Analyst Conference Summary

biotechnology

conference date: May 7, 2026 @ 1:30 PM Pacific Time
for quarter ending: March 31, 2026 (first quarter, Q1 2026)

Forward-looking statements

Overview: Slow revenue ramp, perhaps due to Q1 headwinds.

Basic data (GAAP):

Revenue was $18.7 million, up 7% sequentially from $17.5 million and up from $0 million in the year-earlier quarter.

Net Income was negative $37 million, down sequentially from negative $33 million, and up from negative $52 million year-earlier.

EPS (Earnings per Share), diluted, were negative $0.46, up sequentially from negative $0.50, and up from negative $0.96 year-earlier.

Guidance:

none

Conference Highlights:

CEO Dan Paterson said, "As we mark the one-year anniversary of the FDA-approval of Avmapki Fakzynja Co-pack for KRAS-mutated recurrent low-grade serous ovarian cancer, I am incredibly proud of the progress we have made to deliver a meaningful impact for people living with this rare cancer. As we build on the foundation we have established with the commercial launch, we also look to continue accelerating VS-7375, our potential best-in-class oral, KRAS G12D (ON/OFF) inhibitor, and are pleased to announce the initiation of three Phase 2 registration-directed trials in pancreatic, non-small cell lung, and colorectal cancers. In an evolving competitive landscape, we remain encouraged by the efficacy data generated by our partner and emerging in the U.S., along with the safety and tolerability profile we are seeing across multiple solid tumor cancers and look forward to sharing data updates throughout this year. Altogether, we believe we are well-positioned to drive strong execution across our commercial launch and expedite VS-7375 development while maintaining disciplined capital management." New patient starts have been consistent month to month. We are confident in the underlaying demand. Interested in non-dilutive financing.

There are now over 400 copack prescribers. Q1 did have an impact from insurance renewals and weather. Renewals and prescriptions rebounded in q2. 65% of commercial patients are using the copay program. Saw some discontinuations from patients who were sicker than those in the study. Managing adverse events is also important to renewals. Establishing the co-pack as first therapy at LGSOC recurrence.

In February 2026 the National Comprehensive Cancer Network (NCCN) Clinical Practice Guidelines in Oncology (NCCN Guidelines) for Ovarian Cancer did not expand the recomendation for the Avmapki and Fakzynja (co-pack) to LGSOC patients without a KRAS mutation. Verastem will continue generating data to show the benefits for these patients.

In February 2026 a small Japaneses study of Avmapki and Fakzynja (co-pack) for LGSOC patients reported updated positive results.

The combination of Avmapki and Fakzynja (co-pack) was approved by the FDA on May 8, 2025 for adults with KRAS-mutated recurrent low-grade serous ovarian cancer (LGSOC), who have received a prior therapy. Net product revenue for the therapy was $18.7 million, up 7% sequentially from $17.5 million. A confirmatory Phase 3 trial is underway with enrollment completed in Q1 2026. A topline readout of the confirmatory RAMP 301 trial is expected in mid-2027. A new marketing campaign launched in April 2026. 2 year follow up Phase 2 data demonstrated durability of benefit. In February 2026 updated Japanese data showed ORRs or 57% for KRAS patients, 22% for wild-type, and 38% overall. The Phase 3 topline readout is not expected until mid-2027.

Genfleet continued to evaluate VS-7375 (GFH375) in China. In December 2025 a Phase 3 study in pretreated KRAS mutated metastatic pancreatic cancer was initiated. Additional data for PDAC announced in Q4 2025 was positive. In China partner in 2026 GFH375 was granted Breakthrough therapy designation in second line metastatic pancreatic cancer and in second line NSCLC. There VS-7345 is called GFH375.

In May 2026, the Phase 1/2 VS-7375 study continued at the 1200 mg. dose. Preliminary data cleared 400mg through 900mg doses with no dose-limiting toxicities. The FDA granted Fast Track for metastatic adenocarcinoma of the pancreas (PDAC) and for the treatment of patients with KRAS G12D-mutated locally advanced or metastatic PDAC who have received at least one prior line of standard systemic therapy. Also in Q2 2026, with FDA feedback, Phase 2 trials are underway, with first dosing expected in mid-2026, separately for KRAS G12D mutated 2L pancreatic ductal adenocarcinoma (PDAC) and 2L/3L non-small cell lung cancer (NSCLC) (monotherapy) and 2L+ colorectal cancer (CRC) in combination with cetuximab.

In Q2 2025 Avutometinib plus Defactinib in combination with chemotherapy in first-line metastatic PDAC, in the Phase 1/2 trial, reported a dose level 1 ORR of 83%. Enrollment was completed in Q3 2025, with a data update expected in 1H 2026.

In Q2 2026 Verastem expects updated data from RAMP 205 trial of avutometinib plus defactinib and chemotherapy for first-line metastatic pancreatic cancer.

Cash and equivalents ended at $182 million,downp sequentially from $205 million. Long term debt was $73 million.

Non-GAAP net income was negative $43 million, down sequentially from negative $40 million, and about flat from negative $43 million year-earlier. Non-GAAP diluted EPS was negative$0.43, up sequentially from negative$0.48, and up from negative $0.79 year-earlier.

Total operating costs were $64 million. Cost of sales $3 million, R&D $38 million, SG&A $22 million. Loss from operations $45 million. Other expense $0 million. Interest income net $1 million. Change in fair value of warrant liability $9 million. Change in fair value of notes down $2 million.

Q&A selective summary:

7375, what would partners need to see? We have had a fair amount of interest. China data is significant. Need to see enough U.S. data to show efficacy as potentially best in class. Optimistic.

Copack revenue needed for self-sustainability. No specific revenue, but look at expenses.

7375 U.S. v. Chinese patients? Treatments tend to be the same in both nations. Patients are fairly similar, but tolerability has been better in the U.S. than was seen in China. We are not seeing cumulative toxicity. It takes at least 6 to 8 weeks to see a response, and dosing is staggered, then another scan is done after another 6 to 8 weeks. We see some responses in first scan, also in second, we are seeing partial responses, we are optimistic, but we are only getting data on 600 mg so far. Patients could spend a year or more on drug.

We think 900 mg will be good both for the monotherapy and for combinations.

We think our response rates will correspond to durability.

We are considering multiple options in pancreatic cancer, now that we have made a dent.

Are you able to license the GenFleet pan-RAS? The other two programs were not part of the agreement, but we continue to talk to them, and we did get two more therapy options under the deal.

Discussed details of the sales force and effects in the field, like dose delays.

We will be very aggressive on the potential accelerated approval paths. First data, soon, will give an idea of efficacy, more comprehensive data late in the year.

NSCLC will have a separate cohort for patient with brain metastasis. We hope enough drug will go to the brain for this.

We do not think there is any risk of pneumonitis.

1200 mg? They are 100 mg pills, 9 pills is the maximum practical for patients. We are constructing larger pills, the marketed pills should be over 100 mg.

Reimbursement for KRAS v. wild type? Has remained the same.

Longer term commercial patients, more than 8 or 9 months? Yes, but the reports are anecdotal.

We can say we expect the increased revenue from Q1 to Q2 will be greater than that from Q4 to Q1.

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