Verastem, Inc. (VSTM): Business Model Canvas [Dec-2025 Updated]

You're looking at a biotech firm, Verastem, Inc. (VSTM), right at that knife-edge moment-the defintely high-risk pivot from pure research to actually selling a drug. Honestly, seeing their Q3 2025 numbers tells the story: they booked $11.2 million in net product sales from their newly approved AVMAPKI FAKZYNJA CO-PACK, but they are still burning cash with R&D at $29.0 million and SG&A at $21.0 million that quarter. This Business Model Canvas breaks down exactly how they plan to manage that tightrope walk-from their key partnership with IQVIA for the launch to their $137.7 million cash cushion-so you can see the mechanics behind their strategy to capture the unmet need in KRAS-mutated LGSOC.

Verastem, Inc. (VSTM) - Canvas Business Model: Key Partnerships

You're looking at the critical external relationships Verastem, Inc. has built to support its commercialization efforts and pipeline advancement as of late 2025. These aren't just names on a slide; they represent concrete financial commitments and operational leverage points.

IQVIA for commercialization infrastructure and launch support

Verastem, Inc. entered a strategic collaboration with IQVIA Inc. to use its world-class infrastructure and established commercialization solutions. This partnership is designed to complement the launch strategy for the investigational combination of avutometinib plus defactinib, which received U.S. Food and Drug Administration (FDA) approval as AVMAPKI™ FAKZYNJA™ CO-PACK in May 2025 for recurrent KRAS mutant low-grade serous ovarian cancer (LGSOC). The goal was to accelerate key launch capabilities, aiming for significant savings while delivering a high-quality product launch.

GenFleet Therapeutics for licensing and co-development of VS-7375 (KRAS G12D inhibitor)

Verastem, Inc. exercised its option early in January 2025 to license VS-7375, an oral KRAS G12D (ON/OFF) inhibitor, from GenFleet Therapeutics. This move secured Verastem, Inc.'s exclusive global license for VS-7375 outside of GenFleet's defined markets, which are mainland China, Hong Kong, Macau, and Taiwan. The U.S. Investigational New Drug (IND) application for VS-7375 was cleared in April 2025, and the Phase 1/2a clinical trial (VS-7375-101) was initiated in the U.S. in June 2025. This partnership is already showing early promise based on data from GenFleet's ongoing study in China.

Here's a look at the early efficacy signals from the partner's trial:

• Overall Response Rate (ORR) in PDAC patients (as of May 16, 2025): 52%
• ORR in NSCLC patients (as of May 16, 2025): 42%
• Dose levels cleared in China Phase 1 study: six dose cohorts
• Dose-limiting toxicities (DLTs) observed in China Phase 1: zero

Oberland Capital for debt refinancing and equity investment to fund the launch

To secure a strong financial footing for the LGSOC launch, Verastem, Inc. announced a transaction with Oberland Capital Management LLC on January 13, 2025. This deal provided substantial non-dilutive and dilutive capital.

Financing Component	Amount/Term	Purpose/Detail
New Credit Facility (Notes)	Up to $150 million total	Access upon achievement of pre-determined milestones
Initial Notes Issued (Jan 2025)	$75 million	At closing, used in part to repay Oxford Finance loan
Equity Investment	$7.5 million	Private placement of 1,416,939 shares at closing
Repayment of Existing Debt	$42.7 million	Full repayment of Oxford Finance loan
Pro Forma Cash (Dec 31, 2024)	$128.6 million	Cash position post-transaction and debt repayment
Revenue Participation (Oberland)	1.0% of first $100 million net sales (annually)	Initial entitlement on certain products

The company ended Q3 2025 with $137.7 million in cash, cash equivalents, and investments, projecting a cash runway into the second half of 2026 based on existing cash and expected product revenue, which reached $11.2 million in that quarter alone.

Academic and cooperative oncology groups (e.g., GOG, ENGOT) for RAMP 301 trial

The RAMP 301 (GOG-3097/ENGOT-ov81/NCRI) trial is a key partnership for confirmatory data supporting the LGSOC indication. This international Phase 3 study evaluates the combination of avutometinib and defactinib against investigator's choice of treatment options (ICT) for recurrent LGSOC. The trial is a collaboration with The GOG Foundation, Inc. (GOG) and the European Network of Gynaecological Oncological Trial groups (ENGOT).

