Premiere Pro dropping frames

[helpful_Rocket5DC4]

Hey!
I bought new PC and was expecting to work with 4K footage just fine without creating proxies, but I have been facing with Premiere Pro dropping frames (I am attaching video example of it, where you also can see performance of my PC -  https://www.youtube.com/watch?v=lM3rWWEIzq8&feature=

PC specifications:
Intel Core i7-9700k, CPU 3.60Ghz, 8 cores,
Nvidia Geforce RTX 2070 4GB,
32GB of ram,
Z370m Mortar (motherboard),
Windows 10,
Footage, media cache and scratch files are located on Samsung 970 EVO 1tb drive,
OS and Adobe Premiere is located on Samsung mzvlb256hahq-00000 256gb drive.

All drivers are up to date, currently using latest Adobe Premiere version, tried downgrading it, didn't helped.
Mercury playback Engine GPU Acceleration (CUDA) is enabled,
sequence settings - AVCHD 1080p square pixel, 25 fps (droped frames also appears if I am working with sequence created from clips).

I am working with Sony A7III 4K files (mp4), 25fps., no effects, color correction added,
I know that these mp4 compressed files are huge load for Premiere, but I was hoping to deal with them without any problems even without creating proxies.

So, Is my PC reaching it's limits and expectations to work with 4K files without creating proxies was too big?

[Peru Bob]

How much RAM is being used?

[helpful_Rocket5DC4]

32GB RAM (Task manager shows that PC is using only 50% of PC's RAM during playback in Premiere)

[Peru Bob]

I've moved this to the Video Hardware forum where you might get better help.

[Peru Bob]

I think the reason that you are not experiencing the performance that you expected is that the Intel Core i7-9700k does not have hyperthreading, so you only have 8 threads:

https://www.intel.com/content/www/us/en/products/processors/core/i7-processors/i7-9700k.html

[Guest]

I have a similar issue with DJI footage on Xeon processors. It's a Premiere bug. I'll send you a DM to confirm. 

[Guest · Accepted solution]

I have confirmed with Ignas that this is a known issue related to H.264 decoding that I have an open DVAFM for. 

[BeVeganMakePeace]

I posted this in another thread regarding Threadripper and dropped frames and the workaround was dealing with an Nvidia setting.  Try turning the setting "Threaded Optimization" to OFF in the Nvidia Control Panel  You'll need to restart Premiere after changing the Nvidia settings to have it take effect. It helped solve my dropped frames issue with the same footage format you are using as well as Sony XAVC-L mxf files. I also work on an Intel 9900K and changing that Nvidia setting gave the same results. HTH.