diff --git a/src/libs/Navigation/AppNavigator/createRootStackNavigator/useCustomRootStackNavigatorState/index.ts b/src/libs/Navigation/AppNavigator/createRootStackNavigator/useCustomRootStackNavigatorState/index.ts
index 88a7135aa0b3..4f09f87a22e0 100644
--- a/src/libs/Navigation/AppNavigator/createRootStackNavigator/useCustomRootStackNavigatorState/index.ts
+++ b/src/libs/Navigation/AppNavigator/createRootStackNavigator/useCustomRootStackNavigatorState/index.ts
@@ -2,17 +2,11 @@ import {isFullScreenName} from '@libs/Navigation/helpers/isNavigatorName';
 import type {CustomStateHookProps} from '@libs/Navigation/PlatformStackNavigation/types';
 
 // This is an optimization to keep mounted only last few screens in the stack.
+// We keep the last full screen and the one before it to avoid unmounting persistent screens
+// (like ReportsSplitNavigator) which contain heavy component trees (e.g. LHN with thousands of items).
 export default function useCustomRootStackNavigatorState({state}: CustomStateHookProps) {
     const lastSplitIndex = state.routes.findLastIndex((route) => isFullScreenName(route.name));
-    let indexToSlice = Math.max(0, lastSplitIndex);
-    const hasPrevRoute = lastSplitIndex > 0;
-    const isPrevFullScreen = isFullScreenName(state.routes.at(lastSplitIndex - 1)?.name);
-
-    // If the route before the last full screen is e.g. RHP, we should leave it in the rendered routes,
-    // as there may be display issues (blank screen) when navigating back and recreating that route to render.
-    if (hasPrevRoute && !isPrevFullScreen) {
-        indexToSlice = lastSplitIndex - 1;
-    }
+    const indexToSlice = Math.max(0, lastSplitIndex - 1);
     const routesToRender = state.routes.slice(indexToSlice, state.routes.length);
     return {...state, routes: routesToRender, index: routesToRender.length - 1};
 }
diff --git a/src/libs/Navigation/AppNavigator/usePreloadFullScreenNavigators.ts b/src/libs/Navigation/AppNavigator/usePreloadFullScreenNavigators.ts
index 8c1adcde02e7..ca424767b0ca 100644
--- a/src/libs/Navigation/AppNavigator/usePreloadFullScreenNavigators.ts
+++ b/src/libs/Navigation/AppNavigator/usePreloadFullScreenNavigators.ts
@@ -134,6 +134,7 @@ function usePreloadFullScreenNavigators() {
             }
             hasPreloadedRef.current = true;
             setTimeout(() => {
+                const currentRoutes = navigation.getState().routes;
                 for (const tabName of TABS_TO_PRELOAD) {
                     // Don't preload the current tab
                     const isCurrentTab = TAB_TO_FULLSCREEN[tabName].includes(route.name as FullScreenName);
@@ -147,6 +148,13 @@ function usePreloadFullScreenNavigators() {
                         continue;
                     }
 
+                    // Don't preload tabs whose navigator is already in the regular routes stack
+                    const isRouteInStack = currentRoutes.some((r) => TAB_TO_FULLSCREEN[tabName].includes(r.name as FullScreenName));
+
+                    if (isRouteInStack) {
+                        continue;
+                    }
+
                     // Preload everything else
                     preloadTab(tabName, navigation, subscriptionPlan);
                 }