• Trial Status (as of Q3 2025): Enrollment ongoing
• Targeted Enrollment: Approximately 270 patients
• Primary Endpoint: Progression Free Survival (PFS) by Blinded Independent Central Review
• Regulatory Context: FDA PDUFA date for NDA was June 30, 2025

This collaboration is defintely crucial for establishing a new standard of care.

Verastem, Inc. (VSTM) - Canvas Business Model: Key Activities

You're managing a commercial launch while simultaneously advancing a complex clinical pipeline; that's the reality for Verastem, Inc. (VSTM) as of late 2025. The key activities revolve around driving adoption for the newly approved therapy and hitting critical milestones for the next generation of assets.

Commercial Launch and Scaling of AVMAPKI FAKZYNJA CO-PACK in the U.S.

The commercial engine is now running, fueled by the May 8, 2025, FDA approval for AVMAPKI FAKZYNJA CO-PACK in recurrent KRAS-mutated low-grade serous ovarian cancer (LGSOC). The initial ramp is strong, showing tangible adoption across the specialty landscape.

For the third quarter of 2025, the first full quarter of product sales, Verastem, Inc. reported net product revenue of $11.2 million. This figure surpassed expectations, building on the initial six weeks of launch in Q2 2025, which generated $2.1 million in net product revenue. Analysts are estimating the full fiscal year 2025 sales to land around $17.9 million, entirely from the U.S. LGSOC indication at this point.

The scaling activity is detailed by these commercial metrics from Q3 2025:

• Physician prescribers reached: 133.
• Payer coverage achieved: Exceeded 80%.
• Prescriptions from top 100 organizations: Approximately 65%.
• Time-to-fill metric: Averaged 12-14 days.
• Scientific exchanges by medical science liaisons and nurse educators: 800.

Conducting RAMP 205 (pancreatic cancer) and RAMP 301 (LGSOC confirmatory) clinical trials

Clinical execution is focused on two major programs. For the confirmatory Phase 3 RAMP 301 trial in recurrent LGSOC, Verastem, Inc. completed the planned enrollment of the targeted 270 patients a full quarter early. An Independent Data Monitoring Committee (IDMC) review recommended a modest one-time increase of an additional 29 patients across the arms, to which the company is adhering while remaining blinded to the results.

The RAMP 205 trial, evaluating the combination therapy in first-line metastatic pancreatic cancer, hit a key enrollment goal. The expansion cohort enrollment was completed in Q3 2025. Here's a look at the prior data that guided the expansion:

Trial/Cohort	Metric	Value
RAMP 205 Dose Level 1 (RP2D)	Overall Response Rate (ORR) as of April 25, 2025	83% (10/12 patients)
RAMP 301	Target Enrollment	270 patients
RAMP 301	IDMC Recommended Enrollment Increase	29 patients

The next major clinical update for RAMP 205 is scheduled for the first half of 2026, where an update on the safety and efficacy of the expansion cohort (29 patients at the RP2D) is expected.

Advancing the Phase 1/2a study for the pipeline asset VS-7375

The advancement of VS-7375, the oral KRAS G12D inhibitor, is a critical activity, marked by dose escalation in the U.S. Phase 1/2a trial (VS-7375-101), which initiated in June 2025. The company cleared the first two monotherapy dose levels without observing any dose-limiting toxicities (DLTs).

The safety profile in the U.S. trial is clean so far; for instance, no nausea, vomiting, or diarrhea greater than Grade 1 was observed after clearing the 400 mg QD and 600 mg QD doses. Furthermore, enrollment began for the first combination cohort, pairing VS-7375 with cetuximab.

Data from the partner-run study in China provides early efficacy context for this asset:

• Data Cutoff: September 27, 2025.
• Efficacy-evaluable patients: 59.
• Overall Response Rate (ORR): 40.7% (24/59).
• Disease Control Rate (DCR): 96.7% (57/59).
• Overall Survival (OS) at month four: 92.2%.

Verastem, Inc. plans to report an interim safety and efficacy update on the U.S. Phase 1/2a trial in the first half of 2026.

