Section 13 or 15 (d)
of the Securities Exchange Act of 1934; and

	(2)	Fairly presents, in all material respects, the financial
condition and results of operations of the Company.





November 14, 2012



/s/ Helena R. Santos
____________________

Helena R. Santos
Chief Executive Officer and Chief Financial Officer



A signed original of this written statement required by Section 906 has been
provided to the Company and will be retained by the Company and furnished to
the Securities and Exchange Commission or its staff upon request.

XML

4. Segment Information and Concentrations (Details Narrative)	3 Months Ended
	Sep. 30, 2012	Sep. 30, 2011
Net sales	61.00%	63.00%
TwoCustomersMember | CustomerOneMember
Net sales	22.00%	20.00%
Consolidated sales	17.00%	14.00%
TwoCustomersMember | CustomerTwoMember
Net sales	97.00%	91.00%
Consolidated sales	17.00%	28.00%

XML

3. Acquisition

3 Months Ended

Sep. 30, 2012

Text Block [Abstract]

Acquisition

On November 14, 2011, the Company through SBI acquired substantially all of the assets of a privately owned company consisting principally of a license and sublicenses under patents held by the University of Maryland, Baltimore County (“UMBC”) with respect to the design,  development and production of bioprocessing methods, systems and  products. The acquisition was pursuant to an asset purchase agreement(“APA”) whereby the Company paid to the seller $260,000 in cash, issued 135,135 shares of Common Stock valued at $400,000, issued to UMBC a $230,000 36-month note payable, and agreed to make additional cash payments equal to 30% of net royalties received under the acquired license and sublicenses, estimated at a present value of $128,000 on the date of acquisition.

SBI's revenues are derived from royalties received by SBI under the various sublicense agreements, net of royalty payments due to UMBC and revenues from future sales of certain products being developed under its existing license. University, government, and industrial laboratories working primarily in the biotechnology industry worldwide are its targeted customers.

Management of the Company allocated the purchase price based on its valuation of the assets acquired, all of which are intangible, as follows:

Technology, trademarks, and in-process
research & development (“IPR&D”)	$	500,000
Sublicense agreements		294,000
Engineering drawings and software		64,000
Non-competition agreements		18,000
Goodwill*		142,000
Total Purchase Price	$	1,018,000

*See Note 8, “Goodwill and Other Intangible Assets”.

The amounts allocated to Technology, Trademarks, and IPR&D and Sublicense Agreements are deemed to have a useful life of 10 years, and to the remaining intangible assets to have a useful life of 5 years, all of which are being amortized on a straight-line basis, except for goodwill.

In connection with the acquisition, SBI entered into a research and development agreement providing for the seller to perform services with respect to the research and development of bioprocessing methods, systems, and products pursuant to programs set forth in the Agreement at a fee of $14,000 per month with SBI to bear all related expenses. The agreement is for a two year term with SBI having three one-year extension options.SBI has the right to terminate the agreement in the event of a failure to achieve the designated product development terms set forth in the agreement.

Pro forma results

The unaudited pro forma condensed consolidated financial information in the table below summarizes the consolidated results of operations of Scientific, Altamira and SBI on a pro forma basis, as though the companies had been consolidated as of July 1, 2011 (the beginning of the period presented).The unaudited pro forma condensed financial information presented below is for informational purposes only and is not intended to represent or be indicative of the consolidated results of the operations that would have been achieved if the acquisition had been completed as of the commencement of the period presented.

	For the Three Month Period Ended September 30,
	2011
Net sales	$	1,578,500
Net income		27,100
Net income per share – basic	$	0.02
Net income per share – diluted	$	0.02

XML

7. Earnings (Loss) per common share (Details) (USD $)	3 Months Ended
	Sep. 30, 2012	Sep. 30, 2011
Earnings Loss Per Common Share Details
Net income/(loss)	$ (62,200)	$ 59,400
Weighted average common shares outstanding	1,335,712	1,196,577
Effect of dilutive securities		14,924
Weighted average dilutive common shares outstanding	1,335,712	1,211,501
Basic earnings/(loss) per common share	$ (0.05)	$ 0.05
Diluted earnings/(loss) per common share	$ (0.05)	$ 0.05

