We measured geometric and magnetic properties of Co films on the Pd(1 1 1) surface by X-ray photoelectron diffraction (XPD), X-ray magnetic circular dichroism (MCD) at the Co L-2,L-3 edge, and the surface magneto-optical Kerr effect (SMOKE) measurements. Co thin films are found to grow incoherently with fee island structure on the smooth Pd(1 1 1) substrate. Comparison of MCD and SMOKE measurements of Co thin films grown on rough and smooth Pd(1 1 1) surfaces suggests that perpendicular remnant magnetization and Co orbital moment are enhanced by the rough interface. Pd capping layer also induces perpendicular orbital moment enhancement. These observations indicate the influence of hybridization between Co 3d and Pd 4d at the interface on the magnetic anisotropy.