Alex Vaughan, currently managing director of Costain natural resources division, will be appointed chief executive on 7th May 2019 at the end of the company’s AGM.
Although at the age of 56 Andrew Wyllie is far from retirement age, he has already started gathering older-person type positions. He is a non-executive director of Yorkshire Water Services and recently took up the presidency of the Institution of Civil Engineers.
His successor, Alex Vaughan, is 49 and a chartered quantity surveyor. He joined Costain in 1992 and was appointed to the executive board in 2006. Through his leadership of the development of the company’s consultancy and technology services, he is credited with having played a leading role in what Costain sees as its repositioning from construction contractor to ‘smart infrastructure solutions business’. In his current role, Alex has overseen significant growth in the profitability of the natural resources division.
Chairman Paul Golby said: “Andrew can feel extremely proud of what he has achieved at Costain. He leaves the group in good health, the result of the growth strategy which he and his colleagues have been implementing for the last fourteen years. We are delighted that Alex will be taking over. He has played a major role in the development of the group and the implementation of its strategy, and has the expertise and ambition to deliver the future growth of the business.”
Andrew Wyllie said: “I have thoroughly enjoyed the past fourteen years and would like to thank my colleagues for their support and commitment. Costain is a great business with a great future ahead of it.”
Alex Vaughan said: “I am delighted to have been appointed CEO and very much look forward to leading the business and continuing our strategy as we enter a new era of opportunity for Costain.”
Costain also posted its annual results for 2018 today, showing a 4% dip in pre-tax profit and a 14% revenue slide.
Revenue, including share of joint ventures and associates, was down 14% to £1,489.3m (2017: £1,728.9m) reflecting a lower level of capital project activity in the year.
Reported profit before tax for the year was £40.2m (2017: £41.8m). However, stripping out one of costs such as an £8.6m pension charge and £3m amortisation of acquired assets, underlying operating profit was up 7% to £52.5m (2017: £49.1m).