XML

6. Inventories (Details) (USD $)	Sep. 30, 2012	Jun. 30, 2012
Inventories Details
Raw materials	$ 1,291,600	$ 1,146,800
Work-in-process	248,400	221,900
Finished goods	208,300	245,000
Inventory	$ 1,748,300	$ 1,613,700

XML

7. Earnings (Loss) per common share (Details Narrative)	3 Months Ended
	Sep. 30, 2012	Sep. 30, 2011
Equity [Abstract]
Common stock issuable upon the exercise of outstanding options	60,000	2,000

XML

8. Goodwill and Other Intangible Assets (Details) (USD $)	Sep. 30, 2012	Jun. 30, 2012
Cost	$ 1,661,000	$ 1,658,900
Accumulated Amortization	810,400	781,600
Net	850,600	877,300
Technology, trademarks
Useful Lives Minimum	5 years	5 years
Useful Lives Maximum	10 years	10 years
Cost	864,000	864,000
Accumulated Amortization	354,900	339,300
Net	509,100	524,700
Customer relationships
Useful Lives Maximum	10 years	10 years
Cost	237,000	237,000
Accumulated Amortization	195,400	192,100
Net	41,600	44,900
Sublicense agreements
Useful Lives Maximum	10 years	10 years
Cost	294,000	294,000
Accumulated Amortization	25,700	18,400
Net	268,300	275,600
Non-compete agreements
Useful Lives Maximum	5 years	5 years
Cost	120,000	120,000
Accumulated Amortization	105,200	104,300
Net	14,800	15,700
Other intangible assets
Useful Lives Maximum	5 years	5 years
Cost	146,000	143,900
Accumulated Amortization	129,200	127,500
Net	$ 16,800	$ 16,400

XML

2. New Accounting Pronouncements:

3 Months Ended

Sep. 30, 2012

Notes to Financial Statements

New Accounting Pronouncements:

In July 2012, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 2012-02, Testing Indefinite- Lived Intangible Assets for Impairment (ASU No. 2012-02), which allows entities to use a qualitative approach to test indefinite- lived intangible assets for impairment. ASU No. 2012-02 permits an entity to first assess qualitative factors to determine whether it is more likely than not that the fair value of the indefinite-lived intangible asset is less than its carrying value. If it is concluded that this is the case, it is necessary to perform the currently prescribed quantitative impairment test. Otherwise, the quantitative impairment test is not required. ASU No. 2012-02 is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012. The adoption of the provisions of ASU No. 2012-02 is not expected to have a material impact on the Companys financial position or results of operations.

XML

8. Goodwill and Other Intangible Assets (Details Narrative) (USD $)	3 Months Ended
	Sep. 30, 2012	Sep. 30, 2011	Jun. 30, 2012
Goodwill And Other Intangible Assets Details Narrative
Estimated future amortization expense 2013	$ 85,500
Estimated future amortization expense 2014	108,800
Estimated future amortization expense 2015	105,200
Estimated future amortization expense 2016	109,400
Estimated future amortization expense 2017	93,800
Estimated future amortization expense Thereafter	347,900
Total amortization expense	28,800	28,300
Goodwill	$ 589,900		$ 589,900

XML

CONDENSED CONSOLIDATED BALANCE SHEETS (USD $)	Sep. 30, 2012	Jun. 30, 2012
ASSETS
Cash and cash equivalents	$ 748,600	$ 769,300
Investment securities	730,000	718,300
Trade accounts receivable, net	639,100	623,500
Inventories	1,748,300	1,613,700
Prepaid and other current assets	150,400	167,800
Deferred taxes	70,600	70,200
Total current assets	4,087,000	3,962,800
Property and equipment at cost, net	182,400	180,500
Intangible assets, net	850,600	877,300
Goodwill	589,900	589,900
Other assets	25,600	25,700
Deferred taxes	130,600	136,000
Total assets	5,866,100	5,772,200
LIABILITIES AND SHAREHOLDERS' EQUITY
Accounts payable	178,700	114,800
Customer advances	200,900	98,500
Notes payable, current	76,400	75,800
Accrued expenses and taxes	233,000	237,500
Contingent consideration payable, current	19,000	19,000
Dividends payable	40,100
Total current liabilities	748,100	545,600
Contingent consideration payable, less current portion	88,400	88,400
Notes payable, less current portion	85,700	105,000
Total liabilities	922,200	739,000
Shareholders' equity:
Common stock, $.05 par value; authorized 7,000,000 shares; 1,355,514 issued and outstanding at September 30, and June 30, 2012	67,800	67,800
Additional paid-in capital	1,972,100	1,968,700
Accumulated other comprehensive loss	(3,000)	(12,600)
Retained earnings	2,959,400	3,061,700
Total	4,996,300	5,085,600
Less common stock held in treasury at cost, 19,802 shares	52,400	52,400
Total shareholders' equity	4,943,900	5,033,200
Total liabilities and shareholders' equity	$ 5,866,100	$ 5,772,200

