Company: VRCA
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001660334-25-000006
Chunk: 54

Company: Verrica Pharmaceuticals Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 54
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17,959 Total revenue30,485 7,222 23,263 Operating expenses:Cost of product revenue1,517 1,257 260 Cost of collaboration revenue523 858 (335)Selling, general and administrative27,103 48,944 (21,841)Research and development6,335 10,672 (4,337)Total operating expenses35,478 61,731 (26,253)Loss from operations(4,993)(54,509)49,516 Other income (expense):Interest income724 1,212 (488)Interest expense(6,428)(7,063)635 Change in fair value of derivative liability886 — 886 Other expense(1)(17)16 Total other expense, net(4,819)(5,868)1,049 Net loss$(9,812)$(60,377)$50,565 

Product Revenue, Net

Product revenue, net was $11.6 million for the nine months ended September 30, 2025, compared to $6.3 million for the nine months ended September 30, 2024. The increase in product revenue, net, was primarily related to an increase in deliveries of YCANTH to our distribution partners. For the nine months ended September 30, 2024, product revenue, net was partially offset by an increase in our returns reserve of $1.7 million for estimated returns from our distributors. 

License and Collaboration Revenue

License and collaboration revenue was $18.9 million for the nine months ended September 30, 2025, compared to $1.0 million for the nine months ended September 30, 2024. License and collaboration revenue for the nine months ended September 30, 2025 consisted of $18.0 million in milestone payments from Torii as well as supplies and development activity. License and collaboration revenue for the nine months ended September 30, 2024 consisted of supplies and development activity with Torii.

Cost of Product Revenue

Cost of product revenue for the nine months ended September 30, 2025 and 2024 was $1.5 million and $1.3 million, respectively, consisting primarily of product costs related to the sale of YCANTH (VP-102).

Cost of Collaboration Revenue

Cost of collaboration revenue was $0.5 million for the nine months ended September 30, 2025,