Arcutis Biotherapeutics (ARQT) said Monday it terminated its promotion agreement for Zoryve with Kowa Pharmaceuticals America on Friday.

The agreement covered sales and promotion of the Zoryve cream by Kowa to pediatricians and primary care physicians in the US, according to the company.

Arcutis said it now intends to oversee sales and promotion of Zoryve itself in the pediatric and primary care settings, as Kowa will now halt all activities of the cream, while the company will not be entitled to pay any further payments.

Arcutis also said it anticipates to remain cash flow breakeven and expects no negative impact from this change on its 2026 net product sales outlook.