Manufacturing and supply chain management for the approved combination therapy

Managing the supply chain involves ensuring inventory is ready for the commercial product, AVMAPKI FAKZYNJA CO-PACK. The accounting treatment for pre-approval inventory impacts reported costs. For the third quarter of 2025, the cost of sales (COGS) was reported as $1.7 million in product costs plus $0.290 million in intangible amortization. The Chief Financial Officer noted that this Q3 COGS did not include a significant amount of product costs because inventory produced before the FDA approval was fully expensed at the time of production, which supported an elevated gross margin for the quarter.

Verastem, Inc. (VSTM) - Canvas Business Model: Key Resources

The primary tangible asset for Verastem, Inc. as of late 2025 centers on its recently commercialized, first-in-class therapy, the FDA-approved AVMAPKI FAKZYNJA CO-PACK (avutometinib/defactinib). This approval, granted on May 8, 2025, for adult patients with KRAS-mutated recurrent low-grade serous ovarian cancer (LGSOC) who have received prior systemic therapy, immediately establishes a critical revenue-generating platform. The intellectual property underpinning this asset is crucial, covering the dual mechanism of action: the RAF/MEK clamp provided by avutometinib and the FAK inhibition from defactinib. This combination is engineered to offer a more complete blockade of the signaling pathways driving tumor growth and drug resistance in RAS/MAPK pathway-dependent cancers.

You need to keep a close eye on the financial position to ensure the commercial launch is adequately funded. Verastem, Inc. ended the third quarter of 2025 with $137.7 million in cash, cash equivalents, and investments. Honestly, this liquidity, when combined with product revenue and the exercise of cash warrants, provides an expected cash runway extending into the second half of 2026, which is a solid near-term cushion.

The foundation for this approval rests squarely on the clinical evidence generated from the RAMP 201 trial, which supported the accelerated pathway. The data demonstrated significant efficacy in the target population, which is a key resource for market access and physician adoption.

Here's a quick look at the core data supporting the asset:

Resource Component	Detail/Metric	Source Data Point
Approved Product	AVMAPKI FAKZYNJA CO-PACK	Approved May 8, 2025
Indication	KRAS-mutated recurrent LGSOC (prior systemic therapy)	First and only FDA-approved medicine for this disease
RAMP 201 Trial - KRAS Mutated Patients	Confirmed Overall Response Rate (ORR)	44%
RAMP 201 Trial - All Evaluable Patients	Confirmed Overall Response Rate (ORR)	31% (34/109)
RAMP 201 Trial - Duration of Response (DOR)	Range	3.3 months to 31.1 months

The intellectual property is defined by the targeted biological mechanisms, which you can see detailed here:

• Avutometinib component: Inhibits MEK kinase activity and blocks compensatory reactivation by upstream RAF.
• Defactinib component: Functions as a FAK inhibitor.
• Combined effect: Provides a more complete blockade of the signaling driving growth and drug resistance in RAS/MAPK pathway-dependent tumors.

Furthermore, the Q3 2025 financial strength is supported by specific operational metrics, though the net loss was significant:

• Net Product Revenue (Q3 2025): $11.2 million.
• Research and Development Expenses (Q3 2025): $29.0 million.
• Selling, General & Administrative (SG&A) Expenses (Q3 2025): $21.0 million.
• GAAP Net Loss (Q3 2025): $98.5 million.

Verastem, Inc. (VSTM) - Canvas Business Model: Value Propositions

You're looking at the core value Verastem, Inc. (VSTM) delivers to its customer segments, which centers on first-in-class targeted oncology treatments. The numbers here tell the story of a company moving from R&D focus to commercial reality in late 2025.

First FDA-approved treatment for KRAS-mutated recurrent low-grade serous ovarian cancer (LGSOC)

Verastem, Inc. (VSTM) secured the first and only FDA-approved treatment specifically for adult patients with KRAS-mutated recurrent low-grade serous ovarian cancer (LGSOC) who have received at least one prior systemic therapy. This accelerated approval for the AVMAPKI™ FAKZYNJA™ CO-PACK was granted on May 8, 2025.

The value proposition is grounded in the clinical data from the Phase 2 RAMP-201 trial involving 57 patients with measurable disease.

