Two of the region's real estate investment trusts have reported improved profitability for the quarter ended June 30 but a third REIT posted a loss.

On the up side, Mortgage Investors of Washington a Bethesda REIT reported yesterday that second-quarter operations produced profits of $528,677 (25 cents a share) compared with a steep loss in the previous quarter of $1.17 million and lower earnings of $266,814 (11 cents) in the second quarter last year.

MIW said the recent gains resulted primarily from the sale of an apartment complex owned by the trust and the collection of full principle and a substantial portion of overdue interest on a mortgage loan previously classified as non-earning.

The company said its management is hopeful "that transactions similar to those mentioned above will transpire throughout the remainder of the current fiscal year."

Capital Mortgage Investments of Chevy Chase reported on operating loss in the recent quarter of $604,872. But extraordinary gains produced profits of $70,718 (4 cents a share) compared with $674,419 (40 cents) in the 1977 period. For the first six months of 1978, however, CMI reported profits of $888,637 (53 cents) compared with a loss in the 1977 period of $654,757.

An asset exchange program with banks, under which the trust is exchanging investments for a reduction in bank debts, accounted for extraordinary gains of $1.76 million in the first half of this year - along with a debenture exchange with one borrower. CMI has cut bank debts to $32 million from $49 million a year ago.

Virginia REIT, of Richmond, reported a second-quarter loss of $107,274 compared with profits last year of $110,835 (9 cents a share). The trust said costs associated with refinancing debt on two shopping centers amounted to $251,835. Before that item, Virginia REIT had operating profits in the quarter of $144, 561.

Directors voted a dividend of 15 cents a share payable Aug. 23 to owners of record Aug. 9.

Manor Care Inc., a Silver Spring nursing home chain, reported that profits in the fiscal year ended May 31 rose slightly to $1.8 million ($1.06 a share) from $1.76 million ($1.04) the previous year. Sales increased to $37.4 million from $30.9 million. In the fourth quarter, Manor Care earned $260,000 (15 cents) vs. $232,000 (14 cents).

In a related development, Manor Care announced that it has purchased 772,490 shares of Hillhaven Corp., another health care firm in Tacoma, Wash., for which the Silver Spring firm has been bidding. Manor Care has offered to buy up to 1 million shares at $17.50 apiece. Hillhaven, meantime, has purchased 777,764 shares at $18 in a competing bid.

Manor Care owns about 36 percent of Hillhaven shares and National Medical Enterprises of Los Angeles owns preferred shares and convertible debt that could be converted into about a 31 percent stock interest, putting Hillhaven management "in the middle" of two potential controlling interests, said a company spokesman. "We're not resisting Manor Care," said financial vice president Neal Elliott.

The Silver Spring firm, meanwhile, extended its offer to buy Hillhaven shares until 5 p.m., Aug. 15.

Manor Care and Hillhave have reached an "understanding" under which three of the local company's officers will become members of the Hillhaven board - chairman Stewart Bainum, president B. H. McCeney and senior vice president Stewart Bainum Jr.

Acacia Mutual Life Insurance Co., which recently introduced a new portfolio of life insurance and annuity products, has reported higher premium and investment income on slightly lower sales for the first six months of 1978.

Chairman Daniel L. Hurson said premium income totaled $36.6 million in the recent six months, up 4.7 percent from the same period last year. Investment income rose more than $2 million to $23.5 million but sales declined 1.3 percent to $225 million.

Hurson said the flat sales probably reflected necessary training of Acacia's sales force in anticipation of the new series of policies, unveiled July 1. According to Hurson, Acacia's new policies feature more flexibility and low interest costs.

Acacia had reduced the number of plans offered, simplified language to make it "non-legalstic," and used larger typofaces in printing policies. Plans are available for male and female clients and a non-smoker premium discount has been extended to all the new plans.

Life insurance in force at Acacia passed the $4 billion mark during April and were $4.04 billion on June 30, up 5.6 percent from a year earlier.

Capital Holding Corp., parent firm of Peoples Life and subsidiary Home Life of America in Washington, reported a gain from operations during the first half of 1978 totaling $37.5 million, ip 16.6 percent from the same period in 1977. This resulted in earnings per share of $1.30 vs. $1.12.

Sales of individual life policies in the first half were $1.4 billion, up nearly 17 percent from the first half of 1977.

Smithfield Foods Inc. reported second second-quarter profits of $395,000 (16 cents a share) compared with $305,000 (12 cents) from continuing operations a year earlier. Sales rose to $39 million from $32.6 million.