XML

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (USD $)	3 Months Ended
	Sep. 30, 2012	Sep. 30, 2011
Operating activities:
Net income (loss)	$ (62,200)	$ 59,400
Depreciation and amortization	44,300	47,100
Deferred income taxes	5,100	3,400
Stock-based compensation	3,400	600
Changes in operating assets and liabilities:
Accounts receivable	(15,600)	(232,600)
Inventories	(134,600)	47,200
Prepaid expenses and other current assets	17,400	48,800
Other assets	100
Accounts payable	63,900	(21,300)
Customer advances	102,400
Accrued expenses and taxes	(4,400)	(18,200)
Total adjustments	82,000	125,000
Net cash provided by (used in) operating activities	19,800	(65,600)
Investing activities:
Purchase of investment securities, available for sale	(2,300)	(2,900)
Capital expenditures	(17,400)	(54,900)
Purchase of intangible assets	(2,100)	(1,300)
Net cash used in investing activities	(21,800)	(59,100)
Financing activities:
Principal payments on note payable	(18,700)
Net decrease in cash and cash equivalents	(20,700)	(124,700)
Cash and cash equivalents, beginning of period	769,300	907,800
Cash and cash equivalents, end of period	748,600	783,100
Supplemental disclosures
Cash paid during the period for: income taxes		1,500
Cash paid during the period for: interest	$ 1,400

XML

3. Acquisition (Details) (USD $)	Sep. 30, 2012
Acquisition Details
Technology, trademarks, and in-process research & development ("IPR&D")	$ 500,000
Sublicense agreements	294,000
Engineering drawings and software	64,000
Non-competition agreements	18,000
Goodwill	142,000
Total Purchase Price	$ 1,018,000

XML

4. Segment Information and Concentrations (Details) (USD $)	3 Months Ended
	Sep. 30, 2012	Sep. 30, 2011
Depreciation and Amortization	$ 44,300	$ 47,100
Benchtop Laboratory Equipment
Net Sales	1,064,900	1,075,200
Foreign Sales	621,700	608,700
Profit (Loss)	117,600	135,800
Assets	2,556,900	2,621,100
Long-lived Asset Expenditures	2,100	8,200
Depreciation and Amortization	11,100	11,800
Catalyst Research Instruments
Net Sales	284,200	465,800
Foreign Sales	239,200	112,600
Profit (Loss)	(134,300)	(58,600)
Assets	987,000	1,078,300
Long-lived Asset Expenditures	17,400	46,700
Depreciation and Amortization	9,300	35,300
Bioprocessing Systems
Net Sales	2,600	0
Foreign Sales	0	0
Profit (Loss)	(75,000)	0
Assets	801,000	0
Long-lived Asset Expenditures	0	0
Depreciation and Amortization	23,900	0
Corporate and Other
Net Sales	0	0
Foreign Sales	0	0
Profit (Loss)	0	0
Assets	1,521,200	1,333,400
Long-lived Asset Expenditures	0	0
Depreciation and Amortization	0	0
Consolidated
Net Sales	1,351,700	1,541,000
Foreign Sales	860,900	721,300
Profit (Loss)	(91,700)	77,200
Assets	5,866,100	5,032,800
Long-lived Asset Expenditures	19,500	54,900
Depreciation and Amortization	$ 44,300	$ 47,100

XML

1. Summary of significant accounting policies

3 Months Ended

Sep. 30, 2012

Notes to Financial Statements

Summary of significant accounting policies

Principles of consolidation:

The accompanying consolidated financial statements include the accounts of Scientific Industries, Inc. (“Scientific”, a Delaware corporation), Altamira Instruments, Inc.(“Altamira”, a wholly owned subsidiary and Delaware corporation), Scientific Packaging Industries, Inc. (an inactive wholly owned subsidiary and New York corporation) and Scientific Bioprocessing, Inc., (“SBI”, a wholly owned subsidiary and Delaware corporation).  All are collectively referred to as the “Company”.  All material intercompany balances and transactions have been eliminated.

