New York-based Coach has reported solid international sales growth, especially in China.

Coach said international sales increased by 12 per cent in constant dollar terms in the fourth quarter, driven by China, where sales grew more than 20 per cent.

However, the growth in China was offset by weak demand in North America, where sales dropped 16 per cent to $691 million.

The company believes tougher competition in North America will continue to dent sales there, so it will seek further growth from international markets like China.

It expects China sales to hit over $600 million in fiscal 2015 and says the market will remain the core focus of its expansion.