There are a number of ASX dividend shares that I believe can deliver investment income growth over the long-term.
Businesses that have committed to paying good dividends to investors could be worth paying attention, both for the payouts and the focus on shareholder returns. Dividends could also signify stability and profitability of the business, which is why I like these two ASX dividend shares:
GQG Partners Inc (ASX: GQG)
GQG describes itself as a global investment boutique that’s based in the US that’s focused on managing active active equity portfolios. At 31 August 2022, it had US$87.4 billion of funds under management (FUM).
It manages money for investors that include many large pension funds, sovereign funds, wealth management firms and other financial institutions around the world.
The company is looking to pay out 90% of its distributable earnings. Its net operating income (which is like the net operating profit), it generated US$174.2 million for the first six months of 2022, above the forecasted amount of net operating income of US$172.9 million.
It achieved net inflows of US$6.3 billion during the first six months of 2022, which outlines how the business could keep growing once investment markets stop being so volatile. The dividend can grow along with the FUM growth, making it one of the interesting ASX dividend shares due to its payout and potential growth.
Commsec has an estimate of 14.4 cents per share for the dividend in 2023, which equates to a dividend yield of 8.7%.
Sonic Healthcare Ltd (ASX: SHL)
Sonic describes itself as a healthcare provider with specialist operations in laboratory medicine and pathology, radiology, general practice medicine and corporate medical services.
I think it’s one of the more defensive businesses on the ASX. I also think it’s one of the most reliable ASX dividend shares. We don’t choose when we’re going to become sick or need treatment. People usually need a diagnosis – Sonic’s services are essential.
Its core business is seeing ongoing revenue growth. For example, excluding COVID testing, revenue rose 2.1% in FY22 compared to FY21, or 5.5% compared to FY19.
I like how the business has made some acquisitions such as Canberra Imaging Group and ProPath. which strengthened its radiology division and its USA anatomical pathology operations.
In FY22 it paid a total dividend per share of $1, which was an increase of 10% compared to FY19.
Looking at Commsec, the dividend estimate for FY23 is $1.03 per share, which would be 4.7% including franking credits.
