UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): November 7, 2018
Verrica Pharmaceuticals Inc.
(Exact Name of Registrant as Specified in its Charter)
| Delaware | 001-38529 | 46-3137900 | ||
| (State or Other Jurisdiction of Incorporation) |
(Commission File Number) |
(IRS Employer Identification No.) |
| 10 North High Street, Suite 200 West Chester, PA |
19380 | |||
| (Address of Principal Executive Offices) | (Zip Code) | |||
Registrant’s telephone number, including area code: (484) 453-3300
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| ☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| ☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☒
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☒
Item 2.02 Results of Operations and Financial Condition.
On November 7, 2018, Verrica Pharmaceuticals Inc. (the “Registrant”) issued a press release announcing its financial results for the quarter ended September 30, 2018. A copy of this press release is furnished herewith as Exhibit 99.1 to this Current Report and is incorporated herein by reference.
In accordance with General Instruction B.2. of Form 8-K, the information in this Item 2.02, and Exhibit 99.1 hereto, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that section, nor shall it be deemed incorporated by reference in any of the Registrant’s filings under the Securities Act of 1933, as amended, or the Exchange Act, whether made before or after the date hereof, regardless of any incorporation language in such a filing, except as expressly set forth by specific reference in such a filing.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits
| Exhibit Number |
Exhibit Description | |
| 99.1 | Press Release, dated November 7, 2018 |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Verrica Pharmaceuticals Inc. | ||||
| Date: November 7, 2018 | /s/ Chris Degnan | |||
| Chris Degnan | ||||
| Chief Financial Officer | ||||
Exhibit 99.1
Verrica Pharmaceuticals Reports Third Quarter 2018 Financial Results
WEST CHESTER, PA – November 7, 2018 (GLOBE NEWSWIRE) – Verrica Pharmaceuticals Inc. (“Verrica”) (Nasdaq: VRCA), a pharmaceutical company focused on identifying, developing and commercializing innovative pharmaceutical products for the treatment of skin diseases with significant unmet needs, today announced financial results for the third quarter ended September 30, 2018.
“Our clinical progress continued in the quarter and we were highly encouraged by the pace and early completion of enrollment for the VP-102 Phase 3 clinical program in molluscum contagiosum,” stated Ted White, President and Chief Executive Officer of Verrica. “We believe the early completion of enrollment is an indication of the need for an FDA-approved treatment option for this underserved patient population and our efforts remain focused on bringing this drug candidate to the market as quickly as possible.”
Business Highlights and Recent Developments
| • | Announced that the company has been added to the Russell 2000® and Russell 3000® Indexes, as part of FTSE Russell’s quarterly initial public offering additions, effective September 21st, 2018 |
| • | Announced positive results from its Phase 2 Innovate clinical trial of VP-102 for the treatment of molluscum contagiosum (molluscum) |
| • | Announced the earlier than expected completion of enrollment of its Phase 3 clinical trials, CAMP-1 and CAMP-2; topline results from the two randomized, double-blind, multicenter, placebo-controlled trials of VP-102 for the treatment of molluscum expected in the first quarter of 2019 |
| • | Continued progress with the Phase 2 trial in common warts (COVE-1); topline results expected in the first half of 2019 |
Financial Results
Verrica reported a net loss of $6.7 million for the third quarter of 2018, compared to a net loss of $1.4 million for the same period in 2017.
Research and development expenses were $3.5 million in the third quarter of 2018, compared to $1.1 million for the same period in 2017. The increase was primarily due to the advancement of the VP-102 clinical development programs for the treatment of molluscum and common warts.
General and administrative expenses were $3.7 million in the third quarter of 2018, compared to $0.2 million for the same period in 2017. The increase was primarily due to the expansion of the executive leadership team, increased corporate infrastructure, and additional costs associated with operating as a public company.
As of September 30, 2018, Verrica had aggregate cash, cash equivalents and marketable securities of $97.0 million.
About Verrica Pharmaceuticals Inc.
Verrica is a pharmaceutical company focused on identifying, developing and commercializing innovative pharmaceutical products for the treatment of skin diseases with significant unmet needs. The company’s lead product candidate, VP-102, is currently being evaluated in two Phase 3 clinical trials for the treatment of molluscum and in a Phase 2 clinical trial for the treatment of common warts.
Cautionary Note Regarding Forward-Looking Statements
Any statements contained in this press release that do not describe historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. These statements may be identified by words such as “believe”, “expect”, “may”, “plan”, “potential”, “will”, and similar expressions, and are based on Verrica’s current beliefs and expectations. These forward-looking statements include expectations regarding the potential clinical development of Verrica’s product candidates and the availability of data from Verrica’s clinical trials, including the timing of topline results from the Phase 3 pivotal trials for molluscum and the Phase 2 trial in common warts. These statements involve risks and uncertainties that could cause actual results to differ materially from those reflected in such statements. Risks and uncertainties that may cause actual results to differ materially include uncertainties inherent in the conduct of clinical trials, Verrica’s reliance on third parties over which it may not always have full control, and other risks and uncertainties that are described in Verrica’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2018 and Verrica’s other Periodic Reports filed with the U.S. Securities and Exchange Commission. Any forward-looking statements speak only as of the date of this press release and are based on information available to Verrica as of the date of this release, and Verrica assumes no obligation to, and does not intend to, update any forward-looking statements, whether as a result of new information, future events or otherwise.
VERRICA PHARMACEUTICALS INC.
Condensed Statements of Operations
(Unaudited, in thousands except share and per share data)
| Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
| 2018 | 2017 | 2018 | 2017 | |||||||||||||
| Operating expenses: |
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| Research and development |
$ | 3,484 | $ | 1,120 | $ | 8,022 | $ | 2,612 | ||||||||
| General and administrative |
3,681 | 238 | 7,170 | 411 | ||||||||||||
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| Total operating expenses |
7,165 | 1,358 | 15,192 | 3,023 | ||||||||||||
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| Loss from operations |
(7,165 | ) | (1,358 | ) | (15,192 | ) | (3,023 | ) | ||||||||
| Other income (expense) |
426 | (1 | ) | 620 | (1 | ) | ||||||||||
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| Net loss |
$ | (6,739 | ) | $ | (1,359 | ) | $ | (14,572 | ) | $ | (3,024 | ) | ||||
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| Net loss per share, basic and diluted |
$ | (0.27 | ) | $ | (0.48 | ) | $ | (1.30 | ) | $ | (1.06 | ) | ||||
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| Weighted average common shares outstanding, basic and diluted |
24,847,512 | 2,850,640 | 11,230,401 | 2,850,143 | ||||||||||||
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VERRICA PHARMACEUTICALS INC.
Selected Condensed Balance Sheet Data
(Unaudited, in thousands)
| September 30, 2018 | December 31, 2017 | |||||||
| Cash, cash equivalents and marketable securities |
$ | 96,975 | $ | 8,663 | ||||
| Total assets |
98,805 | 9,083 | ||||||
| Total liabilities |
2,451 | 616 | ||||||
| Total convertible preferred stock |
— | 15,508 | ||||||
| Total stockholders’ equity (deficit) |
96,354 | (7,041 | ) | |||||
Contacts
Chris Degnan
Chief Financial Officer
484.453.3300 ext. 103
info@verrica.com
Patti Bank
Managing Director
Westwicke Partners
415.513.1284
patti.bank@westwicke.com