ASX dividend shares could be good targets to pursue in April 2022.
Investment income can be very valuable during a time when interest rates remain very low.
Businesses that are expected to grow their shareholder payouts in the coming years may be attractive to some investors. Here are two quality examples:
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Washington H. Soul Pattinson and Co. Ltd (ASX: SOL)
Soul Pattinson may be one of the more well-known ASX dividend shares. It has a market capitalisation of close to $10 billion, according to the ASX.
It's an investment conglomerate with a portfolio of a number of different ASX shares and private businesses. Some examples of those holdings include TPG Telecom Ltd (ASX: TPG), Brickworks Limited (ASX: BKW), New Hope Corporation Limited (ASX: NHC), Pengana International Equities Ltd (ASX: PIA), Pengana Capital Group Ltd (ASX: PCG), and Tuas Ltd (ASX: TUA).
Private investments include electrical engineering company Ampcontrol, swimming schools, Round Oak Minerals, financial services, and agriculture.
It has grown its dividend every year since 2000, which is the longest-running growth streak on the ASX. The ASX dividend share has also paid a dividend every year since it was listed in 1903.
The business continues to look for opportunities that can provide growth and reliable cash flow.
In its recent FY22 half-year result, the company reported that cash flow per share increased by 42%, while the dividend increased by 11.5% to 29 cents per share.
Sonic Healthcare Ltd (ASX: SHL)
Sonic is one of the larger healthcare businesses on the ASX.
Its primary operations relate to pathology in Australia, the USA, Germany, and several other countries. Sonic also has a growing imaging division.
The ASX dividend share has carried out significant COVID-19 PCR testing over the past two years in the countries where Sonic operates. This led to a significant rise in revenue and operating leverage, helping the bottom line.
In the recent FY22 half-year result, Sonic Healthcare announced that revenue increased another 7% to $4.76 billion, while net profit after tax (NPAT) grew by 22% to $828 million.
The company has been using its increased cash flow to make acquisitions, such as the Dallas-based ProPath and the Australian-based Canberra Imaging Group.
Sonic Healthcare is working on a pathology AI joint venture, which it thinks will be a powerful force in developing best-in-class AI diagnostic tools for pathology.
The ASX dividend share decided to increase its interim dividend by 11% to 40 cents per share. It says that it has a progressive dividend strategy.
While COVID-19 testing rules have changed, Sonic expects a sustainable level of COVID testing into the future, including routine COVID testing, screening programs, variant testing, whole genome sequencing, and antibody tests.
