01 - Preheat oven to 400°F (200°C). Line a baking sheet with parchment paper and set aside.
02 - Pat chicken breasts dry with paper towels. Season both sides evenly with kosher salt and freshly ground black pepper.
03 - Arrange three shallow bowls: place flour in the first, whisk eggs with water in the second, and combine shredded coconut with panko breadcrumbs in the third.
04 - Dredge each chicken breast in flour, shaking off excess. Dip into the egg wash, then press firmly into the coconut-panko mixture, coating both sides thoroughly.
05 - Heat oil to a depth of about 1/2 inch in a large skillet over medium heat. Fry breaded chicken breasts for 2–3 minutes per side until golden brown. Transfer to the prepared baking sheet.
06 - Bake the pan-fried chicken in the preheated oven for 15–18 minutes, until the internal temperature reaches 165°F (74°C) at the thickest part.
07 - While the chicken bakes, combine apricot preserves, soy sauce, rice vinegar, grated ginger, minced garlic, and red pepper flakes in a saucepan. Simmer over low heat for 5 minutes, stirring occasionally, until the sauce thickens slightly.
08 - Serve the coconut chicken hot, drizzled with apricot sauce, or present the sauce on the side for dipping.