Top picks: UltraTech, Dalmia Bharat and JK Cement. We also like Orient Cement owing to its strong earnings recovery in FY20E. Another quarter of flattish sales growth: Cement demand remained weak in 2QFY20, on continued slowdown in construction activities. Liquidity constraints, heavy monsoon and project cancellations in AP drove the slowdown. We, therefore, estimate aggregate sales volume for 11 cement companies under coverage to remain flattish YoY. We expect Star Cement to record 8% volume growth on demand recovery in the north-east region. We estimate UltraTech to deliver 3.5% volume growth mainly aided by inorganic contribution coming from the Binani Cements acquisition. JK Cements 3% volume growth is driven by higher white cement sales. We estimate ~5-15% volume decline for companies with high sales exposure to AP/T markets (Deccan, Orient Cement).