From d3ce8370ba0c3f5faed7103928c83cdf7ac827f1 Mon Sep 17 00:00:00 2001
From: Mirza-Samad-Ahmed-Baig <Mirzasamadahmedbaig@gmail.com>
Date: Fri, 23 Jan 2026 21:51:34 +0300
Subject: [PATCH] Fix state reconciliation early return on unchanged DaemonSet

Signed-off-by: Mirza-Samad-Ahmed-Baig <Mirzasamadahmedbaig@gmail.com>
---
 internal/state/state_skel.go      |  2 +-
 internal/state/state_skel_test.go | 72 +++++++++++++++++++++++++++++++
 2 files changed, 73 insertions(+), 1 deletion(-)
 create mode 100644 internal/state/state_skel_test.go

diff --git a/internal/state/state_skel.go b/internal/state/state_skel.go
index ff26d7ccb..6cee12f95 100644
--- a/internal/state/state_skel.go
+++ b/internal/state/state_skel.go
@@ -268,7 +268,7 @@ func (s *stateSkel) createOrUpdateObjs(
 				if desiredObjectHash == currentObjHash {
 					reqLogger.V(consts.LogLevelDebug).Info("Object is unchanged, so skipping update",
 						"Kind", desiredObj.GetKind(), "Name", desiredObj.GetName())
-					return nil
+					continue
 				}
 			}
 		}
diff --git a/internal/state/state_skel_test.go b/internal/state/state_skel_test.go
new file mode 100644
index 000000000..81ff836c8
--- /dev/null
+++ b/internal/state/state_skel_test.go
@@ -0,0 +1,72 @@
+/**
+# Copyright (c) NVIDIA CORPORATION.  All rights reserved.
+#
+# Licensed under the Apache License, Version 2.0 (the "License");
+# you may not use this file except in compliance with the License.
+# You may obtain a copy of the License at
+#
+#     http://www.apache.org/licenses/LICENSE-2.0
+#
+# Unless required by applicable law or agreed to in writing, software
+# distributed under the License is distributed on an "AS IS" BASIS,
+# WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+# See the License for the specific language governing permissions and
+# limitations under the License.
+**/
+
+package state
+
+import (
+	"context"
+	"testing"
+
+	"github.com/stretchr/testify/require"
+	"k8s.io/apimachinery/pkg/apis/meta/v1/unstructured"
+	"k8s.io/apimachinery/pkg/runtime/schema"
+	"k8s.io/client-go/kubernetes/scheme"
+	"sigs.k8s.io/controller-runtime/pkg/client"
+	"sigs.k8s.io/controller-runtime/pkg/client/fake"
+
+	"github.com/NVIDIA/gpu-operator/internal/consts"
+	"github.com/NVIDIA/gpu-operator/internal/utils"
+)
+
+func TestCreateOrUpdateObjs_DaemonSetUnchangedDoesNotShortCircuit(t *testing.T) {
+	ctx := context.Background()
+
+	stateSkel := &stateSkel{
+		name: "test-state",
+	}
+
+	ds := &unstructured.Unstructured{}
+	ds.SetGroupVersionKind(schema.GroupVersionKind{Group: "apps", Version: "v1", Kind: "DaemonSet"})
+	ds.SetName("test-ds")
+	ds.SetNamespace("default")
+
+	cm := &unstructured.Unstructured{}
+	cm.SetGroupVersionKind(schema.GroupVersionKind{Group: "", Version: "v1", Kind: "ConfigMap"})
+	cm.SetName("test-cm")
+	cm.SetNamespace("default")
+
+	// Mirror the mutation order used by createOrUpdateObjs to compute the expected hash,
+	// so we can seed a pre-existing DaemonSet with a matching hash and trigger the
+	// "Object is unchanged" short-circuit path.
+	stateSkel.addStateSpecificLabels(ds)
+	dsHash := utils.GetObjectHash(ds)
+
+	existingDs := ds.DeepCopy()
+	existingDs.SetAnnotations(map[string]string{
+		consts.NvidiaAnnotationHashKey: dsHash,
+	})
+
+	k8sClient := fake.NewClientBuilder().WithScheme(scheme.Scheme).WithRuntimeObjects(existingDs).Build()
+	stateSkel.client = k8sClient
+
+	err := stateSkel.createOrUpdateObjs(ctx, func(_ *unstructured.Unstructured) error { return nil }, []*unstructured.Unstructured{ds, cm})
+	require.NoError(t, err)
+
+	gotCm := &unstructured.Unstructured{}
+	gotCm.SetGroupVersionKind(schema.GroupVersionKind{Group: "", Version: "v1", Kind: "ConfigMap"})
+	err = k8sClient.Get(ctx, client.ObjectKey{Name: "test-cm", Namespace: "default"}, gotCm)
+	require.NoError(t, err)
+}