Chairman of Binh Tay Wire Mesh Joint Stock Company resigns as delisting risk looms; 2026 profit outlook trimmed

Binh Tay Wire Mesh Joint Stock Company (UPCoM: VDT) is at risk of losing its public-listed status after the State Securities Commission issued a warning over its legal status. The company has also received a resignation letter from its Chairman of the Board. While VDT’s 2025 results exceeded targets, its 2026 outlook points to a sharp decline in pretax profit. The company said it may still pay cash dividends to shareholders.

Public-listed status under review

Based on VDT’s audited 2025 financial statements, the company’s charter capital is below VND 19.7 billion, while equity is recorded at more than VND 26.77 billion. Under current securities regulations, maintaining public company status requires contributed charter capital of at least VND 30 billion and equity not to fall below this threshold.

Because VDT does not meet both core criteria, the Vietnam Securities Depository and Clearing Corporation (UBCKNN) requires continued monitoring of remediation for one year from February 4, 2026. After this period, if the company cannot raise capital to meet requirements, VDT must submit an application to cancel its public company status.

Chairman resigns; leadership changes proposed

Amid the delisting risk, VDT’s leadership has changed. On April 14, 2026, Mr. Le Hai Tu submitted his resignation as Chairman of the Board. The company has not announced a replacement. Tu cited personal reasons for stepping down.

Tu currently holds 94,760 shares, representing about 4.82% of charter capital. Over the past year, in his capacity as standing chairman, he earned about VND 667 million, slightly below the CEO Nguyen Dong Vuong’s remuneration of about VND 670 million.

Also on April 14, VDT submitted to the upcoming AGM a proposal to appoint Hoang Ngoc Chien to the Board and to relieve Tu of the chair for the 2023–2028 term. Hoang Ngoc Chien holds degrees in Economic Law and Business Administration and has held senior leadership roles at Vietnam Steel Corporation (VNSTEEL). He currently serves as Head of Legal at VNSTEEL and is also a Board member at VICASA Steel (VCA).

2026 plan: revenue up, pretax profit sharply lower

For 2026, VDT outlined a cautious business plan. The company targets net revenue of VND 90 billion, up about 8% from 2025, and expects sales volume of 3,600 tons, up 1.46% from 2025. However, pretax profit is forecast at only VND 1.2 billion, down more than 41%.

2025 performance exceeds targets

In 2025, VDT reported results that surpassed its plans. Net revenue reached VND 83.65 billion, up 11.5% versus the plan. Pretax profit was VND 2.04 billion, up 2.1%. Actual sales volume was 3,548 tons, up 18%.

Dividend track record and proposed payouts

Despite its small capital base, VDT has maintained a record of paying cash dividends in consecutive years. Dividend payments included VND 1,500 per share in 2021, increasing to VND 2,000 per share in 2022. In 2024, shareholders received VND 1,000 per share, and the most recent September 2025 payout was VND 800 per share.

On the back of positive 2025 earnings, the company proposed a cash dividend of 8% of charter capital, with total payout estimated at over VND 1.57 billion. Even with the expected decline in 2026 profit, management said it intends to maintain a cash dividend of around 10% for the 2026 financial year.