Prep your pan and oven. Heat the oven to 350°F (175°C). Line a 9x5-inch loaf pan with parchment, leaving overhang for easy lifting. Lightly grease the sides and parchment.

Mix dry ingredients. In a large bowl, whisk flour, baking powder, and salt. Stir in the shredded coconut so it’s evenly distributed. This helps the coconut keep its texture in the batter.

Whisk wet ingredients. In another bowl, whisk sugar, eggs, coconut milk, oil (or melted butter), vanilla, and lemon zest until smooth and slightly frothy. If using coconut extract, add it here.

Combine gently. Pour the wet mixture into the dry ingredients. Stir with a spatula until just combined. Do not overmix. A few streaks are okay; they’ll disappear in the oven.

Fill and smooth. Pour the batter into the prepared pan and smooth the top. Tap the pan gently on the counter to pop large air bubbles.

Bake. Bake for 48–58 minutes, or until the top is golden and a toothpick comes out with only a few moist crumbs. If browning too fast, tent loosely with foil for the last 10 minutes.

Cool before glazing. Let the loaf cool in the pan for 10–15 minutes, then lift it out and transfer to a rack. Cool until just barely warm. This helps the glaze set nicely without melting off.

Make the glaze. Whisk powdered sugar with 2 tablespoons lemon juice. Add more juice a few drops at a time until thick but pourable. Stir in a pinch of zest if desired.

Glaze and garnish. Spoon the glaze over the loaf, letting it drip down the sides. While wet, sprinkle with toasted coconut for crunch. Let set for at least 20 minutes before slicing.

Slice and serve. Use a serrated knife for clean slices. Serve plain, with berries, or alongside a cup of tea.