diff --git a/src/BuiltInTools/dotnet-watch/Watch/DotNetWatcher.cs b/src/BuiltInTools/dotnet-watch/Watch/DotNetWatcher.cs
index b6fb10c29286..47909070034c 100644
--- a/src/BuiltInTools/dotnet-watch/Watch/DotNetWatcher.cs
+++ b/src/BuiltInTools/dotnet-watch/Watch/DotNetWatcher.cs
@@ -59,7 +59,8 @@ public static async Task WatchAsync(DotNetWatchContext context, CancellationToke
                     {
                         [EnvironmentVariables.Names.DotnetWatch] = "1",
                         [EnvironmentVariables.Names.DotnetWatchIteration] = (iteration + 1).ToString(CultureInfo.InvariantCulture),
-                    }
+                    },
+                    OnOutput = line => context.ProcessOutputReporter.ReportOutput(line)
                 };
 
                 var browserRefreshServer = projectRootNode != null && HotReloadAppModel.InferFromProject(context, projectRootNode) is WebApplicationAppModel webAppModel
diff --git a/test/dotnet-watch.Tests/Watch/NoDepsAppTests.cs b/test/dotnet-watch.Tests/Watch/NoDepsAppTests.cs
index fe93ef940c90..98d865d207ca 100644
--- a/test/dotnet-watch.Tests/Watch/NoDepsAppTests.cs
+++ b/test/dotnet-watch.Tests/Watch/NoDepsAppTests.cs
@@ -48,5 +48,19 @@ public async Task RestartProcessThatTerminatesAfterFileChange()
             Assert.NotEqual(processIdentifier, processIdentifier2);
             await App.AssertExiting(); // process should exit after run
         }
+
+        [Fact]
+        public async Task CapturesStdOutWithNoHotReload()
+        {
+            var testAsset = TestAssets.CopyTestAsset(AppName)
+                .WithSource();
+
+            App.Start(testAsset, ["--no-hot-reload"]);
+
+            // Verify stdout is captured - application prints "Started" and "Process identifier"
+            await App.AssertOutputLineStartsWith("Started");
+            await App.AssertOutputLineStartsWith("Process identifier =");
+            await App.AssertExiting();
+        }
     }
 }