Verrica Pharmaceuticals announced that the first patient has been dosed in its global Phase 3 program evaluating YCANTH (VP‑102) for the treatment of common warts, marking a critical step toward a potential FDA approval for an indication that currently has no approved therapies.
The Phase 3 study is a 50/50 cost‑share partnership with Torii Pharmaceutical, which will fund the first $40 million of the trial—roughly 90 % of the projected budget. The study will enroll patients in the United States and other territories, targeting an estimated 22 million U.S. patients with common warts and a multibillion‑dollar market opportunity.
YCANTH is already FDA‑approved for molluscum contagiosum, having launched commercially in September 2023. The partnership with Torii has already yielded a $10 million milestone payment following the drug’s approval in Japan, and a $50 million financing round in November 2025 has extended Verrica’s cash runway. These financial moves reduce the company’s cash burn risk as it advances the common warts program.
Strategically, the trial expands YCANTH beyond its original indication, positioning Verrica to capture a large unmet market. Torii’s upfront contribution mitigates cash‑flow pressure, while the company’s existing commercial infrastructure supports a rapid launch if the trial succeeds. A successful FDA approval would make YCANTH the first approved therapy for common warts, potentially generating significant revenue streams.
Analysts have noted the milestone as a positive development, citing the large addressable market and the company’s proven safety profile for YCANTH. The partnership structure and recent financing are viewed as prudent steps to manage the high cost of late‑stage development.
The announcement underscores Verrica’s focus on expanding its product portfolio while managing financial risk, setting the stage for a potentially transformative growth trajectory if the Phase 3 results are favorable.
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