Takeda Pharmaceutical Co (TAK) said its experimental oral treatment for plaque psoriasis met its main goals in two late-stage clinical studies.

The Japan-based drugmaker said more than half of patients treated with the once-daily pill achieved clear or almost clear skin after 16 weeks. The drug is called zasocitinib and was developed using artificial intelligence.

Takeda said it plans to submit marketing applications to the U.S. Food and Drug Administration and other regulators in 2026.

Plaque psoriasis is a chronic skin condition marked by red, scaly patches caused by an overactive immune system. The market for treatments is crowded and includes both oral drugs and injectable therapies.

If approved, zasocitinib would compete with established oral treatments such as Bristol Myers Squibb’s Sotyktu and Amgen’s Otezla. It would also face injectable rivals including Johnson & Johnson’s Tremfya, AbbVie’s Skyrizi, and Novartis’ Cosentyx.

Analyst Michael Nedelcovych of TD Cowen said the trial results appear stronger than those reported for Sotyktu. He said the data also compare favorably with other oral therapies targeting similar immune pathways.

Nedelcovych said he remains cautious about the overall opportunity for oral psoriasis drugs. He added that he is open to Takeda’s projected peak annual sales target of $3 billion to $6 billion for zasocitinib.

Takeda said its drug offers a convenient daily pill option in a market that is still dominated by injectable treatments.

Andy Plump, Takeda’s president of research and development, said the company believes the combination of efficacy, safety profile, and oral dosing is distinctive within the current treatment landscape.

Takeda acquired zasocitinib from Nimbus Therapeutics in 2022. The deal was valued at up to $6 billion, including milestone payments.

Nimbus identified the compound using artificial intelligence, reflecting a growing industry trend. Drugmakers are increasingly turning to AI tools to speed up drug discovery and development.

Plump said Takeda intends to make artificial intelligence central to how it discovers and develops new medicines. He said the company aims to apply AI broadly across its research and development operations.