Verrica Pharmaceuticals (VRCA) TD Cowen 46th Annual Health Care Conference summary

YCANTH relaunch and market adoption

• YCANTH addresses a significant unmet need in molluscum contagiosum, offering a rapid, HCP-administered treatment for a disease affecting six million children annually, with most cases previously left untreated or managed by watchful waiting for over a year.

• Commercial practice shows one to two treatments can clear or control the disease, reducing the burden on patients and clinicians.

• Expanded access through both medical and pharmacy benefits, with a focus on workflow efficiency and affordability, including a $25 maximum co-pay for commercially insured patients.

• Targeting strategies evolved to include a broader clinician base, leveraging regional conferences, education, and empowering reps to identify high-potential prescribers beyond traditional lists.

• Increased cadence of repeat prescribers and pharmacy orders, reflecting growing adoption and pull-through in the community.

Distribution, access, and reimbursement improvements

• Distribution channels now include both one-count and six-count configurations, with sampling initiatives to facilitate clinician comfort and patient access.

• YCANTH prescription hub (YcanthRx) streamlines reimbursement and fulfillment, reducing time to coverage and ensuring scripts are matched to appropriate pharmacies and plans.

• Both medical and pharmacy benefit routes remain relevant, with coverage for 225 million lives split between the two, and copay assistance ensures broad patient access.

• Inventory management has stabilized, with wholesalers and pharmacies ordering in alignment with real demand, improving revenue and volume reflection.

Sales force strategy and commercial outlook

• Sales force was initially reduced for efficiency, then expanded as territory performance and rep effectiveness became clear, now approaching an optimal size with collaborative and competitive culture.

• New reps typically onboard within three to six months, aided by mentorship from experienced colleagues and a focus on positive first experiences, especially with pediatricians.

• Near-term focus is on steady onboarding of new customers and ensuring positive treatment experiences to drive organic growth.

• Net pricing is expected to improve with better coverage and pharmacy relationships, while maintaining patient access as a priority.