Metric	Result (RAMP-201 Trial)
Overall Response Rate (ORR)	44%
Duration of Response (DOR) Range	3.3 months to 31.1 months
ORR (per JCO publication)	31% in all recurrent LGSOC patients

Financially, the commercial launch is showing traction; Verastem, Inc. (VSTM) achieved net product revenue of $11.2 million in the first full commercial quarter, Q3 2025, materially above the consensus estimate of $5.760 million. This initial revenue contributes to a trailing twelve-month revenue of $13.38 million as of September 30, 2025.

Targeted therapy for RAS/MAPK pathway-driven cancers, a high unmet medical need

Verastem, Inc. (VSTM) is focused on cancers driven by the RAS/MAPK pathway, an area with a significant market opportunity estimated at over $100 billion. The company's commitment to this area is reflected in its Q2 2025 R&D expenses, which surged 37% year-over-year to $24.8 million, driven by RAMP trials and KRAS G12D programs.

The company's financial footing to support this focus as of the end of Q3 2025 was a cash and cash equivalents balance of $137.7 million, with an expected cash runway extending into the second half of 2026 based on current cash, product revenue, and warrant exercise.

Unique combination therapy designed to overcome drug resistance (MEK/FAK inhibition)

The approved product, AVMAPKI™ FAKZYNJA™ CO-PACK, pairs avutometinib (a RAF/MEK clamp) with defactinib (a FAK inhibitor). This combination is specifically designed to provide a more complete blockade of signaling that drives tumor growth and drug resistance, as blocking RAF and/or MEK can activate FAK, which mediates resistance.

The dosing regimen for the RAMP-201 trial involved:

• Avutometinib: 3.2 mg orally twice weekly on days 1 and 4.
• Defactinib: 200 mg orally twice daily.
• Duration: Both taken for the first 3 weeks of each 4-week cycle.

Pipeline potential with VS-7375, a novel KRAS G12D (ON/OFF) inhibitor

VS-7375 is positioned as a potential best-in-class, potent, and selective oral KRAS G12D dual ON/OFF inhibitor, stemming from a collaboration with GenFleet Therapeutics. The U.S. Investigational New Drug (IND) application was cleared in Q1 2025, with plans to start a Phase 1/2a study in mid-2025.

Early clinical data for VS-7375 monotherapy showed promising safety:

• Cleared first two monotherapy dose levels.
• Reported no dose-limiting toxicities.
• Observed no nausea, vomiting or diarrhea greater than Grade 1.

Enrollment also initiated for VS-7375 in combination with cetuximab in patients with advanced KRAS G12D mutant solid tumors.

Finance: review Q4 2025 cash burn projections by end of January 2026.

Verastem, Inc. (VSTM) - Canvas Business Model: Customer Relationships

You're building a commercial engine for a newly approved, specialized oncology therapy, AVMAPKI™ FAKZYNJA™ CO-PACK, which got its FDA green light on May 8, 2025, for KRAS-mutated recurrent low-grade serous ovarian cancer (LGSOC). That means your customer relationships are laser-focused on a very specific set of prescribers.

Direct, high-touch engagement with specialized oncologists and cancer centers

The initial adoption curve for AVMAPKI FAKZYNJA CO-PACK shows a strong signal of engagement with the target audience. In the third quarter of 2025, which was the first full quarter post-launch, Verastem, Inc. achieved net product revenue of $11.2 million. This figure exceeded analyst expectations and demonstrated consistent adoption by both academic and community oncologists who treat this rare cancer. The company is actively working to solidify this relationship by submitting data to support inclusion in the National Comprehensive Cancer Network® (NCCN®) Clinical Practice Guidelines in Oncology, aiming for a Category 2A recommendation, which was already achieved for the combination in May 2025 for the specific indication. This guidance is key for broader prescribing habits.

Here's a snapshot of the initial commercial impact:

Metric	Value (as of Q3 2025)	Context
Net Product Revenue	$11.2 million	First full quarter of commercial sales
FDA Approval Date	May 8, 2025	Trigger for commercial engagement
Targeted Oncologists	Academic and community oncologists	Source of initial adoption

Dedicated medical affairs and field sales teams for product education

To drive that initial revenue, Verastem, Inc. had to rapidly scale its commercial infrastructure. You can see the investment in this relationship-building effort reflected in the operating expenses. Selling, general & administrative expenses for the third quarter of 2025 hit $21.0 million, representing a significant increase of 70.7% compared to the same quarter in 2024, which was entirely pre-launch. This spend directly funds the field teams needed for product education and support.

