NVIDIA could have distributed its cryptocurrency revenue to key segments, corrupting its accounts

Capital analytics experts report that NVIDIA could have tweaked its accounts, spreading the profits from cryptocurrencies across key segments.

Recently NVIDIA has published the report of income and earnings of the past year. The company reportedly earned about $ 602 million from the cryptocurrency mining business. At least this is what the company has said, because there are those who think differently. According to capital analyst Mitch Steves who works for the Royal Bank of Canada, they brought in a lot more. He has made his own calculations and ensures that the real figure is around 1950 million dollars, which is a nonsense.

How much has NVIDIA made from cryptocurrencies?

Steves has measured the hash rate and computing power of Ethereum and other cryptocurrencies that are primarily mined with charts. He has taken the period between April 2017 and July 2018. According to his calculations, this increase in power is equivalent to about 2.750 billion dollars in graphics. NVIDIA would have taken roughly 75% of the market while AMD has kept the leftovers, 25% of the market.

We must remember that NVIDIA calculated a revenue for the fourth quarter of 2018 of about 2.700 million dollars, a figure that in the end has been 2.200 million dollars. This 500 million deviation due to cryptocurrency mining.

What Steves doesn't know is how the company would be masking its revenue, which is concerning. We must emphasize that lying to shareholders could become a problem. It is dropped that the revenues would have been distributed by other segments, such as OEM solutions or advanced solutions for AI and Deep Learning.

But this is even more serious, since inflating other segments would mean that the company enters less in key segments such as GPUs for gaming, desktops and laptops, for example. A strategy that in the short term can work, since it makes up the results, but is not sustainable in the long term.

We must remember that Jen-Hsun Huan stated a few weeks ago that there were hardly any Pascal GPUs left, something that sources consulted by this website, and which we published exclusively , have confirmed is false. The company has 1 million Pascal GPUs that it doesn't know how to sell. This is causing Turing GPUs to be priced 40% higher than they should be.

Source: Techspot