diff --git a/playground/app/pages/components/navigation-menu.vue b/playground/app/pages/components/navigation-menu.vue
index f1848179..6a754b92 100644
--- a/playground/app/pages/components/navigation-menu.vue
+++ b/playground/app/pages/components/navigation-menu.vue
@@ -42,6 +42,7 @@ const items = [
   }, {
     label: 'Components',
     icon: 'i-lucide-box',
+    to: '/components',
     active: true,
     defaultOpen: true,
     children: [{
@@ -108,7 +109,7 @@ const items = [
       :color="color"
       :variant="variant"
       :orientation="orientation"
-      :viewport-orientation="contentOrientation"
+      :content-orientation="contentOrientation"
       :highlight="highlight"
       :highlight-color="highlightColor"
       :class="highlight && 'data-[orientation=horizontal]:border-b border-[var(--ui-border)]'"
diff --git a/src/runtime/components/NavigationMenu.vue b/src/runtime/components/NavigationMenu.vue
index e6447cc6..bd72a1f3 100644
--- a/src/runtime/components/NavigationMenu.vue
+++ b/src/runtime/components/NavigationMenu.vue
@@ -239,17 +239,17 @@ const lists = computed(() => props.items?.length ? (Array.isArray(props.items[0]
 
   <DefineItemTemplate v-slot="{ item, index, level = 0 }">
     <component
-      :is="(orientation === 'vertical' && item.children?.length) ? UCollapsible : NavigationMenuItem"
+      :is="(orientation === 'vertical' && item.children?.length && !collapsed) ? UCollapsible : NavigationMenuItem"
       as="li"
       :value="item.value || String(index)"
       :default-open="item.defaultOpen"
-      :unmount-on-hide="(orientation === 'vertical' && item.children?.length) ? unmountOnHide : undefined"
+      :unmount-on-hide="(orientation === 'vertical' && item.children?.length && !collapsed) ? unmountOnHide : undefined"
       :open="item.open"
     >
       <div v-if="orientation === 'vertical' && item.type === 'label'" :class="ui.label({ class: props.ui?.label })">
         <ReuseLinkTemplate :item="(item as T)" :index="index" />
       </div>
-      <ULink v-else-if="item.type !== 'label'" v-slot="{ active, ...slotProps }" v-bind="(orientation === 'vertical' && item.children?.length) ? {} : pickLinkProps(item as Omit<NavigationMenuItem, 'type'>)" custom>
+      <ULink v-else-if="item.type !== 'label'" v-slot="{ active, ...slotProps }" v-bind="(orientation === 'vertical' && item.children?.length && !collapsed) ? {} : pickLinkProps(item as Omit<NavigationMenuItem, 'type'>)" custom>
         <component
           :is="(orientation === 'horizontal' && (item.children?.length || !!slots[item.slot ? `${item.slot}-content` : 'item-content'])) ? NavigationMenuTrigger : NavigationMenuLink"
           as-child
@@ -290,7 +290,7 @@ const lists = computed(() => props.items?.length ? (Array.isArray(props.items[0]
         </NavigationMenuContent>
       </ULink>
 
-      <template v-if="orientation === 'vertical' && item.children?.length" #content>
+      <template v-if="orientation === 'vertical' && item.children?.length && !collapsed" #content>
         <ul :class="ui.childList({ class: props.ui?.childList })">
           <ReuseItemTemplate
             v-for="(childItem, childIndex) in item.children"
diff --git a/test/components/NavigationMenu.spec.ts b/test/components/NavigationMenu.spec.ts
index db5688bd..07c4cc32 100644
--- a/test/components/NavigationMenu.spec.ts
+++ b/test/components/NavigationMenu.spec.ts
@@ -88,6 +88,7 @@ describe('NavigationMenu', () => {
     ['with labelKey', { props: { ...props, labelKey: 'icon' } }],
     ['with arrow', { props: { ...props, arrow: true, modelValue: '0' } }],
     ['with orientation vertical', { props: { ...props, orientation: 'vertical' as const, modelValue: '0' } }],
