Verrica Pharmaceuticals (NASDAQ:VRCA) Releases Quarterly Earnings Results, Beats Expectations By $0.01 EPS

Verrica Pharmaceuticals (NASDAQ:VRCA) issued its earnings results on Thursday. The company reported ($0.49) earnings per share for the quarter, topping the consensus estimate of ($0.50) by $0.01, FiscalAI reports. Verrica Pharmaceuticals had a negative return on equity of 407.11% and a negative net margin of 102.84%. The company had revenue of $6.91 million during the quarter, compared to the consensus estimate of $6.20 million.

Here are the key takeaways from Verrica Pharmaceuticals’ conference call:

• U.S. YCANTH net product revenue reached a record $5.7 million, up 57.9% year over year, although dispensed units dipped slightly from Q2, which management attributed to seasonal patterns. The company also reported improved revenue yield per prescription as it works to reduce access and fulfillment issues.
• Verrica completed enrollment in the first pivotal common-warts trial, COVE-2, and exceeded 50% enrollment in COVE-3 ahead of schedule; top-line results are expected in Q1 and mid-2027, respectively. Management said Torii is funding the first $40 million—about 90% of the program’s current budget—and sees a potentially large market if YCANTH is approved for this use.
• Verrica is exploring an early proof-of-concept study of VP-315 in Gorlin syndrome, where patients face repeated BCCs and substantial surgical burden. The study design, costs, and timing are still being finalized, and management said its results could help guide the broader VP-315 development strategy.
• GAAP net loss widened to $12.4 million from $0.3 million a year earlier, while total revenue fell to $6.9 million from $14.3 million, largely because the prior-year quarter included a one-time $10 million Torii milestone. Verrica had $14.4 million in cash at quarter-end and said its runway could extend beyond the common-warts readouts into Q4 2027 if it draws the remaining $15 million available under its credit facility.

Verrica Pharmaceuticals Stock Down 4.9%

VRCA stock traded down $0.19 during trading on Thursday, reaching $3.72. The stock had a trading volume of 105,815 shares, compared to its average volume of 86,737. Verrica Pharmaceuticals has a 1-year low of $3.08 and a 1-year high of $9.82. The company has a current ratio of 1.45, a quick ratio of 1.33 and a debt-to-equity ratio of 0.18. The company has a market capitalization of $63.91 million, a P/E ratio of -2.23 and a beta of 1.69. The firm has a fifty day moving average price of $4.13 and a 200 day moving average price of $5.45.

Analyst Ratings Changes

Several equities research analysts recently commented on the company. Weiss Ratings reiterated a “sell (e+)” rating on shares of Verrica Pharmaceuticals in a report on Tuesday, October 13th. Wall Street Zen cut Verrica Pharmaceuticals from a “sell” rating to a “strong sell” rating in a report on Saturday, November 7th. Finally, Lake Street Capital initiated coverage on shares of Verrica Pharmaceuticals in a research report on Thursday, August 27th. They issued a “buy” rating and a $9.00 price objective for the company. Three investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Hold” and a consensus target price of $12.67.

Verrica Pharmaceuticals Company Profile

Verrica Pharmaceuticals Inc. is a dermatology-focused biopharmaceutical company developing and commercializing therapies for skin diseases that have limited or inadequate treatment options. The company’s activities center on prescription products designed for use by dermatologists and other healthcare professionals. Verrica’s lead commercial product is YCANTHE (cantharidin) topical solution, 0.7%, a prescription treatment approved by the U.S. Food and Drug Administration for molluscum contagiosum in adults and children two years of age and older.