Coach profit up 26 percent as U.S. and China sales soar

Leather goods maker Coach Inc reported a larger quarterly profit as U.S. luxury spending rebounded and sales in China soared over the holiday season.

Coach, best known for its high-end handbags and wallets, reported net income of $303.4 million, or $1 per share, for the fiscal second quarter ended January 1, up 26 percent from $240.9 million, or 75 cents per share, a year earlier.

Sales rose 18.7 percent to $1.26 billion, fueled by a 12.6 percent increase in sales at North American stores open at least a year, which account for the bulk of its business.

In China, where Coach is still new to the market, sales rose by double digits on a percentage basis.

(Reporting by Phil Wahba; Editing by Derek Caney)