LHC Dismisses Deputy General Director Pham Van Hoan

Overview

LHC, the HNX-listed irrigation and infrastructure contractor formally known as CTCP Đầu tư và Xây dựng Thuỷ lợi Lâm Đồng, has removed Phạm Văn Hoàn from the position of Deputy General Director effective September 14, 2026. The board resolution ends his executive authority at the company and removes him from its list of insiders, a disclosure point that matters for shareholders tracking related-party and insider-trading obligations.

Key Facts

• The board decision dismisses Phạm Văn Hoàn as Deputy General Director of LHC effective September 14, 2026.
• After the effective date, Hoàn loses all authority, duties and powers attached to the Deputy General Director role.
• He simultaneously ceases to be classified as an insider of the company.
• LHC is listed on the Hà Nội Stock Exchange (HNX) under ticker LHC.
• The company was founded in 1976 as a provincial irrigation construction unit and later equitised and listed.
• H1 2026 net revenue reached VND 836B, up 13% year on year, while pre-tax profit fell 31% to VND 92B.
• LHC shares closed at VND 46,200 on September 17, 2026.
• The announcement does not name a replacement Deputy General Director.

What Happened

The dismissal was disclosed through a board of directors resolution published by the company, according to the announcement. The decision takes effect on September 14, 2026, and the filing states that from that date Phạm Văn Hoàn’s rights, responsibilities and powers linked to the Deputy General Director title at LHC are terminated. The same disclosure confirms that he is no longer an insider of the company, a status that governs reporting and trading restrictions under Vietnamese securities rules.

The announcement does not give a reason for the removal, does not disclose any severance or settlement terms, and does not name an interim or permanent replacement. LHC’s core business remains the construction of irrigation works such as reservoirs, dams, canals and irrigation systems, alongside transport, civil and technical infrastructure, property development, and building materials through subsidiaries including CTCP Khoáng sản và Vật liệu xây dựng Lâm Đồng (LBM).

Market Context

LHC trades on HNX, where mid-cap construction and materials names have generally lagged the Hồ Chí Minh City exchange’s large-cap index through 2026. The stock closed at VND 46,200 on September 17, 2026, three days after the dismissal took effect, and the price context provided shows no obvious dislocation around the announcement. The company’s H1 2026 results frame the backdrop: revenue growth of 13% to VND 836B was offset by cost of goods sold rising faster to VND 673B, compressing gross profit by nearly 12% to VND 162B, while financial income collapsed from VND 21B to VND 3B and interest costs rose to roughly VND 5B.

Strategic Significance

For long-term holders, the removal of a deputy general director at a project-driven contractor is a governance signal rather than an earnings event. LHC’s profitability is tied to irrigation and public infrastructure tendering in Lâm Đồng and neighbouring provinces, where execution capacity and provincial relationships matter more than headline revenue. A leadership change at the deputy level can indicate internal restructuring, a shift in project responsibility, or preparation for a broader management reshuffle, but the filing provides no detail on which. The more material strategic question is margin: with gross margin squeezed and financial income no longer cushioning results, LHC’s ability to win higher-value irrigation and technical infrastructure contracts will determine whether the H1 profit decline reverses.

What to Watch

• Any subsequent LHC filing naming a replacement Deputy General Director or announcing further board and executive changes.
• Disclosure of the reason for the dismissal, or of any settlement terms, which the current announcement omits.
• Q3 2026 results, expected in October, to show whether the H1 gross-margin compression and the drop in financial income persist.
• Insider and related-party transaction filings confirming Phạm Văn Hoàn’s exit from the insider register and any share sales.
• New irrigation or public infrastructure contract awards in Lâm Đồng and adjacent provinces, which would test the execution-capacity thesis.