By Scott Malone
NEW YORK (Reuters) - Diversified manufacturer SPX Corp. (SPW.N: Quote, Profile, Research, Stock Buzz) expects to grow its sales in China by 20 percent this year and aims to hit the $1 billion mark by 2010, the company's chief executive said on Monday.
"If you look at the growth path that we're on, I think that's not unreasonable to expect," Chris Kearney, SPX president and chief executive officer, said at the Reuters Manufacturing and Transportation Summit in New York.
"Our growth there has really been organic, we haven't done any significant acquisitions in China," Kearney said.
The Charlotte, North Carolina-based company generated $270 million in sales in China last year, representing 6 percent of its total sales.
Overall, SPX last year recorded $1.09 billion in net income on $4.29 billion in sales. It makes industrial components including fluid-handling systems and car diagnostic tools.
SPX currently has 3,000 employees at 12 factories in China, representing 20 percent of its total work force. The bulk of its sales into China are cooling towers for power plants.
"As the power grid gets built out into China, we are a major player in providing dry cooling towers," Kearney said.
He said the company is keeping its eyes open for potential acquisitions in Asia, as well as in Europe, with an eye toward boosting the percentage of sales it generates outside North America, which last year accounted for 64 percent of revenue.
"What we would like to see over time is 50-50, which would be a nice balance, theoretically," Kearney said.
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