The vibrant capital market is poised to witness another significant event.

Following the dual-listing trend of A-share leaders like CATL and Haitian Flavoring Industry on both A-share and H-share markets, Luxshare Precision Industry Co., Ltd. (hereinafter referred to as "Luxshare Precision"), the A-share "leader of the Apple supply chain" with a market value exceeding 300 billion yuan, has submitted a listing application to the Hong Kong Stock Exchange, planning to issue H shares and list on the main board.

Its founder, Ms. Wang Laichun, rose from a Foxconn assembly line worker to the helm of a Fortune Global 500 company, guiding Luxshare Precision to become a pivotal player in Apple's supply chain over two decades, earning her the title of the "new king of the Apple supply chain".

Market sources suggest that the fundraising scale could reach $1 billion. Industry insiders generally view this as Luxshare Precision stockpiling "ammunition" for future global expansion, automotive electronics, and AI hardware layout.

Luxshare Precision was listed on the A-share market on September 15, 2010. As of August 28, 2025, Luxshare Precision's total market value was approximately 334.3 billion yuan.

Faced with questions about the smartphone market tending towards saturation and over-reliance on Apple, Luxshare Precision is accelerating its quest for new growth trajectories, reflecting the transformation anxiety of the entire Chinese manufacturing industry.

In fact, new "golden tracks" are emerging in the industry:

- New energy vehicles, with global sales projected to reach 18 million units by 2025;

- The AI server market, expected to exceed $150 billion by 2027;

- Wearable devices, with global shipments exceeding 500 million units and maintaining double-digit growth;

- Low-altitude economy, with related industries projected to reach 1.5 trillion yuan by 2025.

These new opportunities are becoming the collective response for manufacturing enterprises.

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Luxshare Precision was founded in 2004 in Dongguan, with Ms. Wang Laichun as its founder.

In 1988, at the age of 21, Wang Laichun traveled from Chenghai, Guangdong, to Shenzhen and became one of the first assembly line workers at Foxconn's first factory in mainland China.

Factory conditions were exceptionally challenging, with high turnover, but Wang Laichun stayed at Foxconn for a decade.

During those ten years, she ascended from an ordinary female worker to the highest rank attainable for mainland employees, overseeing thousands of workers, and witnessing Foxconn's growth into a global electronics manufacturing giant.

In 1999, Wang Laichun and her brother Wang Laisheng went independent, acquiring Luxshare Precision in Hong Kong, and founded Luxshare Precision in Shenzhen in 2004, initially taking on outsourcing orders from their former employer, Foxconn.

In 2010, Luxshare Precision successfully listed on the A-share market with a market value of only about 6.9 billion yuan. Since then, with the belief that "flying with the phoenix will produce outstanding birds", it officially entered Apple's supply chain through an acquisition in 2011.

Amidst the global smartphone boom, Luxshare Precision, as a contract manufacturer, deeply integrated with Apple, and its share price surged more than 40 times over a decade, making it a true super bull stock in the A-share market.

Today, Wang Laichun is long regarded as the "richest woman" with a net worth of tens of billions of yuan. She and her brother Wang Laisheng jointly rank 13th on the "2025 New Fortune 500 Wealth Creation List" with assets of 131.52 billion yuan.

Luxshare Precision is also continuously growing.

According to Frost & Sullivan data, in terms of revenue in 2024, Luxshare Precision ranked fourth globally and first in mainland China in the Precision Intelligent Manufacturing Solutions (PIMS) industry. From 2023 to 2025, Luxshare Precision consecutively ranked on the Fortune Global 500 list.

Financially, from 2022 to the first three months of 2025, Luxshare Precision's operating revenues were 214.028 billion, 231.905 billion, 268.795 billion, and 61.788 billion yuan, respectively, with corresponding net profits of 10.491 billion, 12.243 billion, 14.579 billion, and 3.377 billion yuan.

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How does Luxshare Precision make money?

In a nutshell: It helps Apple, Meta, Tesla, and others transform "complex components into stable and reliable finished products". Its core business is providing cross-domain vertical integration development and intelligent manufacturing solutions, from precision components, functional modules to system-level integration, for top global technology brands.

Its business spans consumer electronics, automotive electronics, communications, data centers, and many other fields, but currently, it is still dominated by consumer electronics.

Luxshare Precision originally started with connectors and gradually expanded into cables, acoustics, camera modules, and then to complete machine assembly. Today, it is the primary contract manufacturer for Apple AirPods and one of the few Chinese manufacturers capable of undertaking partial iPhone assembly.

In 2024, 86.7% of its overall revenue came from consumer electronics, with AirPods contributing the largest share. In the industry, Foxconn is often referred to as the "synonym for iPhone", while Luxshare Precision is the "synonym for AirPods".

Apple is Luxshare Precision's "super customer".

Data shows that in 2024, its revenue from a single major customer (i.e., Apple) exceeded 190 billion yuan, accounting for over 70% of total revenue.