XML

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Sep. 30, 2012	Jun. 30, 2012
Shareholders' equity:
Common stock,par value	$ 0.05	$ 0.05
Common stock, authorized shares	7,000,000	7,000,000
Common stock, issued shares	1,355,514	1,355,514
Common stock, outstanding shares	1,355,514	1,355,514
Stock held in treasury, shares	19,802	19,802

XML

4. Segment Information and Concentrations (Tables)

3 Months Ended

Sep. 30, 2012

Segment Reporting [Abstract]

Segment Information

Segment information is reported as follows:

	Benchtop Laboratory Equipment		Catalyst Research Instruments			Bioprocessing Systems			Corporate and Other		Consolidated
Three months ended September 30, 2012:
Net Sales	$	1,064,900	$	284,200		$	2,600		$	0	$	1,351,700
Foreign Sales		621,700		239,200			0			0		860,900
Profit (Loss)		117,600		(134,300	)		(75,000	)		0		(91,700	)
Assets		2,556,900		987,000			801,000			1,521,200		5,866,100
Long-Lived Asset Expenditures		2,100		17,400			0			0		19,500
Depreciation and Amortization		11,100		9,300			23,900			0		44,300

	Benchtop Laboratory Equipment		Catalyst Research Instruments			Bioprocessing Systems		Corporate and Other		Consolidated
Three months ended September 30, 2011:
Net Sales	$	1,075,200	$	465,800		$	0	$	0	$	1,541,000
Foreign Sales		608,700		112,600			0		0		721,300
Profit (Loss)		135,800		(58,600	)		0		0		77,200
Assets		2,621,100		1,078,300			0		1,333,400		5,032,800
Long-Lived Asset Expenditures		8,200		46,700			0		0		54,900
Depreciation and Amortization		11,800		35,300			0		0		47,100

XML

Document and Entity Information (USD $)	3 Months Ended
	Sep. 30, 2012	Oct. 26, 2012
Document And Entity Information
Entity Registrant Name	SCIENTIFIC INDUSTRIES INC
Entity Central Index Key	0000087802
Document Type	10-Q
Document Period End Date	Sep. 30, 2012
Amendment Flag	false
Current Fiscal Year End Date	--06-30
Is Entity a Well-known Seasoned Issuer?	No
Is Entity a Voluntary Filer?	No
Is Entity's Reporting Status Current?	Yes
Entity Filer Category	Smaller Reporting Company
Entity Public Float		$ 2,551,200
Entity Common Stock, Shares Outstanding		1,335,712
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2012

XML

5. Fair Value of Financial Instruments (Tables)

3 Months Ended

Sep. 30, 2012

Investments, All Other Investments [Abstract]

Fair Value Inputs

The following tables set forth by level within the fair value hierarchy the Company’s financial assets that were accounted for at fair value on a recurring basis at September 30, 2012 and June 30, 2012 according to the valuation techniques the Company used to determine their fair values:

	Fair Value Measurements Using Inputs Considered as
Assets:
	Fair Value at
	September 30, 2012		Level 1		Level 2		Level 3
Cash and cash equivalents	$	748,600	$	748,600	$	-	$	-
Available for sale securities		730,000		730,000		-		-
Total	$	1,478,600	$	1,478,600	$	-	$	-
Liabilities:
Contingent consideration	$	107,400	$	-	$	-	$	107,400

	Fair Value Measurements Using Inputs Considered as
Assets:
	Fair Value at June
	30, 2012		Level 1		Level 2		Level 3
Cash and cash equivalents	$	769,300	$	769,300	$	-	$	-
Available for sale securities		718,300		718,300		-		-
Total	$	1,487,600	$	1,487,600	$	-	$	-
Liabilities:
Contingent consideration	$	107,400	$	-	$	-	$	107,400

Investments in Marketable Securitites

Investments in marketable securities classified as available-for-sale by security type at September 30, 2012 and June 30, 2012 consisted of the following:

	Cost		Fair Value		Unrealized Holding Gain (Loss)
At September 30, 2012:
Available for sale:
Equity securities	$	5,900	$	16,400	$	10,500
Mutual funds		727,100		713,600		(13,500	)
	$	733,000	$	730,000	$	(3,000	)

