An improved coherent communication scheme is provided. The coherent communication scheme encodes both classical and quantum information simultaneously using isolated groups of states: classical information is represented by different groups and can be decoded deterministically; and quantum information is represented by highly overlapped states within the same group, thus guaranteeing security. Decoding includes projecting the detection results at the receiver to one of the distinguishable encoding groups first, which allows the classical information to be read out, and then generating a quantum key from the residual randomness. This communications scheme enables simultaneous classical communication and QKD over the same communication channel using the same transmitter and receiver, opening the door to operate QKD in the background of classical communication and at negligible costs.