Visual speech recognition (VSR) aims to transcribe spoken content from silent lip-motion videos and is particularly challenging in Mandarin due to severe viseme ambiguity and pervasive homophones. We propose VALLR-Pin, a two-stage Mandarin VSR framework that extends the VALLR architecture by explicitly incorporating Pinyin as an intermediate representation. In the first stage, a shared visual encoder feeds dual decoders that jointly predict Mandarin characters and their corresponding Pinyin sequences, encouraging more robust visual-linguistic representations. In the second stage, an LLM-based refinement module takes the predicted Pinyin sequence together with an N-best list of character hypotheses to resolve homophone-induced ambiguities. To further adapt the LLM to visual recognition errors, we fine-tune it on synthetic instruction data constructed from model-generated Pinyin-text pairs, enabling error-aware correction. Experiments on public Mandarin VSR benchmarks demonstrate that VALLR-Pin consistently improves transcription accuracy under multi-speaker conditions, highlighting the effectiveness of combining phonetic guidance with lightweight LLM refinement.