Contractor Balfour Beatty chief executive Ian Tyler will step down at the end of March and replaced by his deputy Andrew McNaughton, the firm announced today.
Tyler leaves the UK’s largest contractor after eight years during a period of major acquisitions including contractors Dean and Dyball and Birse as well as US consultant Parsons Brinckerhoff.
“It has been a great honour to have been Balfour Beatty’s Chief Executive, and to have led such a talented group of people,” said Tyler. “Together, we have created one of the world’s leading infrastructure businesses.”
But the firm issued a profit warning in November and its Construction Services division also underwent major restructuring last year to cut costs.
Tyler said after eight years it was time to leave the firm and wants to explore opportunities outside Balfour Beatty
Incoming chief executive Andrew McNaughton is a chartered civil engineer and current ICE vice president. McNaughton graduated with a degree in Civil Engineering from Nottingham University and started out as a site engineer for Kier Southern in 1985.
He joined Balfour Beatty in 1997 as engineering manager rising up the ranks to join the Board in 2009 as chief operating officer leading worldwide operations.
“We have a strong company and are in a good position to meet the short term market challenges and take advantage of the longer term opportunities,” said McNaughton. “I am looking forward to building on the solid platform that we have created and leading us to the next stage of strategic growth.”
Balfour Beatty Trading Update
Balfour Beatty said its order book has risen to £15bn following major contracts wins for the National Grid and a Hong Kong tunnelling job, the firm announced today.
The firm said the results remains in line with expectation – which will be announced on 7 March – but there are number of difficulties the UK construction and European rail markets.
Workload is shifting from construction to professional services and buildings to infrastructure projects, the firm said.
Since the start of the year the firm has won a £321M M25 managed motorways job with contractor Skanska and a £150M five year contract to manage Wiltshire’s highways and street lighting.