Other customers are also significant, including tech giants such as Meta, Microsoft, and Google, as well as automakers like BYD, Li Auto, and Tesla. However, Apple remains its core. For this reason, Luxshare is often ridiculed by outsiders for being "tied to Apple".

However, over-reliance on a single customer poses significant risks to its business. Any fluctuations in orders or adjustments to supply chain strategies from major customers can have a devastating impact on the company's performance, as evidenced by the plight of O-Film Tech after being removed from the "Apple supply chain".

Therefore, for Luxshare Precision, strategic transformation is not only an active business expansion but also a choice related to survival and future development.

Judging from the latest financial report, Luxshare Precision is indeed undergoing a transformation. On the one hand, it continues to deepen its involvement in consumer electronics to ensure cash flow; on the other hand, it is fully sprinting towards automotive electronics and AI servers.

In the first half of 2024, its automotive electronics business revenue increased by more than 40% year-on-year, primarily driven by the rapid growth of new energy vehicles. Automakers such as BYD, Li Auto, and Tesla are increasing their procurement of electronic components, and Luxshare is accelerating breakthroughs in automotive wiring harnesses, smart cockpits, and battery management systems.

The AI wave has sparked upgrades in servers and data centers, and Luxshare is betting on high-speed interconnects, optical modules, and cooling systems. The logic behind this is clear: enterprises in the Apple supply chain must find a "second curve beyond the Apple supply chain".

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The peaking of smartphone dividends is a reality that all enterprises in the "Apple supply chain" must face. They have almost simultaneously set their sights on several new growth trajectories:

1. New energy vehicles and automotive electronics.

This is the most typical "spillover from the Apple supply chain". Global sales of new energy vehicles exceeded 14 million units in 2023 and are expected to reach 18 million units by 2025, with the Chinese market accounting for over 60%.

Compared to traditional fuel vehicles, the value of electronic components in new energy vehicles is over 30% higher, meaning that for every vehicle sold, electronic manufacturers can secure a larger share of the "pie".

Therefore, not only Luxshare but also manufacturers such as GoerTek, BYD Electronics, and Hon Hai Precision Industry are pouring into sectors such as automotive wiring harnesses, smart cockpits, and autonomous driving modules.

By 2030, China's automotive electronics market is expected to exceed 1.6 trillion yuan, with an industry compound annual growth rate maintained above 10%. The entire electronics contract manufacturing supply chain is viewing vehicles as the "second mobile phone".

2. AI servers and data centers.

The computing power boom sparked by ChatGPT has made servers a new hard currency. IDC predicts that the global AI server market size will grow from $43 billion in 2023 to over $150 billion in 2027, with a compound annual growth rate exceeding 25%.

Behind this trend is not only Luxshare's incursion into high-speed interconnects, optical modules, and cooling systems but also the layout of more manufacturers: established server contract manufacturers such as Inspur, Wistron, and Quanta Computer are all seizing the opportunity of AI data centers.

Whoever can take the lead in mastering low-power, high-bandwidth hardware solutions is likely to become the next king.

3. Wearable devices and AR/VR.

Although mobile phone shipments are tending towards saturation, new personal devices are still growing. Global wearable device shipments exceeded 500 million units in 2023 and are expected to maintain double-digit growth over the next five years.

The popularity of Apple AirPods has driven the entire TWS headset industry chain, with manufacturers such as GoerTek and Edifier sharing the market.

At the same time, AR/VR has reignited capital enthusiasm, and the release of Apple's Vision Pro has brought this sector back into the mainstream spotlight.

IDC predicts that the global AR/VR market size will exceed $100 billion by 2028. For the entire manufacturing industry, this is a collective race similar to the "early days of smartphones".

4. Low-altitude economy and robots.

This is a more long-term prospect. The Ministry of Industry and Information Technology predicts that by 2025, the scale of China's low-altitude economy-related industries is expected to reach 1.5 trillion yuan.

Demand for precision components in application scenarios such as drones, unmanned delivery, and service robots is rapidly increasing. DJI, XAG, and others are already driving the upstream and downstream supply chains, and electronics contract manufacturers are actively seeking entry points.

For them, this is an opportunity to migrate from "consumer electronics" to "industrial electronics".

5. The expansion of the global precision manufacturing market itself.

According to Frost & Sullivan data, the global precision intelligent manufacturing solutions market size will reach 94.7 trillion yuan in 2025 and increase to 121.8 trillion yuan by 2029, with a compound annual growth rate of 6.5%.

This means that even without considering specific sectors, the entire "manufacturing pool" is growing.

For all participants, this is a continuously escalating gold rush: whoever can integrate AI, automation, and green manufacturing into production lines faster will secure the ticket to the future.

The future of Luxshare Precision will not be limited to being an "Apple contract manufacturer". It is moving from the "Apple supply chain" to "new chains". With the gradual increase in volume in new sectors such as new energy vehicles, AI servers, and AR/VR, more and more hidden giants will emerge in the future.

This article does not constitute any investment advice.