Michael Kors Holdings Limited (KORS – Analyst Report), a global luxury lifestyle company, came out with first-quarter fiscal 2016 results, wherein earnings of 87 cents per share beat the Zacks Consensus Estimate of 75 cents, and surged from 91 cents in the prior-year quarter.

Earnings Estimate Revision: The Zacks Consensus Estimate for fiscal 2016 has been portraying a downtrend in the last 30 days. In the trailing four quarters (including the quarter under review), the company outperformed the Zacks Consensus Estimate by an average of 10%.

Revenues: Michael Kors generated net sales of $947.3 million that increased 6.8% year over year, and also came ahead of the Zacks Consensus Estimate of $943 million. Including licensing revenues, total revenue came in at $986 million, up 7.3% year over year.

Outlook: Management now projects second-quarter fiscal 2016 earnings in the range of 86 cents to 90 cents a share. The Zacks Consensus Estimate for the second-quarter is currently pegged at 95 cents and can witness downward revisions. Further, the company anticipates total revenue in the second quarter to be in the range of $1.06 billion to $1.08 billion.

For fiscal 2016, Michael Kors expects earnings in the range of $4.40 to $4.50 a share. The Zacks Consensus Estimate for fiscal 2016 currently stands at $4.23 per share and can witness an upward revision. Moreover, fiscal 2016 revenue is expected to be in the range of $4.7 billion to $4.8 billion.

Key Events: Michael Kors repurchased 6,960,352 shares for approximately $350 million.

Zacks Rank: Currently, Michael Kors carries a Zacks Rank #4 (Sell) which is subject to change following the earnings announcement.

Stock Movement: Michael Kors' shares are up nearly 10.3% during pre-market trading hours following the earnings release. Clearly, a positive sentiment is palpable among investors following the company's better-than-expected first-quarter fiscal 2016 results and an upbeat fiscal 2016 outlook.