While the exact size of the dedicated field sales force isn't public, the company signaled its strategy by entering into a strategic collaboration with IQVIA to leverage their commercialization solutions to complement the launch strategy. Internally, the company had 179 employees located in the United States as of the latest reports, forming the core team supporting these efforts. The medical affairs function is also active, as evidenced by the company sharing data from their pipeline programs at major medical meetings throughout 2025.

• Investment in commercialization drove SG&A to $21.0 million in Q3 2025.
• Leveraged strategic collaboration with IQVIA for commercialization solutions.
• Total operating expenses for Q3 2025 reached $52.0 million.
• The company's U.S. employee base was reported at 179.

Patient support programs for access and adherence to the combination therapy

Getting the prescription written is only half the battle; ensuring patients can access and stay on the therapy is critical for adherence and long-term revenue. Verastem, Inc. immediately put a patient support structure in place to help manage access hurdles. The dedicated support program, named Verastem Cares™, became operational right after the May 2025 launch for patients prescribed the AVMAPKI FAKZYNJA CO-PACK. This type of program is designed to help patients navigate insurance, co-pay issues, and other access barriers, which is essential for a high-cost, specialized therapy.

The focus on patient support is a direct relationship-building activity that extends beyond the prescribing oncologist to the patient journey itself. If onboarding takes 14+ days, churn risk rises. This program is the mechanism to mitigate that risk.

• Verastem Cares™ program launched immediately following the May 2025 FDA approval.
• Program supports access and adherence for patients on AVMAPKI FAKZYNJA CO-PACK.

Finance: draft 13-week cash view by Friday.

Verastem, Inc. (VSTM) - Canvas Business Model: Channels

You're looking at the commercialization channels Verastem, Inc. established following the May 2025 U.S. Food and Drug Administration (FDA) approval for AVMAPKI FAKZYNJA CO-PACK. This required a rapid shift from clinical development to market access.

The distribution strategy for the newly approved therapy relies on a multi-faceted approach to ensure patient access across the U.S. oncology landscape. This is a classic specialty drug rollout, meaning distribution is tightly controlled.

• Specialty pharmacy network for dispensing.
• Specialty distributors for supply chain management.
• Group purchasing agreements (GPAs) already in place.

The initial commercial uptake, which began within one week of FDA approval, is reflected in the early revenue figures. This revenue is the direct result of prescriptions flowing through these established channels.

Metric	Period Ended September 30, 2025 (Q3 2025)	Period Ended June 30, 2025 (Q2 2025 - Partial Launch)
Net Product Revenue	$11.2 million	$2.1 million
Selling, General & Administrative (SG&A) Expenses	$21.0 million	Not explicitly detailed as launch cost in search results
SG&A Increase vs. Prior Year Q3	70.7% increase	N/A

The direct U.S. sales effort targets both academic and community oncologists, as evidenced by the receipt of prescriptions from both types of centers. The significant increase in Selling, General & Administrative (SG&A) expenses to $21.0 million in the third quarter of 2025, up 70.7% from the prior year, clearly shows the investment in building out this direct commercial infrastructure to support the product launch.

For pipeline access and data generation, Verastem, Inc. is actively using its clinical trial sites. The company initiated the U.S. Phase 1/2a clinical trial for VS-7375 in June 2025. Furthermore, data from the RAMP 201J trial in Japan was presented at the International Gynecologic Cancer Society (IGCS) 2025 Annual Meeting, showing the global reach of their clinical channel.

To support the launch of AVMAPKI FAKZYNJA CO-PACK, Verastem, Inc. entered into a strategic collaboration in January 2025 with IQVIA Inc. This partnership is designed to leverage IQVIA's world-class infrastructure and established commercialization solutions, helping to accelerate key launch capabilities.

The company ended the third quarter of 2025 with $137.7 million in cash, cash equivalents, and investments, projecting a cash runway into the second half of 2026 based on existing cash, product revenue, and warrant exercises. Verastem, Inc. reported a total of 78 employees as of late 2025.

