ASX Dividend Growth Investing: A Closer Look at Soul Patts and Wesfarmers

These two shares, Soul Patts and Wesfarmers, showed strong progress in 2026, supported by strong financial performance, business growth, capital allocation and investment in future opportunities.

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

On 26 March 2026, announced its 1H26 financial results for the period ended 31 January 2026. Net Cash Flow from Investments rose 15.4% to $334 million, while per share NCFI increased 12.5%. Pre-tax NAV reached $13.8 billion with giving a 9.7% return and exceeding the ASX200 Total Return index by 6.6%. Post tax portfolio value stood at $14.5 billion.

During the same period, portfolio turnover excluding the Brickworks merger was $4.3 billion, its highest six month level. Available cash ended at $472 million. Statutory NPAT climbed 604.3% to $2,303 million mainly due to one-off items. Underlying Group Regular NPAT increased 6.7% to $304 million.

The company also announced a 1H26 ordinary dividend of 48 cents per share, up 9.1% from the previous corresponding period. This marked the 28th consecutive year of dividend increases. Since 2001, SOL delivered a 12.9% TSR, 4.6% above the ASX200 Total Return index.

On 18 June 2026, Soul Patts revealed the divestiture of some property interests of Brickworks Industrial JV Trust to Goodman Australia Industrial Partnership and other entities under Goodman Group worth $1.89 billion. The amount was in line with property values at the time of the combination. Completion was expected in late June 2026 with no conditions precedent. The proceeds are intended to provide greater liquidity and flexibility for future capital allocation.

Wesfarmers Limited (ASX: WES)

On 10 June 2026, announced their plans for future growth. WES is committed to building on existing strengths, exploring new growth opportunities with improving their portfolio and long term shareholder value. Bunnings remains a major growth area with plans to expand its product range, stores, commercial business and digital channels. It has 353 stores across Australia and New Zealand with more than 100 property projects planned up to FY30.

Bunnings has also been increasing their online marketplace, renewables energy business and retail media. Technology and AI have been used to enhance customer service, store operations, supply chain management and increase efficiency of the workforce. Bunnings sees potential opportunities for growth due to rising population, lack of housing, house renovations, among others.

The update also provided progress on the lithium business. Mt Holland reached nameplate spodumene production in FY26, while the Kwinana refinery produced its first lithium hydroxide. WesCEF expects about 190kt of spodumene concentrate production in FY27, with this volume planned to be split between refinery use and sales. Work continues on the refinery ramp-up and customer qualification.

On 22 July 2026, Wesfarmers and SQM approved the Mt Holland expansion. The project will increase spodumene concentrate production from about 380ktpa to 760ktpa on a 100% basis. An ore sorting facility will also recover additional material. Construction of the second concentrator is expected to start in the second half of 2027, with first expanded production targeted for the first half of 2030. Wesfarmers’ share of project capital is estimated at $645–715 million. Further details are due with the full-year results on 27 August 2026.

(Source: Company Report)