Balfour Beatty chief Ian Tyler steps down after profit warning Mr Tyler's departure does, however, come in the wake of a surprise profit warning in November, when the group also signalled it was reviewing the future of its European rail business. Balfour said at the time that tough conditions in both the US and UK construction sectors - plus difficulties facing its European rail operations - would lead to 2012 profits being "slightly lower than expected." The company's order book fell to £14.4bn at the end of September, from £15bn in June. Mr Tyler, who has been responsible for diversifying the company during his eight years at the helm, said Balfour was "having to look at desisting from certain areas of the market." The group blamed "structural problems" in its European rail business for prompting the review. The underperforming rail division will wipe £10m off the company's 2012 profits. Mr McNaughton, a chartered civil engineer, is another Balfour veteran, having joined in 1997. He took over the role of chief operating officer in 2009.