	Cost		Fair Value		Unrealized Holding Gain (Loss)
At June 30, 2012:
Available for sale:
Equity securities	$	5,900	$	16,000	$	10,100
Mutual funds		725,000		702,300		(22,700	)
	$	730,900	$	718,300	$	(12,600	)

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CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS(UNAUDITED) (USD $)	3 Months Ended
	Sep. 30, 2012	Sep. 30, 2011
Income Statement [Abstract]
Net sales	$ 1,351,700	$ 1,541,000
Cost of sales	887,300	937,000
Gross profit	464,400	604,000
Operating expenses:
General and administrative	279,600	290,900
Selling	156,400	189,000
Research and development	120,100	46,900
Total operating expenses	556,100	526,800
Income (loss) from operations	(91,700)	77,200
Other income (expense):
Investment income	2,900	3,600
Other income	2,500	3,200
Interest expense	(1,400)
Total Other Income	4,000	6,800
Income (loss) before income tax expense (benefit)	(87,700)	84,000
Income tax expense (benefit):
Current	(30,600)	21,200
Deferred	5,100	3,400
Total income (loss) tax expense (benefit)	(25,500)	24,600
Net income (loss)	$ (62,200)	$ 59,400
Basic earnings (loss) per common share	$ (0.05)	$ 0.05
Diluted earnings (loss) per common share	$ (0.05)	$ 0.05
Cash dividends declared per common share	$ 0.03	$ 0.05

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6. Inventories

3 Months Ended

Sep. 30, 2012

Inventory Disclosure [Abstract]

Inventories

Inventories for financial statement purposes are based on perpetual inventory records at September 30, 2012 and based on a physical count as of June 30, 2012.Components of inventory are as follows:

	September 30, 2012		June 30, 2012
Raw Materials	$	1,291,600	$	1,146,800
Work in process		248,400		221,900
Finished Goods		208,300		245,000
	$	1,748,300	$	1,613,700

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5. Fair Value of Financial Instruments

3 Months Ended

Sep. 30, 2012

Investments, All Other Investments [Abstract]

Fair Value of Financial Instruments

The FASB defines the fair value of financial instruments as the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value measurements do not include transaction costs.

The accounting guidance also expands the disclosure requirements around fair value and establishes a fair value hierarchy of valuation inputs. The hierarchy prioritizes the inputs into three levels based on the extent to which inputs used in measuring fair value are observable in the market. Each fair value measurement is reported in one of the three levels, which is determined by the lowest level input that is significant to the fair value measurement in its entirety. These levels are described below:

Level 1 Inputs that are based upon unadjusted quoted prices for identical instruments traded in active markets.

Level 2 Quoted prices in markets that are not considered to be active or financial instruments for which all significant inputs are observable, either directly or indirectly.

Level 3 Prices or valuation that require inputs that are both significant to the fair value measurement and unobservable.

The following tables set forth by level within the fair value hierarchy the Company’s financial assets that were accounted for at fair value on a recurring basis at September 30, 2012 and June 30, 2012 according to the valuation techniques the Company used to determine their fair values:

	Fair Value Measurements Using Inputs Considered as
Assets:
	Fair Value at
	September 30, 2012		Level 1		Level 2		Level 3
Cash and cash equivalents	$	748,600	$	748,600	$	-	$	-
Available for sale securities		730,000		730,000		-		-
Total	$	1,478,600	$	1,478,600	$	-	$	-
Liabilities:
Contingent consideration	$	107,400	$	-	$	-	$	107,400

	Fair Value Measurements Using Inputs Considered as
Assets:
	Fair Value at June
	30, 2012		Level 1		Level 2		Level 3
Cash and cash equivalents	$	769,300	$	769,300	$	-	$	-
Available for sale securities		718,300		718,300		-		-
Total	$	1,487,600	$	1,487,600	$	-	$	-
Liabilities:
Contingent consideration	$	107,400	$	-	$	-	$	107,400

Investments in marketable securities classified as available-for-sale by security type at September 30, 2012 and June 30, 2012 consisted of the following:

	Cost		Fair Value		Unrealized Holding Gain (Loss)
At September 30, 2012:
Available for sale:
Equity securities	$	5,900	$	16,400	$	10,500
Mutual funds		727,100		713,600		(13,500	)
	$	733,000	$	730,000	$	(3,000	)

