Sorry, the company has a better candidate. If you want to gently tell the applicant that the interview failed, you can say, "I'm sorry, the company has a better candidate." This seems straightforward, but it is actually a euphemism, because the applicant was not rejected, but for other reasons, the applicant was not selected.
Please go home and wait patiently, and we will consider it comprehensively. If you want to gently tell the applicant that the interview failed, you can say "Please go home and wait patiently, and we will consider it comprehensively". This is to reassure candidates and avoid the embarrassment of refusing in person.