Here's Why Shares of Ericsson Are Lower in Wednesday's Trading

Shares of Ericsson (ERIC) - Get Report  were lower Wednesday after the company said its third-quarter earnings would be well below expectations. The Swedish telecom equipment company blamed weaker demand for mobile broadband products, among other "negative trends." The company said third-quarter revenue had slipped by 14% year on year to roughly $5.8 billion dollars. That was driven by a 19% decline in its segment networks business. Gross margin also declined to 28%. Ericsson's CEO says current trends are expected to continue short-term.

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