	Cost		Fair Value		Unrealized Holding Gain (Loss)
At June 30, 2012:
Available for sale:
Equity securities	$	5,900	$	16,000	$	10,100
Mutual funds		725,000		702,300		(22,700	)
	$	730,900	$	718,300	$	(12,600	)

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3. Acquisition (Details 1) (USD $)	3 Months Ended
	Sep. 30, 2011
Acquisition Details 1
Net sales	$ 1,578,500
Net income (loss)	$ 27,100
Net income (loss) per share - basic	$ 0.02
Net income (loss) per share - diluted	$ 0.02

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6. Inventories (Tables)

3 Months Ended

Sep. 30, 2012

Inventory Disclosure [Abstract]

Inventories

Components of inventory are as follows:

	September 30, 2012		June 30, 2012
Raw Materials	$	1,291,600	$	1,146,800
Work in process		248,400		221,900
Finished Goods		208,300		245,000
	$	1,748,300	$	1,613,700

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1. Summary of significant accounting policies (Policies)

3 Months Ended

Sep. 30, 2012

Notes to Financial Statements

Principles of consolidation

The accompanying consolidated financial statements include the accounts of Scientific Industries, Inc. (“Scientific”, a Delaware corporation), Altamira Instruments, Inc.(“Altamira”, a wholly owned subsidiary and Delaware corporation), Scientific Packaging Industries, Inc. (an inactive wholly owned subsidiary and New York corporation) and Scientific Bioprocessing, Inc., (“SBI”, a wholly owned subsidiary and Delaware corporation).  All are collectively referred to as the “Company”.  All material intercompany balances and transactions have been eliminated.

New Accounting Pronouncements

In July 2012, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 2012-02, Testing Indefinite- Lived Intangible Assets for Impairment (ASU No. 2012-02), which allows entities to use a qualitative approach to test indefinite- lived intangible assets for impairment. ASU No. 2012-02 permits an entity to first assess qualitative factors to determine whether it is more likely than not that the fair value of the indefinite-lived intangible asset is less than its carrying value. If it is concluded that this is the case, it is necessary to perform the currently prescribed quantitative impairment test. Otherwise, the quantitative impairment test is not required. ASU No. 2012-02 is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012. The adoption of the provisions of ASU No. 2012-02 is not expected to have a material impact on the Companys financial position or results of operations.

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7. Earnings (Loss) per common share

3 Months Ended

Sep. 30, 2012

Equity [Abstract]

Earnings (Loss) per common share

Basic earnings (loss) per common share are computed by dividing net income or loss by the weighted-average number of shares outstanding.Diluted earnings per common share include the dilutive effect of stock options, if any.

Earnings (Loss) per common share was computed as follows: For the Three Month

	For the Three Month
	Periods Ended
	September 30,
	2012			2011
Net income (loss)	$	(62,200	)	$	59,400
Weighted average common shares outstanding		1,335,712			1,196,577
Dilutive securities		-			14,924
Weighted average dilutive common shares outstanding		1,335,712			1,211,501
Basic earnings (loss) per common share	$	(0.05	)	$	0.05
Diluted earnings (loss) per common share	$	(0.05	)	$	0.05

Approximately 60,000 shares of the Company's common stock issuable upon the exercise of outstanding options were excluded from the calculation of diluted loss per common share for the three month period ended September 30, 2012, because the effect would be anti-dilutive due to the loss for the period.

Approximately 2,000 shares of the Company’s Common Stock issuable upon the exercise of outstanding stock options were excluded from the calculation of diluted earnings per common share for the three months ended September 30, 2011, because the effect would be anti-dilutive.

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8. Goodwill and Other Intangible Assets

3 Months Ended

Sep. 30, 2012

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets

Goodwill represents the excess of the purchase price over the fair value of the net assets acquired in connection with the Company's acquisition of Altamira and SBI’s acquisition of assets. Goodwill amounted to $589,900 as of September 30, 2012 and June 30, 2012, all of which is expected to be deductible for tax purposes.

