Verrica Pharmaceuticals(US:VRCA)2020-05-20 19:54Investment Highlights - Verrica addresses two large unmet needs in dermatology: molluscum contagiosum with a prevalence of approximately 6 million in the US, and common warts with a prevalence of approximately 22 million in the US[12, 161] - Ycanth™ (VP-102) has a PDUFA goal date of July 13, 2020, for the treatment of molluscum contagiosum[12, 157, 161] - Phase 3 trials for Ycanth™ (VP-102) in molluscum contagiosum achieved statistical significance for primary endpoints with a p-value < 00001 in both pivotal trials[12, 161] - VP-102 achieved positive topline Phase 2 results in common warts, demonstrating complete clearance of all treatable warts at Week 12 (Day 84)[12, 161] Clinical Trial Results - In Phase 3 molluscum trials, 50% of patients treated with VP-102 achieved complete clearance of molluscum lesions at Day 84, compared to 168% in the vehicle group (P < 00001)[71] - Phase 3 molluscum trials also demonstrated a statistically significant efficacy on percent reduction of lesions, with VP-102 showing a -76% change from baseline to Day 84 compared to -59% for the vehicle group (P < 00001)[74] - In the COVE-1 study for common warts, VP-102 demonstrated clinically meaningful efficacy on the primary endpoint of complete clearance, with 40% to 514% clearance depending on the cohort at EOS/EOT (Day 84)[121] Commercial Opportunity - In the US, approximately 6 million people have molluscum, with approximately 1 million diagnosed annually[12, 21, 84, 161] - Approximately 87% of physicians reported they would use Ycanth™ (VP-102) if the cost of the drug was covered[89] - Initial payer research suggests a favorable reimbursement landscape for Ycanth™ (VP-102), with interviewed payer organizations and plans covering a total of 105 million commercial & Medicaid lives[93, 97]