Vermillion had led by three after the third quarter.
The loss gave the Tanager junior varsity a record of 0-2 while LHS moved to 1-0.
Blaine Olson scored 14 points and pulled down five rebounds.
The Tanagers fell behind 12-7 after the first quarter, went into the locker room up 25-21 at halftime, and then led 34-31 after the third quarter.
"We need to find a way to finish all four quarters," said coach Jon Ruevers.
Vermillion made 1 of 3 three-point tries and made 15 of 25 free throw tries. The Tanagers connected on 12 of 32 field goal attempts, while LHS was 16 of 36 from the field. LHS sank 0 of 4 three-pointers and hit 18 of 27 from the line.