We maintain NEUTRAL (1) While CV sales remain lackluster, they are stabilizing at lower levels (2) While any introduction of a scrappage scheme will aid sales in FY21, the expected commissioning of the DFC will impact demand over the medium term (3) In the current cycle, AL has a well capitalized balance sheet and is better prepared to withstand the downturn. 2QFY20 was a weak quarter as EBITDA margin declined to 5.8% (-360bps QoQ). However, demand trends are bottoming and industry expects that the announcement of a scrappage scheme will likely aid sales over FY21. We Reiterate NEUTRAL with a TP of Rs 75 (13x on Sep- 21 EPS) as we lower our FY20/21 EPS by 15/2%.