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Coconut Loaf Cake with Caramel Sauce Recipe

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3.9 from 7 reviews

This Coconut Loaf Cake with Caramel Sauce is a moist and flavorful dessert combining the rich tastes of butter, coconut oil, and shredded coconut in a tender loaf. Topped with a luscious homemade caramel sauce and toasted coconut, it offers a perfect balance of sweetness and texture, ideal for any occasion.

Ingredients

Cake Ingredients

  • 6 tbsp room temperature butter
  • 6 tbsp liquid/melted coconut oil
  • 1 cup granulated sugar (caster sugar preferred if granulated sugar is coarse)
  • 3 eggs
  • 1 tsp vanilla extract
  • 2 cups all-purpose flour
  • 2 tsp baking powder
  • 1/2 tsp baking soda
  • 1/2 tsp salt
  • 1 cup coconut milk
  • 3 tbsp milk or buttermilk
  • 1 cup toasted sweetened shredded coconut

Caramel Sauce Ingredients

  • 1/4 cup brown sugar
  • 2 tbsp butter
  • 1/4 cup cream
  • 1/2 tsp vanilla extract
  • 1/8 tsp salt

Instructions

  1. Preheat and prepare pan: Preheat your oven to 350°F (175°C) and grease a loaf pan. Lightly dust the pan with flour to prevent sticking.
  2. Cream butter and sugars: Beat the room temperature butter and granulated sugar together. Gradually add the melted coconut oil while continuing to beat for 2 minutes until the mixture is fluffy and slightly airy.
  3. Add eggs: Incorporate the eggs one at a time, mixing for about a minute after each addition. The batter will become even fluffier.
  4. Mix in vanilla extract: Add the vanilla extract and mix until combined.
  5. Add dry and wet ingredients alternately: With the mixer on low speed, add half of the all-purpose flour, followed by half of the milk/buttermilk mixture. Then add the remaining half of the flour and the remaining milk. Mix just until combined; small lumps are acceptable.
  6. Fold in shredded coconut: Gently fold in the toasted sweetened shredded coconut using a spatula to maintain the airiness of the batter.
  7. Bake the cake: Pour the batter into the prepared loaf pan and bake for 50-55 minutes, or until a skewer inserted into the center comes out clean.
  8. Prepare the caramel sauce: In a small saucepan, combine brown sugar, butter, cream, vanilla extract, and salt. Bring to a simmer and cook for 3 minutes, stirring continuously.
  9. Cool and serve with caramel: Let the caramel sauce cool for 10 minutes. For extra indulgence, poke holes in the baked cake with a skewer and pour the caramel sauce over so it seeps in.
  10. Garnish and serve: Sprinkle the cake with additional toasted coconut and serve warm or at room temperature.

Notes

  • For best results, use room temperature butter to create a smooth batter.
  • Caster sugar is preferred if using granulated sugar to improve texture.
  • Coconut milk adds richness, but you can substitute with full-fat milk if unavailable.
  • To toast shredded coconut, spread it evenly on a baking sheet and bake at 350°F for 5-7 minutes until golden, stirring occasionally.
  • Poking holes in the cake before adding caramel sauce helps it absorb more flavor and moisture.
  • Store leftovers covered at room temperature for up to 3 days or refrigerate for up to a week.