diff --git a/.ocm/base-component.yaml b/.ocm/base-component.yaml
index d6d6e005..595ccd72 100644
--- a/.ocm/base-component.yaml
+++ b/.ocm/base-component.yaml
@@ -1,7 +1,7 @@
 componentReferences:
 - componentName: github.com/gardener/machine-controller-manager
   name: machine-controller-manager
-  version: v0.62.0
+  version: v0.62.1
 main-source:
   labels:
   - name: cloud.gardener.cnudie/dso/scanning-hints/source_analysis/v1
diff --git a/.ocm/release-notes/github.com_gardener_machine-controller-manager_v0.62.1.release-notes.yaml b/.ocm/release-notes/github.com_gardener_machine-controller-manager_v0.62.1.release-notes.yaml
new file mode 100644
index 00000000..f3082946
--- /dev/null
+++ b/.ocm/release-notes/github.com_gardener_machine-controller-manager_v0.62.1.release-notes.yaml
@@ -0,0 +1,17 @@
+ocm:
+  component_name: github.com/gardener/machine-controller-manager
+  component_version: v0.62.1
+release_notes:
+- audience: operator
+  author:
+    hostname: github.com
+    type: githubUser
+    username: thiyyakat
+  category: bugfix
+  contents: Fix preservation reconcile loop to avoid unconditionally uncordoning nodes
+    unrelated to machine preservation, prevent spurious writes on non-preserved machines,
+    and eliminate conflict errors caused by stale machine object comparison in the
+    defer annotation sync.
+  mimetype: text/markdown
+  reference: '[#1111](https://github.com/gardener/machine-controller-manager/pull/1111)'
+  type: standard
diff --git a/go.mod b/go.mod
index 82c64619..5033300f 100644
--- a/go.mod
+++ b/go.mod
@@ -6,7 +6,7 @@ require (
 	github.com/elastic/crd-ref-docs v0.3.0
 	github.com/gardener/gardener v1.142.0
 	github.com/gardener/gardener/pkg/apis v1.142.0
-	github.com/gardener/machine-controller-manager v0.62.0
+	github.com/gardener/machine-controller-manager v0.62.1
 	github.com/gophercloud/gophercloud/v2 v2.12.0
 	github.com/onsi/ginkgo/v2 v2.28.3
 	github.com/onsi/gomega v1.40.0
diff --git a/go.sum b/go.sum
index 55a62fd4..0eb93429 100644
--- a/go.sum
+++ b/go.sum
@@ -45,8 +45,8 @@ github.com/gardener/gardener v1.142.0 h1:9Q4TREbR/17KRdcMBCJtEoIizjMa7Ojx8W0PVVX
 github.com/gardener/gardener v1.142.0/go.mod h1:nPSTV5LDL//ZecYh5ju/Pt56LXJ1kQZt0TFVF1ZAux4=
 github.com/gardener/gardener/pkg/apis v1.142.0 h1:BfvNrLa0o6O01gTq1ew2kKcBs7H6xetM8hV7eKlNCHY=
 github.com/gardener/gardener/pkg/apis v1.142.0/go.mod h1:oN2NXhb68BCwMS8DHlVHZeGA88IUtjtCpMT1DapNN5o=
-github.com/gardener/machine-controller-manager v0.62.0 h1:XZWjAsXlNVj3S7M0AXcLkhNDGRRNm3Tc6ZFlTPPy3sc=
-github.com/gardener/machine-controller-manager v0.62.0/go.mod h1:ICsymXK4VHm7NVr8Mpl6USvYcTZjUNSk6+XaVu/dd74=
+github.com/gardener/machine-controller-manager v0.62.1 h1:TQ4Qs9aaYTqSkqFownIaEAvnrYoNpBMcp7ZMYVEgUWM=
+github.com/gardener/machine-controller-manager v0.62.1/go.mod h1:ICsymXK4VHm7NVr8Mpl6USvYcTZjUNSk6+XaVu/dd74=
 github.com/gkampitakis/ciinfo v0.3.2 h1:JcuOPk8ZU7nZQjdUhctuhQofk7BGHuIy0c9Ez8BNhXs=
 github.com/gkampitakis/ciinfo v0.3.2/go.mod h1:1NIwaOcFChN4fa/B0hEBdAb6npDlFL8Bwx4dfRLRqAo=
 github.com/gkampitakis/go-diff v1.3.2 h1:Qyn0J9XJSDTgnsgHRdz9Zp24RaJeKMUHg2+PDZZdC4M=