Macke Corporation reported yesterday its profits fell by nearly one-third in the last year, largely because of the high cost of fighting the acquisition of the company by Allegheny Beverage Corp. of Baltimore.
For the fiscal year ended Sept. 30, Macke earned $4.59 million ($1.49 a share), down from $5.7 million ($1.87) the year before, despite a 9 percent gain in sales to $283.4 million from $261 million.
Macke disclosed it spent $825,000 in the unsuccessful attempt to avoid being bought out by Allegheny, which owns 35 percent of Macke and plans to make a formal offer next month to buy the rest of $14.50 a share.
The $825,000 was used for accounting fees and financial advice and legal expenses of Macke, which filed a federal lawsuit against Allegheny to try to prevent the takeover.
The bills for the take-over fight accounted for about half the $1.7 million decline in Macke's pretax profits.
The company also reported a 4 percent decline in profits of its vending and food service operations, its biggest business. Macke's restaurant division, which operated the Family Fish House chain, has been unprofitable since it was started and "had a larger loss in fiscal 1980 than in 1979," the company reported.
In the final quarter of its fiscal year, Macke earned just over $1 million (34 cents) on sales of $72 million, compared with $1.5 million (50 cents) on sales of $65.9 million in the same period a year earlier.
Tech Serv Inc. of Beltsville yesterday reported a turnaround in its operation for the latest quarter, posting a profit of $56,000 (10 cents a share) compared with a loss of $72,000 (13 cents) in the same period a year ago.
Sales more than doubled for Tech Serv, which makes radio-controlled miniature aircraft for use as military targets and other electro-mechanical controls. The company had revenues of $692,000 for the quarter, up from $296,000.