Tesla Inc. reported its worst quarter in years, but the unofficial measure it touted to Wall Street got a little help: a slight boost from backing out the dip in the value of its crypto holdings.

The move bumped it’s so-called non-GAAP earnings by about 12%. Coupled with stripping out the much bigger cost of stock compensation, the electric vehicle maker reported adjusted earnings more than double its official net income — to about $900 million from about $400 million.

The US Securities and Exchange Commission reviews company supplemental earnings to ensure they aren’t overly rosy, and it has previously scrutinized companies for similar moves. In April 2024, the SEC called out Bitcoin miner Marathon Digital Holdings Inc. for removing the boost in the value of its crypto holdings from its unofficial profit metrics in an earnings release. Marathon agreed to heed the SEC going forward.

The amount of crypto losses Tesla excluded from its non-GAAP earnings is $97 million and digital assets aren’t a significant part of Tesla’s operations. Elon Musk had announced the firm would buy crypto in 2021, but then the company sold much of it a year later.

The SEC usually pays attention to consistency in supplemental earnings measures. When crypto values rose at the end of 2024, Tesla reported about a $600 million benefit, which the company kept in its non-GAAP earnings.

If the value of Bitcoin soars next quarter, the SEC may scrutinize how Tesla reports it, said Olga Usvyatsky, an accounting analyst.

“If they suddenly eliminate the adjustment during a quarter when Bitcoin shows gains, that would be a red flag,” Usvyatsky said.

Companies are allowed to use non-GAAP measures to give investors a clearer view of core performance by taking away one-time costs or unusual expenses. They can’t go too far afield, and the SEC frequently warns businesses about presenting metrics that skeptics call “earnings before bad stuff.”

The Financial Accounting Standards Board published a rule in December 2023 requiring companies that hold crypto to report their tokens at fair value, a measurement technique that aims to capture the highs and lows of notoriously volatile assets.

Tesla didn’t immediately respond to a request for comment. The company’s chief financial officer, Vaibhav Taneja, acknowledged how the new accounting impacted the company’s earnings on an analyst call Tuesday.

“With the adoption of the new mark-to-market standard for Bitcoin, we expect increased volatility in our other income in addition to the FX equivalent,” Taneja said.