+    ['with orientation vertical and collapsed', { props: { ...props, orientation: 'vertical' as const, modelValue: '0', collapsed: true } }],
     ['with content orientation vertical', { props: { ...props, contentOrientation: 'vertical' as const, modelValue: '0' } }],
     ...variants.map((variant: string) => [`with primary variant ${variant}`, { props: { ...props, variant } }]),
     ...variants.map((variant: string) => [`with neutral variant ${variant}`, { props: { ...props, variant, color: 'neutral' } }]),
diff --git a/test/components/__snapshots__/NavigationMenu-vue.spec.ts.snap b/test/components/__snapshots__/NavigationMenu-vue.spec.ts.snap
index 46d30dd0..dbd4be3f 100644
--- a/test/components/__snapshots__/NavigationMenu-vue.spec.ts.snap
+++ b/test/components/__snapshots__/NavigationMenu-vue.spec.ts.snap
@@ -785,6 +785,53 @@ exports[`NavigationMenu > renders with neutral variant pill highlight neutral co
 </nav>"
 `;
 
+exports[`NavigationMenu > renders with orientation vertical and collapsed correctly 1`] = `
+"<nav aria-label="Main" data-orientation="vertical" dir="ltr" data-reka-navigation-menu="" data-collapsed="true" class="relative flex gap-1.5 [&>div]:min-w-0 flex-col">
+  <div style="position: relative;">
+    <ul class="isolate min-w-0" data-orientation="vertical">
+      <li data-menu-item="" item="[object Object]" index="0" class="min-w-0">
+        <div class="w-full flex items-center gap-1.5 font-semibold text-xs/5 text-[var(--ui-text-highlighted)] px-2.5 py-1.5">
+          <!--v-if-->
+          <!--v-if-->
+          <!--v-if-->
+        </div>
+      </li>
+      <li data-menu-item="" item="[object Object]" index="1" class="min-w-0"><button type="button" class="group relative w-full flex items-center gap-1.5 font-medium text-sm before:absolute before:z-[-1] before:rounded-[calc(var(--ui-radius)*1.5)] focus:outline-none focus-visible:outline-none dark:focus-visible:outline-none focus-visible:before:ring-inset focus-visible:before:ring-2 focus-visible:before:ring-[var(--ui-primary)] flex-row py-1.5 before:inset-y-px before:inset-x-0 text-[var(--ui-text-muted)] hover:text-[var(--ui-text-highlighted)] hover:before:bg-[var(--ui-bg-elevated)]/50 transition-colors before:transition-colors px-1.5" data-reka-collection-item=""><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-5 text-[var(--ui-text-dimmed)] group-hover:text-[var(--ui-text)] transition-colors" width="1em" height="1em" viewBox="0 0 16 16"></svg>
+          <!--v-if-->
+          <!--v-if-->
+        </button>
+        <!--v-if-->
+      </li>
+      <li data-menu-item="" item="[object Object]" index="2" class="min-w-0"><button type="button" class="group relative w-full flex items-center gap-1.5 font-medium text-sm before:absolute before:z-[-1] before:rounded-[calc(var(--ui-radius)*1.5)] focus:outline-none focus-visible:outline-none dark:focus-visible:outline-none focus-visible:before:ring-inset focus-visible:before:ring-2 focus-visible:before:ring-[var(--ui-primary)] flex-row py-1.5 before:inset-y-px before:inset-x-0 text-[var(--ui-primary)] before:bg-[var(--ui-bg-elevated)] px-1.5" data-active="" aria-current="page" data-reka-collection-item=""><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-5 text-[var(--ui-primary)] group-data-[state=open]:text-[var(--ui-primary)]" width="1em" height="1em" viewBox="0 0 16 16"></svg>
+          <!--v-if-->
+          <!--v-if-->
+        </button>
+        <!--v-if-->
+      </li>
+    </ul>
+  </div>
+  <div class="px-2 h-px bg-[var(--ui-border)]"></div>
+  <div style="position: relative;">
+    <ul class="isolate min-w-0" data-orientation="vertical">
