QUALCOMM, Inc. (QCOM) shares fell after hours Wednesday after the company turned in sales results that were a little worse-than expected in the third quarter and lower fourth-quarter guidance.

The company did have an earnings beat, reporting 80 cents per share, topping the Street estimate of 75 cents by 6.67%. Earnings were down nearly 21% from $1.01 in the same quarter last year.

Revenue came in at $4.9 billion, slightly under analysts' estimate of $5.08 billion by 3.54%. Sales were off 12.95% from the same period last year.

Bad Time For 4G?

The company's CEO said it's a tough time in the life cycle for 4G devices.

“We delivered another solid quarter operationally in the midst of slower demand for 4G devices as the market prepares for the global transition to 5G,” said CEO Steve Mollenkopf. “Our 5G design wins have doubled over the last three months, leaving us extremely well positioned as 5G ramps in early calendar year 2020.”

Qualcomm sees adjusted fourth-quarter earnings of 65 cents to 75 cents a share, and disappointed investors and analysts with sales guidance for the fourth quarter of $4.3 billion to $5.1 billion, under the $5.63 billion Street estimate.

Other Highlights

• Revenues: $4.9 billion, down 13% year over year; flat quarter over quarter.
• Operating Income: $1.2 billion
• Net income: $1 billion

Qualcomm shares were down 5.5% in after-hours trading to $69.06. The stock closed at $73.16.