Finance: draft Q4 2025 cash flow projection by next Tuesday.

Verastem, Inc. (VSTM) - Canvas Business Model: Customer Segments

You're looking at the core patient and physician groups Verastem, Inc. is targeting with its approved therapy and pipeline assets as of late 2025. It's a focused approach, centered on the RAS/MAPK pathway.

Adult patients with KRAS-mutated recurrent LGSOC (primary commercial market)

This group is the immediate focus for the commercial team, as they are the population eligible for the recently launched AVMAPKI FAKZYNJA CO-PACK (avutometinib in combination with defactinib). This combination received its U.S. Food and Drug Administration accelerated approval on May 8, 2025, for adult patients who have received prior systemic therapy.

The market size context shows that KRAS mutations are a key driver in this rare cancer subtype. Here are some figures related to this segment:

• KRAS mutations are found in up to 30% of patients with Low-Grade Serous Ovarian Cancer (LGSOC).
• In one analysis of recurrent LGSOC cases, KRAS hotspot mutations accounted for 33% of alterations.
• LGSOC historically represented about 4.66% of all serous ovarian carcinomas based on prior SEER database analysis.
• The RAMP 301 confirmatory trial is planned to enroll a targeted 270 patients.

The initial commercial uptake has been strong, generating net product revenue of $11.2 million in the third quarter of 2025, which was the first full quarter post-launch. The first six weeks of sales in the second quarter of 2025 yielded $2.1 million in net product revenue.

Oncologists and gynecologic oncologists in the U.S.

These are the prescribers and key opinion leaders who manage the care for the LGSOC patient population. Verastem, Inc. is focused on driving adoption within both academic and community settings. The commercialization efforts are reflected in the operating expenses; Selling, General & Administrative expenses for the third quarter of 2025 reached $21.0 million, a 70.7% increase over the prior year quarter, primarily due to these launch costs.

You can see the physician engagement through prescription patterns:

Metric	Value as of Q3 2025
Q3 2025 Net Product Revenue	$11.2 million
Q3 2025 SG&A Expenses	$21.0 million
Cash Position (End of Q3 2025)	$137.7 million
Cash Runway Estimate	Into the second half of 2026

Prescriptions are being received from both academic and community centers, showing broad initial reach among treating physicians.

Patients with advanced KRAS G12D-mutated solid tumors (future pipeline target)

This segment represents the future expansion opportunity, centered on the lead pipeline asset, VS-7375, an oral KRAS G12D (ON/OFF) inhibitor. This mutation is significant, as KRAS G12D represents 26% of all KRAS mutations.

The clinical development is active in the U.S. for this patient group:

• The U.S. Phase 1/2a clinical trial (VS-7375-101) was initiated in June of 2025.
• Preliminary safety and activity data was announced on Oct. 23, 2025.
• The U.S. monotherapy dose escalation cleared the 400 mg daily (QD) and 600 mg QD doses with no dose-limiting toxicities observed.
• In a partner study in China for pancreatic cancer (PDAC) patients, the overall response rate (ORR) at the recommended Phase 2 dose of 600 mg QD was 41%.

This pipeline work is being funded by the current commercial revenue and cash reserves; the company ended Q3 2025 with $137.7 million in cash and equivalents.

Verastem, Inc. (VSTM) - Canvas Business Model: Cost Structure

When you look at the cost structure for Verastem, Inc. as of late 2025, the spending is heavily weighted toward advancing the pipeline while supporting the initial commercialization of their approved product. This is typical for a biopharma firm transitioning from pure R&D to a revenue-generating entity.

The largest single bucket of operating expense is definitely Research & Development (R&D). For the third quarter of 2025, R&D expenses totaled $29.0 million. This high spend reflects the ongoing commitment to clinical execution and regulatory work across their key programs, which you know are central to future value creation.

Next up, you see significant Selling, General & Administrative (SG&A) costs, which hit $21.0 million in Q3 2025. Honestly, this jump, up over 70% from the prior year quarter, is directly tied to the commercial launch of AVMAPKI FAKZYNJA CO-PACK following its May 2025 FDA approval. This includes personnel, consulting, and professional fees needed to support the initial sales efforts for the KRAS-mutated recurrent LGSOC indication.