+      <li data-menu-item="" item="[object Object]" index="0" class="min-w-0"><a href="https://github.com/nuxt/ui" class="group relative w-full flex items-center gap-1.5 font-medium text-sm before:absolute before:z-[-1] before:rounded-[calc(var(--ui-radius)*1.5)] focus:outline-none focus-visible:outline-none dark:focus-visible:outline-none focus-visible:before:ring-inset focus-visible:before:ring-2 focus-visible:before:ring-[var(--ui-primary)] flex-row py-1.5 before:inset-y-px before:inset-x-0 text-[var(--ui-text-muted)] hover:text-[var(--ui-text-highlighted)] hover:before:bg-[var(--ui-bg-elevated)]/50 transition-colors before:transition-colors px-1.5" data-reka-collection-item=""><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-5 text-[var(--ui-text-dimmed)] group-hover:text-[var(--ui-text)] transition-colors" width="1em" height="1em" viewBox="0 0 16 16"></svg>
+          <!--v-if-->
+          <!--v-if-->
+        </a>
+        <!--v-if-->
+      </li>
+      <li data-menu-item="" item="[object Object]" index="1" class="min-w-0"><button type="button" disabled="" class="group relative w-full flex items-center gap-1.5 font-medium text-sm before:absolute before:z-[-1] before:rounded-[calc(var(--ui-radius)*1.5)] focus:outline-none focus-visible:outline-none dark:focus-visible:outline-none focus-visible:before:ring-inset focus-visible:before:ring-2 focus-visible:before:ring-[var(--ui-primary)] flex-row py-1.5 before:inset-y-px before:inset-x-0 text-[var(--ui-text-muted)] cursor-not-allowed opacity-75 px-1.5" data-reka-collection-item=""><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-5 text-[var(--ui-text-dimmed)]" width="1em" height="1em" viewBox="0 0 16 16"></svg>
+          <!--v-if-->
+          <!--v-if-->
+        </button>
+        <!--v-if-->
+      </li>
+    </ul>
+  </div>
+  <!--v-if-->
+  <!--v-if-->
+</nav>"
+`;
+
 exports[`NavigationMenu > renders with orientation vertical correctly 1`] = `
 "<nav aria-label="Main" data-orientation="vertical" dir="ltr" data-reka-navigation-menu="" data-collapsed="false" class="relative flex gap-1.5 [&>div]:min-w-0 flex-col">
   <div style="position: relative;">
diff --git a/test/components/__snapshots__/NavigationMenu.spec.ts.snap b/test/components/__snapshots__/NavigationMenu.spec.ts.snap
index 51179542..0d9b4445 100644
--- a/test/components/__snapshots__/NavigationMenu.spec.ts.snap
+++ b/test/components/__snapshots__/NavigationMenu.spec.ts.snap
@@ -785,6 +785,53 @@ exports[`NavigationMenu > renders with neutral variant pill highlight neutral co
 </nav>"
 `;
 
+exports[`NavigationMenu > renders with orientation vertical and collapsed correctly 1`] = `
+"<nav aria-label="Main" data-orientation="vertical" dir="ltr" data-reka-navigation-menu="" data-collapsed="true" class="relative flex gap-1.5 [&>div]:min-w-0 flex-col">
+  <div style="position: relative;">
+    <ul class="isolate min-w-0" data-orientation="vertical">
+      <li data-menu-item="" item="[object Object]" index="0" class="min-w-0">
+        <div class="w-full flex items-center gap-1.5 font-semibold text-xs/5 text-[var(--ui-text-highlighted)] px-2.5 py-1.5">
+          <!--v-if-->
+          <!--v-if-->
+          <!--v-if-->
+        </div>
+      </li>
+      <li data-menu-item="" item="[object Object]" index="1" class="min-w-0"><button type="button" class="group relative w-full flex items-center gap-1.5 font-medium text-sm before:absolute before:z-[-1] before:rounded-[calc(var(--ui-radius)*1.5)] focus:outline-none focus-visible:outline-none dark:focus-visible:outline-none focus-visible:before:ring-inset focus-visible:before:ring-2 focus-visible:before:ring-[var(--ui-primary)] flex-row py-1.5 before:inset-y-px before:inset-x-0 text-[var(--ui-text-muted)] hover:text-[var(--ui-text-highlighted)] hover:before:bg-[var(--ui-bg-elevated)]/50 transition-colors before:transition-colors px-1.5" data-reka-collection-item=""><span class="iconify i-lucide:book-open shrink-0 size-5 text-[var(--ui-text-dimmed)] group-hover:text-[var(--ui-text)] transition-colors" aria-hidden="true"></span>
