The initial version of this article featured an incorrect number for Texas Instruments’ analog revenue. This has now been corrected.

Texas Instruments Inc. shares fell in extended trade Tuesday after the chip maker reported third-quarter revenue below analysts’ expectations and delivered weaker-than-expected guidance.

The chipmaker reported net income of $1.709 billion, or $1.85 a share, compared with net income of $2.295 billion, or $2.47 a share, in the same period last year. Earnings per share included a 5-cent benefit for items that were not in the company’s original guidance, Texas Instruments
TXN,
+0.41%
said in a statement. Analysts surveyed by FactSet were looking for earnings of $1.82 a share.

Third-quarter revenue was $4.532 billion, down from $5.241 billion in the same period last year. Analysts surveyed by FactSet were looking for sales of $4.579 billion. Analog revenue was $3.353 billion, down from $3.993 billion in the prior year’s quarter, and embedded processing revenue was $890 million, up from $821 million in the same period last year. Analysts surveyed by FactSet were looking for analog revenue of $3.296 billion and embedded processing revenue of $887 million.

Related: Texas Instruments’ stock slips as continued capacity buildout amid growing inventory weighs on outlook

“Revenue was flat sequentially and decreased 14% from the same quarter a year ago,” Texas Instruments’ CEO Haviv Ilan said in a statement. “During the quarter, automotive growth continued and industrial weakness broadened.”

During a conference call to discuss results, Dave Paul, Texas Instruments’ vice president and head of investor relations, said that the industrial market was down mid-single digits sequentially, with weakness broadening across nearly all sectors. “The automotive market continued to grow, and was up mid-single digits,” he added. “Personal electronics was up about 20% off a low base … communications equipment was down upper teens and, finally, enterprise systems grew upper single digits.”

For the fourth quarter, Texas Instruments said it expects revenue between $3.93 billion and $4.27 billion and earnings between $1.35 and $1.57 a share. Analysts surveyed by FactSet said they are looking for revenue of $4.502 billion and adjusted earnings of $1.79 a share.

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The company’s third-quarter inventory was $3.908 billion, up from $2.404 billion in the prior year’s quarter, and a sequential increase of $179 million.

Texas Instruments’ stock fell 4.4% in extended trades.

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