3 Best dividend growth stocks

These dividend-paying ASX stocks offer a mix of stable income, business growth and ongoing efforts to create value for shareholders.

Washington H. Soul Pattinson and Company Limited (ASX: SOL)

on 26 March 2026, shared its 1H26 results for the dated ended 31 January 2026. The Net Cash Flow from Investments improved 15.4% to $334M however NCFI per share rose 12.5%. Pre tax Net Asset Value reached $13.8 billion, delivering a 9.7% return during the half year. Following the Brickworks merger, the post-tax portfolio value stood at $14.5 billion, with Emerging Companies delivering a 36.7% total return.

Portfolio turnover excluding the Brickworks merger totalled $4.3 billion, the highest ever for a six-month period, and available cash closed at $472 million. Statutory NPAT increased 604.3% to $2,303 million, while underlying Group Regular NPAT rose 6.7% to $304 million.
The company declared a 48 cents per share dividend, improved 9.1% from the prior corresponding period, marking its 28th consecutive year of dividend growth. The present dividend yield of APA is 2.49%.

APA Group (ASX: APA)

on 19 February 2026, announced Stage 3 of its East Coast Gas Grid Expansion Plan. The project is likely to add around 30% more transport capacity to support address projected southern gas shortages from 2028. Stage 3A involves a $260 million investment whereas Stage 3B includes $220 million for early works, procurement and further development activities.

For the half year ended 31 December 2025, APA reported 1H26 Underlying EBITDA of $1,092 million, up 7.6% from the prior period. EBITDA margins improved to 77.3% whereas statutory net profit after tax increased to $95 million from $34 million. FY26 distributions are expected to be 58.0 cents per security and FY26 EBITDA guidance remains $2,120 million to $2,200 million.
On 25 March 2026, APA completed the sale of its 20% stake in GDI as part of Stonepeak’s acquisition of the business. APA’s share of the sale proceeds was $62 million. The recent annual dividend yield is 5.53%.

Westpac Banking Corporation (ASX: WBC)

on 5 May 2026, announced its half year results for the six months ended 31 March 2026. Lending and deposits both increased 7% over the year. Australian housing loans, excluding RAMS, rose 7% whereas Australian business lending increased 16%. The agribusiness portfolio grew 15% and the number of new transaction accounts was up 33%.

The bank continued investing in future growth through its UNITE program, including the first large-scale migration to BT Panorama and progress toward a single commercial banking platform. Digital ID verification was introduced for customers arriving from India, New Zealand and China. AI tools were expanded to help detect scams and fraud, contributing to the prevention of $181 million in customer losses.

WBC declared an interim dividend of 77 cents per share with a payout ratio of 77.1% on a statutory basis. The current annual dividend yield is 4.42%. The bank remains focused on managing global uncertainty, improving productivity, controlling costs and supporting customers through changing the economic conditions.

(Source: Company Report)