+          <!--v-if-->
+          <!--v-if-->
+        </button>
+        <!--v-if-->
+      </li>
+      <li data-menu-item="" item="[object Object]" index="2" class="min-w-0"><button type="button" class="group relative w-full flex items-center gap-1.5 font-medium text-sm before:absolute before:z-[-1] before:rounded-[calc(var(--ui-radius)*1.5)] focus:outline-none focus-visible:outline-none dark:focus-visible:outline-none focus-visible:before:ring-inset focus-visible:before:ring-2 focus-visible:before:ring-[var(--ui-primary)] flex-row py-1.5 before:inset-y-px before:inset-x-0 text-[var(--ui-primary)] before:bg-[var(--ui-bg-elevated)] px-1.5" data-active="" aria-current="page" data-reka-collection-item=""><span class="iconify i-lucide:box shrink-0 size-5 text-[var(--ui-primary)] group-data-[state=open]:text-[var(--ui-primary)]" aria-hidden="true"></span>
+          <!--v-if-->
+          <!--v-if-->
+        </button>
+        <!--v-if-->
+      </li>
+    </ul>
+  </div>
+  <div class="px-2 h-px bg-[var(--ui-border)]"></div>
+  <div style="position: relative;">
+    <ul class="isolate min-w-0" data-orientation="vertical">
+      <li data-menu-item="" item="[object Object]" index="0" class="min-w-0"><a href="https://github.com/nuxt/ui" rel="noopener noreferrer" target="_blank" class="group relative w-full flex items-center gap-1.5 font-medium text-sm before:absolute before:z-[-1] before:rounded-[calc(var(--ui-radius)*1.5)] focus:outline-none focus-visible:outline-none dark:focus-visible:outline-none focus-visible:before:ring-inset focus-visible:before:ring-2 focus-visible:before:ring-[var(--ui-primary)] flex-row py-1.5 before:inset-y-px before:inset-x-0 text-[var(--ui-text-muted)] hover:text-[var(--ui-text-highlighted)] hover:before:bg-[var(--ui-bg-elevated)]/50 transition-colors before:transition-colors px-1.5" data-reka-collection-item=""><span class="iconify i-simple-icons:github shrink-0 size-5 text-[var(--ui-text-dimmed)] group-hover:text-[var(--ui-text)] transition-colors" aria-hidden="true"></span>
+          <!--v-if-->
+          <!--v-if-->
+        </a>
+        <!--v-if-->
+      </li>
+      <li data-menu-item="" item="[object Object]" index="1" class="min-w-0"><button type="button" disabled="" class="group relative w-full flex items-center gap-1.5 font-medium text-sm before:absolute before:z-[-1] before:rounded-[calc(var(--ui-radius)*1.5)] focus:outline-none focus-visible:outline-none dark:focus-visible:outline-none focus-visible:before:ring-inset focus-visible:before:ring-2 focus-visible:before:ring-[var(--ui-primary)] flex-row py-1.5 before:inset-y-px before:inset-x-0 text-[var(--ui-text-muted)] cursor-not-allowed opacity-75 px-1.5" data-reka-collection-item=""><span class="iconify i-lucide:circle-help shrink-0 size-5 text-[var(--ui-text-dimmed)]" aria-hidden="true"></span>
+          <!--v-if-->
+          <!--v-if-->
+        </button>
+        <!--v-if-->
+      </li>
+    </ul>
+  </div>
+  <!--v-if-->
+  <!--v-if-->
+</nav>"
+`;
+
 exports[`NavigationMenu > renders with orientation vertical correctly 1`] = `
 "<nav aria-label="Main" data-orientation="vertical" dir="ltr" data-reka-navigation-menu="" data-collapsed="false" class="relative flex gap-1.5 [&>div]:min-w-0 flex-col">
   <div style="position: relative;">