The Q1 earnings season is gradually gathering momentum and the overall picture that has emerged so far offers a glimpse into how this reporting cycle could unfold. Per the latest Zacks Earnings Trend report, out of the 132 S&P 500 members that have come up with their quarterly results as of Apr 22, approximately 77.3% have posted positive earnings surprises. This is because the estimates had fallen quite low ahead of the start of this season as 2016 commenced on a dismal note. This therefore reflects an improvement in the overall corporate earnings picture. However, estimates for Q2 are still trending southward. According to the report, earnings for the 132 S&P 500 companies that have reported so far are down 7.9% from the same period last year, while revenues have declined 1.1%.The report further projects that earnings for the total S&P 500 companies will decline 9.4% from the year-ago period, and total revenue will dip 0.8%. We observe that this will be the fourth straight quarter, if the index witnesses a decline in earnings. Well, as the earnings season gradually gets into full swing, the scenario would be much more prominent. So don’t be in a rush to count your chickens before they hatch.The performance of the index is not restricted to a single sector, and of the 16 Zacks sectors, 9 are expected to witness an earnings decline in Q1, with Basic Materials, Industrial Products, Aerospace, Energy and Conglomerates being a big drag. However, the Consumer Discretionary sector remains one of the bright spots in spite of overseas turmoil, yet-to-recover Chinese economy, fluctuating commodity prices and Fed rate-related controversies that to an extent are affecting consumers’ spending behavior.Total earnings for the sector are expected to improve 1.8%, whereas revenues are projected to increase 5.8%. Among Consumer Discretionary stocks reporting this week, let’s take a sneak peek at two companies.Coach, Inc. COH, the designer and marketer of fine accessories and gifts, is slated to report third-quarter fiscal 2016 results on Apr 26. Coach’s dwindling bottom-line performance remains the primary concern for investors. A look at the company's performance in fiscal 2015 unveils that earnings per share fell 31.2%, 32.1%, 47.1% and 47.5% year over year in the first, second, third and fourth quarters, respectively. In the first quarter of fiscal 2016, earnings per share plunged 22.6%. In the second quarter too, the figure dropped 5.6% but at a rate lower than the preceding quarters. A mature domestic market, foreign currency headwinds and cautious consumer spending continue to pose concerns.However, Coach has undertaken transformation initiatives revolving around products, stores and marketing, to bring itself back on the growth trajectory and emerge as a multi-brand company.Coach carries a Zacks Rank #3 (Hold) and has an Earnings ESP of 0.00%. The Zacks Consensus Estimate for the quarter is pegged at 41 cents. (Read more: What's in the Cards for Coach in Q3 Earnings?). V.F. Corporation VFC, the designer, manufacturer and marketer of branded apparel and related products, is slated to report first-quarter 2016 results on Apr 29. V.F. Corp. has been facing foreign currency headwinds for a while now, which remain a cause of concern for its future performance. Evidently, the company’s previous quarter was marred by a soft consumer environment, lingering currency headwinds and unseasonably warm weather.Management had earlier stated that it expects the currency headwinds to persist and weigh on the company’s 2016 performance. This is clearly reflected in the company’s guidance for the year, wherein it anticipates currency translations to adversely impact revenues and gross margin by nearly 1 percentage point and 70 basis points, respectively, thus denting the bottom line. In fact, the company expects the first quarter to bear the maximum impact of these adverse currency movements, which are anticipated to weigh on the gross margin by nearly 120 basis points. Thus, earnings for the first quarter are expected to fall at a low double-digit rate (or flat on a currency neutral basis).V.F. Corp. carries a Zacks Rank #3 and has an Earnings ESP of 0.00%. The Zacks Consensus Estimate for the quarter is pegged at 59 cents. (Read more: V.F. Corp. Q1 Earnings: Will Currency Woes Trouble?). Keep an eye on our full earnings articles to see how these companies finally fared.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report V F CORP (VFC): Free Stock Analysis Report COACH INC (COH): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research