I'm always on the lookout for ASX dividend shares that I believe can add reliability or helpful cash flow to my portfolio.
Dividends aren't guaranteed in the same way interest from a term deposit is. But, some businesses have a more reliable dividend record than others.
If we just buy the most reliable names, then we can have greater confidence in the level of cash flow we think we're going to get. On the other hand, I wouldn't be confident about what dividends the miner Fortescue Ltd (ASX: FMG) may pay because of volatile iron ore prices.
I'll highlight two names I think offer very compelling payouts.
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Rivco Australia Ltd (ASX: RIV)
This business is unique on the ASX – it owns water entitlements that it can lease to irrigators on short-term or long-term leases.
I like this ASX dividend share because it gives investors the ability to indirectly gain exposure to the important agricultural sector without having the operational risk of running farms.
Pleasingly, the business can benefit from both the lease income and the potential long-term growth in the value of the entitlements.
Thanks to the decision of the company to pay a sustainable dividend, rather than the biggest it could, it has steadily grown its payout every six months since 2017.
The last two dividends declared by the business come to a grossed-up dividend yield of 7.3%, including franking credits.
The business is also trading at an attractive discount. The Rivco share price is currently at a 7.25% discount to the latest monthly net asset value (NAV) per share.
Rural Funds Group (ASX: RFF)
Rural Funds is another ASX dividend share that also gives investors exposure to the agricultural sector.
The real estate investment trust (REIT) owns a national portfolio of farms that are leased to high-quality tenants. Those farm types include cattle, vineyards, almonds, macadamias and cropping. I like that for the diversification it can add to my portfolio.
Prior to COVID-19, the business had an impressive record of growing its distribution by 4% per year. However, this was stopped by the high interest rate environment. Even so, the business has managed to maintain its annual payout each year since then.
It's expecting to pay an annual distribution of 11.73 cents per unit in FY26, translating into a forward distribution yield of 5.8%.
With rental increases built into most of its contracts (either fixed increases or linked to inflation), I think the prospects are positive for both rental profit growth and distribution growth in the longer-term.
It also looks like it's trading at a really good value. At 30 June 2025, it reported having a NAV of $3.08. That means it's currently trading at a 35% discount, which I'd call a really appealing level to buy at.