Costs of goods sold (COGS) for the product revenue were $1.7 million in Q3 2025. It's worth noting that the CFO mentioned this figure didn't include a significant amount of product costs because inventory produced before the FDA approval was fully expensed at the time of production, which helped support an elevated gross margin for the quarter.

The clinical trial execution and regulatory submission costs are embedded within the R&D spend but are crucial to call out specifically, as they represent future potential revenue drivers. The RAMP trials are the engine here. Here's a quick look at the key trials driving that R&D spend:

Clinical Trial Program	Focus Indication/Status Driver	Cost Driver Context
RAMP 301	International Phase 3 confirmatory trial for recurrent LGSOC	Enrollment completion targeted by end of 2025; IDMC recommendation expected Q4 2025
RAMP 205	Phase 1/2 trial for first-line metastatic PDAC (pancreatic cancer)	Expansion cohort enrollment continuing at RP2D
VS-7375 Program	Advancing oral KRAS G12D inhibitor	U.S. Phase 1/2a trial initiation and ongoing development costs

The overall operating expense structure for the quarter totaled $52.0 million. You can see the trade-off clearly: high investment in R&D, which was $29.0 million, to support trials like RAMP 301, while simultaneously funding the commercial infrastructure that generated $21.0 million in SG&A to support the new product launch.

The key cost components for Verastem, Inc. in Q3 2025 break down like this:

• Research & Development Expenses: $29.0 million
• Selling, General & Administrative Expenses: $21.0 million
• Cost of Sales (COGS): $1.7 million
• Total Operating Expenses: $52.0 million

If you're managing cash flow, remember that the R&D component is largely fixed by ongoing trial commitments, but the SG&A spend is variable based on the pace of commercial adoption and associated marketing efforts. Finance: draft 13-week cash view by Friday.

Verastem, Inc. (VSTM) - Canvas Business Model: Revenue Streams

You're looking at Verastem, Inc. (VSTM) revenue streams as they pivot hard into commercialization, which is a massive shift from their prior model.

The core of the current revenue generation is the U.S. net product sales of AVMAPKI FAKZYNJA CO-PACK (avutometinib capsules; defactinib tablets), which gained FDA accelerated approval in May 2025 for KRAS-mutated recurrent low-grade serous ovarian cancer (LGSOC). This product is now the defintely dominant revenue driver.

Here's a look at the initial commercial performance and projections:

• Net product sales of AVMAPKI FAKZYNJA CO-PACK in the U.S.
• Q3 2025 net product revenue was $11.2 million, marking the first full quarter of sales.
• Analyst-projected full fiscal year 2025 sales are approximately $17.9 million.
• Another analyst estimate places the full fiscal year 2025 revenue at $28.31M.

This new product revenue is replacing the previous, less sustainable revenue sources, like the one-time sale of the COPIKTRA license which contributed $10.0 million in Q2 2024.

The company also has potential future revenue components tied to financing and licensing activities, though the immediate focus is product sales. For instance, a Note Purchase Agreement includes a revenue participation component:

Revenue Participation Detail	Value/Rate
Revenue Participation Rate (Initial)	1.00%
Revenue Participation Cap (Initial)	First $100 million of annual net sales
Potential Increased Rate	2.00%

Regarding potential future milestone payments from ex-U.S. licensing deals, the search results confirm Verastem, Inc. licensed VS-7375 from GenFleet Therapeutics in January 2025 for ex-U.S. rights, which implies future milestones or royalties, but specific dollar amounts for those future payments weren't detailed in the late 2025 reports available. Past agreements, like the duvelisib license, involved milestone payments, such as a $6 million payment in 2017.

To give you a clearer picture of the initial product revenue quality, here are the Q3 2025 figures:

Metric	Amount (Q3 2025)
Net Product Revenue	$11.2 million
Cost of Sales	$1.7 million
Total Cost of Sales (including amortization)	$2.0 million
Prior Year Quarter (Q3 2024) Net Product Revenue	$0.0 million

The cost of sales associated with product revenue was $1.7 million for the 2025 Quarter. That's the quick math on the new revenue engine.