(RTTNews) - SABMiller Plc (SAB.L: News ), the world's second biggest brewer by volume, reported Thursday a decline in profit for the first half, affected by lower revenues and the weakness of major operating currencies against the US dollar. Revenues for the period dropped 21%, and the company said it expects the current trading conditions to continue in the second half. In addition, SABMiller said it has begun a major business capability programme, through which the company expects to lower costs progressively by about 40% year-on-year in each of the financial years 2011 to 2013.

The U.K.-based company's profit before tax for the half year declined to US$1.5 billion from US$2.02 billion in the previous year. On an adjusted basis, pre-tax profit rose 3% to $1.92 billion from $1.86 billion in the prior year.

Profit attributable to equity shareholders was US$973 million or 62.6 cents per share, compared to a profit of US$1.42 billion or 94.3 cents per share in the prior year. Adjusted earnings rose 10% to US$1.24 billion from US$1.13 billion last year, and adjusted earnings per share grew to 79.5 cents from 74.8 cents a year ago.

According to the company, the growth in adjusted earnings was due to lower finance charges and reduced profit attributable to minority interests following the purchase of the 28.1% minority interest in its Polish subsidiary Kompania Piwowarska in May 2009 in exchange for the issue of 60 million ordinary shares.

Revenues for the period dropped 21% to US$8.85 billion from US$11.17 billion in the same period last year. Group revenue, including attributable share of associates' and joint ventures' revenue, dropped 6% to $13.36 billion from $14.22 billion in the prior year. Group revenue increased by 3% organically in constant currency, helped by firm pricing and cost efficiency, the company said.

Segment-wise, revenues from Latin America decreased to US$2.74 billion from US$2.84 billion in the previous year. Revenues from Europe declined to US$3.2 billion from US$3.99 billion in the year-ago period. North America reported revenues of US$57 million, down from US$1.5 billion in the preceding year.

Revenues from Africa declined to US$802 million from prior year's US$815 million and Asia posted revenues of US$226 million, compared to US$248 million last year. Revenues from South Africa grew to US$1.82 billion from US$1.77 billion a year ago.

During the period, the company recorded net exceptional charges of US$222 million before finance costs and tax, compared to net exceptional credit of US$371 million in the prior-year period.

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