Gelonghui December 24 | Guoyuan's Research Reports indicated that AI transformation is a long-term trend, and 2025 is expected to be a significant year of innovation for Apple, which could notably boost the prosperity of the supply chain. Major clients are expected to release lightweight iPhone 17s, foldable smartphones, and upgraded versions of SE next year. The increase in shipment volume and the rising demand for hardware upgrades are likely to enhance Lingyi Itech's (002600.SZ) product utilization rates and the value of individual machine configurations. We estimate that iPhone shipments will reach 0.255 billion units in 2025, likely achieving over 10% growth. Additionally, the company has a comprehensive overseas production capacity layout and currently has capacity reserves in India, Vietnam, the USA, Brazil, Turkey, and other locations, steadily expanding in a robust manner. The trend of major clients' overseas capacity layouts also provides local supporting advantages and product delivery capabilities, creating opportunities for undertaking more overseas projects in the future. AI brings innovations in upgrading components at the edge, and the company will benefit from segments such as cooling, Battery, and fast charging. Furthermore, the company chooses to closely bind with globally advantageous clients and is currently making extensive arrangements in directions like foldable screens and XR. The layout and implementation of new projects may continuously inject new growth momentum into the company. First coverage, giving a "Buy" rating. First coverage, giving a "Buy" rating.