Mega-fleet J.B. Hunt announced Wednesday it has acquired Cory 1st Choice Home Delivery for $100 million as a means to bolster its final-mile delivery arm.
Final Mile is a division of the J.B. Hunt’s Dedicated Contract Services (DCS) business unit, which the fleet says has the ability to serve the entirety of the contiguous U.S.
J.B. Hunt anticipates 2018 Final Mile unit revenue to exceed $350 million, with $50-100 million from new business. Total DCS revenue reported for Q1-Q3 of 2018 combined was $1.6 billion. In 2017, DCS reported revenue of $1.7 billion for the year.
“This is a strategic investment that will further advance our final mile delivery capabilities of ‘big and bulky’ products to consumers and expand our expertise in furniture delivery,” said John Roberts, president and CEO of J.B. Hunt.
Based in New Jersey and founded in 1934, Cory provides home delivery services of big and bulky products in the continental United States and U.S. territories using 14 warehouses and customer-owned facilities. Cory utilizes more than 1,000 independent contractors, carriers and delivery drivers to complete over 2 million annual deliveries.
With the acquisition, J.B. Hunt is expanding its furniture delivery portfolio to include additional top 100 retail brands and broadening its service offerings to meet consumer demand.
“Cory’s exceptional reputation for quality customer service complements our mission to be the best final mile provider in North America,” said Nick Hobbs, executive vice president and president of Dedicated Contract Services at J.B. Hunt. “We are excited to welcome the employees, independent contractors, contract carriers, and customers of Cory to J.B. Hunt.”
In 2017, J.B. Hunt acquired Special Logistics Dedicated, expanding its pool distribution and fulfillment delivery capabilities. With the Cory acquisition, Final Mile will grow to include 100 locations and over 3.1 million square feet of warehouse and facilities space.
This article was written by Aaron Huff, senior editor at Commercial Carrier Journal, a partner publication of Hard Working Trucks.