The ASX share Universal Store Holdings Ltd (ASX: UNI) offers everything in terms of passive income that I'd want to see.

It's not a widely known business, but I think it's rapidly becoming one of the leading stocks that income-seekers should pay attention to.

Universal Store owns a portfolio of premium youth fashion brands, with retail and wholesale businesses. Its businesses are Universal Store, Perfect Stranger and CTC (trading as the THRILLS and Worship). It operates around 110 physical stores across Australia.

Its goal is to grow its brands to deliver a curated selection of on-trend apparel products to a fashion-focused customers aged between 16 to 35.

Let me explain why the business looks so attractive for passive income.

Passive income stability

One of the most important things for an attractive ASX dividend share, in my view, is its ability to provide stable dividend income when we need it.

Dividends are not guaranteed and there could be a dividend cut in the future, but the company's consistency has been impressive.

The business didn't cut its annual dividend in FY22 or FY23, despite the difficulties of inflation and high living costs.

Dividend growth

It's not as though the passive income has been held flat over the last few years.

The company has increased its annual dividend per share every year since it started paying one in 2021.

In the FY25 half-year result, the business grew its interim dividend per share by 33.3% to 22 cents. The business is funding this dividend growth through strong profit growth as the company expands its store count and delivers longer-term operate leverage. In the HY25 result, the company grew its underlying earnings per share (EPS) by 15.2% to 30.3 cents.

I think the business has strong potential to continue growing its financials in the coming years, particularly with the Perfect Stranger brand which delivered total sales growth of 92% during the HY25 period.

The ASX share's dividend yield

We want the ASX dividend share to reward us with a good dividend yield, and this one certainly ticks the box.

I don't know what passive income the board of directors are planning to declare with the FY25 annual result, so I'll look at the last 12 months of dividends, which comes to 41 cents per share.

At the current Universal Store share price, it offers a grossed-up dividend yield of 7.3%, including franking credits. That's really attractive, in my view.