Owning Fortescue Ltd (ASX: FMG) shares has delivered significant dividend income for investors in the last few years. But, the future payouts may not be as good. With that in mind, it could be a good idea to expand the portfolio to additional ASX dividend share names if investors are reliant on large passive income.
As one of the biggest ASX iron ore shares, it's heavily reliant on the iron ore price to deliver profitability. But, the iron ore price has been weaker in recent times, and now the dividend per share is predicted to remain under A$1 for the next four financial years.
The annual dividend is predicted to decline significantly to A$1.11 per share in FY25, and remain materially under the FY25 payment until at least FY29.
With cuts on the cards, and delays at the Iron Bridge project, it could be wise to look at other ASX dividend shares with other stronger outlooks for their dividends.
Shaver Shop Group Ltd (ASX: SSG)
This ASX retail share has a very impressive dividend history. It started paying a dividend in 2017 and increased its dividend in every financial year, aside from maintaining it once in 2024. In its FY25 half-year result, it hiked the interim payout by 2.1% to 4.8 cents per share.
There are plenty of businesses that haven't cut their payouts in the last eight years. But, Shaver Shop shares come with a trailing grossed-up dividend yield of 10.9%, including franking credits. That's a huge yield.
The business aims to be the leader in all things related to hair removal in Australia and New Zealand – it has more than 120 Shaver Shop locations across ANZ.
A key selling point is its ability to negotiate exclusive products with suppliers, enabling it to offer a wide range of high-quality brands at competitive prices, supported by staff with a deep level of product knowledge.
The ASX dividend share says it's in an attractive and growing market, particularly in men's grooming. Future profit growth could come from store network optimisation, range expansion (including areas like oral care and other beauty categories) and growth of its private brand.
GQG Partners Inc (ASX: GQG)
GQG is a fast-growing fund manager that's headquartered in the US with a growing global presence. It hardly charges any performance fees, despite its track record of outperforming various investment strategies. Therefore, revenue, profit and dividend growth are largely dependent on changes in the funds under management (FUM).
Long-term share market growth due to earnings growth is a strong organic tailwind for its FUM. The key factor is whether fund managers are seeing clients collectively add more money to the funds or withdraw money. GQG is seeing strong net inflows.
In the May 2025 update, the business saw monthly FUM net inflows of US$1.4 billion. In the first five months of 2025, it saw US$7.4 billion of FUM inflows. Clearly, the business is achieving excellent progress.
How big could its dividend yet? Macquarie suggests the business could pay an annual dividend per share in FY26 of US 16.4 cents. That would translate into a dividend yield of 10.7%.
While we shouldn't expect the dividend to rise every year, I'm very optimistic the GQG dividend can continue rising, particularly if net inflows remain positive for the foreseeable future. I think this business could provide stronger dividend income than Fortescue shares in the coming years.