The components of other intangible assets are as follows:

	Useful Lives	Cost		Accumulated Amortization		Net
At September 30, 2012:
Technology	5/10 yrs.	$	864,000	$	354,900	$	509,100
Customer relationships	10 yrs.		237,000		195,400	$	41,600
Sublicense agreements	10 yrs.		294,000		25,700	$	268,300
Non-compete agreements	5 yrs.		120,000		105,200	$	14,800
Other intangible assets	5 yrs.		146,000		129,200	$	16,800
		$	1,661,000	$	810,400	$	850,600

	Useful Lives	Cost		Accumulated Amortization		Net
At June 30, 2012:
Technology	5/10 yrs.	$	864,000	$	339,300	$	524,700
Customer relationships	10 yrs.		237,000		192,100	$	44,900
Sublicense agreements	10 yrs.		294,000		18,400	$	275,600
Non-compete agreements	5 yrs.		120,000		104,300	$	15,700
Other intangible assets	5 yrs.		143,900		127,500	$	16,400
		$	1,658,900	$	781,600	$	877,300

Total amortization expense was $28,800 and $28,300 for the three months ended September 30, 2012 and 2011, respectively.As of September 30, 2012, estimated future amortization expense related to intangible assets is $85,500 for the remainder of the fiscal year ending June 30, 2013, $108,800 for fiscal 2014, $105,200 for fiscal 2015, $109,400 for fiscal 2016, $93,800 for fiscal 2017, and $347,900 thereafter.

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3. Acquisition (Tables)

3 Months Ended

Sep. 30, 2012

Text Block [Abstract]

Purchase Price Allocation

Management of the Company allocated the purchase price based on its valuation of the assets acquired, all of which are intangible, as follows:

Technology, trademarks, and in-process
research & development (“IPR&D”)	$	500,000
Sublicense agreements		294,000
Engineering drawings and software		64,000
Non-competition agreements		18,000
Goodwill*		142,000
Total Purchase Price	$	1,018,000

Pro Forma Results

The unaudited pro forma condensed financial information presented below is for informational purposes only and is not intended to represent or be indicative of the consolidated results of the operations that would have been achieved if the acquisition had been completed as of the commencement of the period presented.

	For the Three Month Period EndedSeptember 30,
	2011
Net sales	$	1,578,500
Net income		27,100
Net income per share – basic	$	0.02
Net income per share – diluted	$	0.02

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8. Goodwill and Other Intangible Assets (Tables)

3 Months Ended

Sep. 30, 2012

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets

The components of other intangible assets are as follows:

	Useful Lives	Cost		Accumulated Amortization		Net
At September 30, 2012:
Technology	5/10 yrs.	$	864,000	$	354,900	$	509,100
Customer relationships	10 yrs.		237,000		195,400	$	41,600
Sublicense agreements	10 yrs.		294,000		25,700	$	268,300
Non-compete agreements	5 yrs.		120,000		105,200	$	14,800
Other intangible assets	5 yrs.		146,000		129,200	$	16,800
		$	1,661,000	$	810,400	$	850,600

	Useful Lives	Cost		Accumulated Amortization		Net
At June 30, 2012:
Technology	5/10 yrs.	$	864,000	$	339,300	$	524,700
Customer relationships	10 yrs.		237,000		192,100	$	44,900
Sublicense agreements	10 yrs.		294,000		18,400	$	275,600
Non-compete agreements	5 yrs.		120,000		104,300	$	15,700
Other intangible assets	5 yrs.		143,900		127,500	$	16,400
		$	1,658,900	$	781,600	$	877,300

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5. Fair Value of Financial Instruments (Details) (USD $)	Sep. 30, 2012	Jun. 30, 2012	Sep. 30, 2011	Jun. 30, 2011
Cash and cash equivalents	$ 748,600	$ 769,300	$ 783,100	$ 907,800
Available for sale securities	730,000	718,300
Total	1,478,600	1,478,600
Contingent consideration	107,400	107,400
Level 1
Cash and cash equivalents	748,600	769,300
Available for sale securities	730,000	718,300
Total	1,478,600	1,487,600
Contingent consideration	107,400	107,400
Level 2
Cash and cash equivalents
Available for sale securities
Total
Contingent consideration
Level 3
Cash and cash equivalents
Available for sale securities
Total
Contingent consideration	$ 107,400	$ 107,400

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CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (USD $)	3 Months Ended
	Sep. 30, 2012	Sep. 30, 2011
Condensed Consolidated Statements Of Comprehensive Income Loss
Net income (loss)	$ (62,200)	$ 59,400
Other comprehensive income (loss):
Unrealized holding gain (loss) arising during period, net of tax	9,600	(900)
Comprehensive income (loss)	$ (52,600)	$ 58,500

