Verastem, Inc. 10-K

Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuers Purchases of Equity Securities MARKET INFORMATION Our common stock is publicly traded on The Nasdaq Global Market under the symbol “VSTM.” HOLDERS As of February 26, 2021 there were 10 holders of record of our common stock and the closing price of our common stock on The Nasdaq Global Market as of that date was $2.35. The number of holders of record does not include beneficial owners whose shares are held by nominees in street name. DIVIDENDS We have never declared or paid cash dividends on our common stock, and we do not expect to pay any cash dividends on our common stock in the foreseeable future. PERFORMANCE GRAPH The following performance graph and related information shall not be deemed to be “soliciting material” or to be “filed” with the SEC, nor shall such information be incorporated by reference into any future filing under the Securities Act of 1933, as amended, except to the extent that we specifically incorporate it by reference into such filing. The following graph compares the performance of our common stock to the Nasdaq Composite Index and to the Nasdaq Biotechnology Index from December 31, 2015 through December 31, 2020. The comparison assumes $100 was invested after the market closed on December 31, 2015 in our common stock and in each of the foregoing indices, and it assumes reinvestment of dividends, if any. 61 Table of Contents Cumulative Total Return Comparison ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ ​ 2015 2016 2017 2018 2019 2020 ​ ​ Verastem, Inc . 100.00 ​ 60.22 ​ 165.05 ​ 180.65 ​ 72.04 ​ 114.52 ​ ​ NASDAQ Composite 100.00 ​ 108.87 ​ 141.13 ​ 137.12 ​ 187.44 ​ 271.64 ​ ​ NASDAQ Biotechnology 100.00 ​ 78.65 ​ 95.66 ​ 87.19 ​ 109.08 ​ 137.90 ​ ​ ​ PURCHASE OF EQUITY SECURITIES We did not purchase any of our equity securities during the period covered by this Annual Report on Form 10-K. 62 Table of Contents Item 6. Selected Financial Data You should read the following selected financial data together with our consolidated financial statements and the related notes appearing elsewhere in this Annual Report on Form 10-K and the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” section of this Annual Report on Form 10-K. The selected historical financial information in this section is not intended to replace our financial statements and the related notes therein. Our historical results for any prior period are not necessarily indicative of results to be expected in any future period. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, ​ Statement of operations data: ​ 2020 ​ 2019 ​ 2018 ​ 2017 ​ 2016 ​ ​ ​ (in thousands, except share and per share amounts) ​ Revenue: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Product revenue, net ​ $ 15,232 ​ $ 12,339 ​ $ 1,718 ​ $ — ​ $ — ​ License and collaboration revenue ​ ​ 2,912 ​ ​ 5,117 ​ ​ 25,000 ​ ​ — ​ ​ — ​ Sale of COPIKTRA license and related assets ​ ​ 70,000 ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ Transition services revenue ​ ​ 372 ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ Total revenue ​ 88,516 ​ ​ 17,456 ​ ​ 26,718 ​ ​ — ​ ​ — ​ Operating expenses: ​ ​ ​ ​ ​ Cost of sales - product ​ $ 1,765 ​ $ 1,238 ​ $ 165 ​ $ — ​ $ — ​ Cost of sales - intangible amortization ​ ​ 793 ​ ​ 1,569 ​ ​ 423 ​ ​ — ​ ​ — ​ Cost of sales - sale of COPIKTRA license and related assets ​ ​ 31,187 ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ Research and development ​ ​ 41,376 ​ ​ 45,778 ​ ​ 43,648 ​ ​ 46,423 ​ ​ 19,779 ​ Selling, general and administrative ​ 62,755 ​ 101,212 ​ 77,265 ​ 21,381 ​ 17,223 ​ Total operating expenses ​ 137,876 ​ 149,797 ​ 121,501 ​ 67,804 ​ 37,002 ​ Loss from operations ​ (49,360) ​ (132,341) ​ (94,783) ​ (67,804) ​ (37,002) ​ Other (expense)/ income ​ ​ (1,313) ​ ​ (641) ​ ​ 25,556 ​ ​ — ​ ​ — ​ Interest income ​ 515 ​ 4,381 ​ 2,603 ​ 561 ​ 562 ​ Interest expense ​ (15,794) ​ (20,608) ​ ​ (5,810) ​ (559) ​ — ​ Loss on debt extinguishment ​ (1,580) ​ — ​ — ​ — ​ — ​ Net loss before income taxes ​ ​ (67,532) ​ ​ (149,209) ​ ​ (72,434) ​ ​ (67,802) ​ ​ (36,440) ​ Income tax expense ​ ​ (194) ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ Net loss ​ $ (67,726) ​ $ (149,209) ​ $ (72,434) ​ $ (67,802) ​ $ (36,440) ​ Net loss per share—basic ​ $ (0.44) ​ $ (2.00) ​ $ (1.12) ​ $ (1.76) ​ $ (0.99) ​ Net loss per share—diluted ​ $ (0.44) ​ $ (2.00) ​ $ (1.37) ​ $ (1.76) ​ $ (0.99) ​ Weighted average common shares outstanding used in computing: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net loss per share—basic ​ ​ 153,330 ​ 74,578 ​ 64,962 ​ 38,422 ​ 36,988 ​ Net loss per share—diluted ​ ​ 153,330 ​ 74,578 ​ 69,321 ​ 38,422 ​ 36,988 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ As of December 31, Balance sheet data: ​ 2020 ​ 2019 ​ 2018 ​ 2017 ​ 2016 ​ ​ (in thousands) Cash, cash equivalents and investments $ 147,221 $ 75,506 $ 249,653 $ 86,672 $ 80,897 ​ Working capital ​ 127,845 ​ 55,071 ​ 216,182 ​ 70,659 ​ 70,304 ​ Total assets ​ 154,349 ​ 145,046 ​ 277,236 ​ 89,791 ​ 83,629 ​ Total debt ​ ​ 19,051 ​ ​ 103,623 ​ ​ 120,453 ​ ​ 14,828 ​ ​ — ​ Accumulated deficit ​ (592,511) ​ (524,785) ​ (375,576) ​ (303,142) ​ (235,323) ​ Total stockholders’ equity ​ 115,274 ​ 7,174 ​ 124,299 ​ 57,684 ​ 72,297 ​ ​ ​ ​ 63 Table of Contents