During its quarterly earnings call earlier today, LG revealed that it has sold in excess of 1.6 million units of the LG G5 around the world since its launch a month ago. The handset launched in LG’s home market on March 31, and went on sale in the United States on April 1st.

The company expects to ship nearly 3 million units of its flagship handset in the second quarter of this year.

While it looks like the G5 is off to a great start, it did came at a great cost for the company. Due to the increased marketing expenses it had to incur for the G5 in the first quarter of 2016, LG posted an operating loss of KRW 202.2 billion (US$ 168.2m). The 12 percent decline in its smartphone shipments on YoY basis did not help things either.

Nonetheless, LG is optimistic that a wider availability of the LG G5 and its new K-series smartphones could actually help it to reach the break-even point in the second quarter of 2016. It also expects its cost-competitive value chain to help improve profitability.

While the LG G5 does not feature an IP68 rating like the Galaxy S7 or S7 edge, it sets itself apart from the competition by having a somewhat modular design that makes it possible to use ‘Friends’ to enhance the functionality of the phone. Despite featuring a unibody aluminium design, the LG G5 features a removable battery — a novelty in today’s smartphones.

Have you purchased the LG G5? Or did you go with the Galaxy S7?