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4. Segment Information and Concentrations

3 Months Ended

Sep. 30, 2012

Segment Reporting [Abstract]

Segment Information and Concentrations

The Company views its operations as three segments: the manufacture and marketing of standard benchtop laboratory equipment for research in university, hospital and industrial laboratories sold primarily through laboratory equipment distributors (ABenchtop Laboratory Equipment@), the manufacture and marketing of custom-made catalyst research instruments for universities, government laboratories, and chemical and petrochemical companies sold on a direct basis (A Catalyst Research Instruments@) and the marketing and production of bioprocessing systems for laboratory research in the biotechnology industry sold directly to customers and through distributors (“Bioprocessing Systems”).

Segment information is reported as follows:

	Benchtop Laboratory Equipment		Catalyst Research Instruments			Bioprocessing Systems			Corporate and Other		Consolidated
Three months ended September 30, 2012:
Net Sales	$	1,064,900	$	284,200		$	2,600		$	0	$	1,351,700
Foreign Sales		621,700		239,200			0			0		860,900
Profit (Loss)		117,600		(134,300	)		(75,000	)		0		(91,700	)
Assets		2,556,900		987,000			801,000			1,521,200		5,866,100
Long-Lived Asset Expenditures		2,100		17,400			0			0		19,500
Depreciation and Amortization		11,100		9,300			23,900			0		44,300

	Benchtop Laboratory Equipment		Catalyst Research Instruments			Bioprocessing Systems		Corporate and Other		Consolidated
Three months ended September 30, 2011:
Net Sales	$	1,075,200	$	465,800		$	0	$	0	$	1,541,000
Foreign Sales		608,700		112,600			0		0		721,300
Profit (Loss)		135,800		(58,600	)		0		0		77,200
Assets		2,621,100		1,078,300			0		1,333,400		5,032,800
Long-Lived Asset Expenditures		8,200		46,700			0		0		54,900
Depreciation and Amortization		11,800		35,300			0		0		47,100

Approximately 61% and 63% of net sales of benchtop laboratory equipment for the three month periods ended September 30, 2012 and 2011, respectively, were derived from the Company’s main product, the Vortex-Genie 2® mixer, excluding accessories.

Two customers accounted in the aggregate for approximately 22% and 20% of the net salesof the Benchtop Laboratory Equipment Operations and 17% and 14% of the consolidated sales for the three months ended September 30, 2012, and 2011, respectively. Sales of catalyst research instruments generally comprise a few very large orders averaging at least $100,000 per order to a limited number of customers, who differ from order to order. Sales to five and three customers representedapproximately 97% and 91% of the Catalyst Research Instrument Operations’ net sales, respectively, and 17% and 28% of the consolidated sales for the three months ended September 30, 2012 and 2011, respectively.

The Company’s foreign sales are principally to customers in Europe and Asia.

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5. Fair Value of Financial Instruments (Details 1) (USD $)	Sep. 30, 2012	Jun. 30, 2012
Fair Value	$ 1,478,600	$ 1,478,600
Available for Sale
Cost	733,000	730,900
Fair Value	730,000	718,300
Unrealized Holding Gain (Loss)	(3,000)	(12,600)
Equity Securities
Cost	5,900	5,900
Fair Value	16,400	16,000
Unrealized Holding Gain (Loss)	10,500	10,100
Mutual Funds
Cost	727,100	725,000
Fair Value	713,600	702,300
Unrealized Holding Gain (Loss)	$ (13,500)	$ (22,700)

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7. Earnings (Loss) per common share (Tables)

3 Months Ended

Sep. 30, 2012

Equity [Abstract]

Earnings per common share

Earnings (Loss) per common share was computed as follows: For the Three Month

	For the Three Month
	Periods Ended
	September 30,
	2012			2011
Net income (loss)	$	(62,200	)	$	59,400
Weighted average common shares outstanding		1,335,712			1,196,577
Dilutive securities		-			14,924
Weighted average dilutive common shares outstanding		1,335,712			1,211,501
Basic earnings (loss) per common share	$	(0.05	)	$	0.05
Diluted earnings (loss) per common share	$	(0.05	)	$	0.05