As per doc id -
You should first evaluate if you are going for new implementation or you are already on an ebs r12.2.x environment. In your case, you are on r12.2.5 environment. Next would be evaluate current ad and txk code level. Please use below query to get current code level.
Ideally for above case, you should be following below section in doc id - Doc ID 1617461.1
3.2 Path B — Existing Release 12.2 customers (below AD-TXK Delta 11 codelevel)
>>> We need to generate appsutil.zip after cutover ?
Yes, you must update database tier with latest code after cleanup phase already mentioned in document. Please check for below sequence -
1 - source run
2 - adop phase=prepare
3 - apply patches ( adop phase=apply) AD and critical AD
4 - apply patches ( adop phase=apply) TXK and critical TXK
5 - adop phase = finalize
6 - adop phase=cutover
7 - . <EBS_ROOT>/EBSapps.env run
8 - adop phase=cleanup
9 - generate appsutil.zip and move latest code to database node
10- run fs_clone just to make sure below next prepare phase doesnot take more time.
Thanks for the update