18 May 2020 CROMPTON was all set to witness one of its strongest quarter (based on Jan- Feb20 sales) before the onset of the COVID-19 led disruption in Mar20, which led the sales decline across categories in 4QFY20. While management is optimistic of supply side getting back to normal as the lockdown gradually eases, it still remains cautious on the demand outlook. Volume growth was robust during Jan-Feb20 (33% YoY across ECD and B2C Lighting). Primary sales have resumed from end-Apr20, and Fans and Pumps have seen good pick-up in the South and East India in May20. We have cut our FY21E/FY22E earnings estimates by 22%/11% to build in the impact caused by the COVID-19 disruption and modest demand outlook ahead. We maintain our Revenue declined 16% YoY to INR10.2b (16% below est.). EBITDA declined 18% YoY to INR1.4b (17% below est.) while EBITDA margin was down 40bp YoY to 13.6% (v/s est.