diff --git a/src/diffusers/pipelines/ltx2/pipeline_ltx2_image2video.py b/src/diffusers/pipelines/ltx2/pipeline_ltx2_image2video.py
index 98d323efd477..83ba2cd7c685 100644
--- a/src/diffusers/pipelines/ltx2/pipeline_ltx2_image2video.py
+++ b/src/diffusers/pipelines/ltx2/pipeline_ltx2_image2video.py
@@ -699,9 +699,13 @@ def prepare_latents(
         mask_shape = (batch_size, 1, num_frames, height, width)
 
         if latents is not None:
-            conditioning_mask = latents.new_zeros(mask_shape)
-            conditioning_mask[:, :, 0] = 1.0
             if latents.ndim == 5:
+                # conditioning_mask needs to the same shape as latents in two stages generation.
+                batch_size, _, num_frames, height, width = latents.shape
+                mask_shape = (batch_size, 1, num_frames, height, width)
+                conditioning_mask = latents.new_zeros(mask_shape)
+                conditioning_mask[:, :, 0] = 1.0
+
                 latents = self._normalize_latents(
                     latents, self.vae.latents_mean, self.vae.latents_std, self.vae.config.scaling_factor
                 )
@@ -710,6 +714,9 @@ def prepare_latents(
                 latents = self._pack_latents(
                     latents, self.transformer_spatial_patch_size, self.transformer_temporal_patch_size
                 )
+            else:
+                conditioning_mask = latents.new_zeros(mask_shape)
+                conditioning_mask[:, :, 0] = 1.0
             conditioning_mask = self._pack_latents(
                 conditioning_mask, self.transformer_spatial_patch_size, self.transformer_temporal_patch_size
             ).squeeze(-1)
diff --git a/tests/pipelines/ltx2/test_ltx2_image2video.py b/tests/pipelines/ltx2/test_ltx2_image2video.py
index 3653e1cfc5e4..92c000c7bf7c 100644
--- a/tests/pipelines/ltx2/test_ltx2_image2video.py
+++ b/tests/pipelines/ltx2/test_ltx2_image2video.py
@@ -24,7 +24,8 @@
     LTX2ImageToVideoPipeline,
     LTX2VideoTransformer3DModel,
 )
-from diffusers.pipelines.ltx2 import LTX2TextConnectors
+from diffusers.pipelines.ltx2 import LTX2LatentUpsamplePipeline, LTX2TextConnectors
+from diffusers.pipelines.ltx2.latent_upsampler import LTX2LatentUpsamplerModel
 from diffusers.pipelines.ltx2.vocoder import LTX2Vocoder
 
 from ...testing_utils import enable_full_determinism
@@ -174,6 +175,15 @@ def get_dummy_components(self):
 
         return components
 
+    def get_dummy_upsample_component(self, in_channels=4, mid_channels=32, num_blocks_per_stage=1):
+        upsampler = LTX2LatentUpsamplerModel(
+            in_channels=in_channels,
+            mid_channels=mid_channels,
+            num_blocks_per_stage=num_blocks_per_stage,
+        )
+
+        return upsampler
+
     def get_dummy_inputs(self, device, seed=0):
         if str(device).startswith("mps"):
             generator = torch.manual_seed(seed)
@@ -287,5 +297,60 @@ def test_two_stages_inference(self):
         assert torch.allclose(expected_video_slice, generated_video_slice, atol=1e-4, rtol=1e-4)
         assert torch.allclose(expected_audio_slice, generated_audio_slice, atol=1e-4, rtol=1e-4)
 
+    def test_two_stages_inference_with_upsampler(self):
+        device = "cpu"
+
+        components = self.get_dummy_components()
+        pipe = self.pipeline_class(**components)
+        pipe.to(device)
+        pipe.set_progress_bar_config(disable=None)
+
+        inputs = self.get_dummy_inputs(device)
+        inputs["output_type"] = "latent"
+        first_stage_output = pipe(**inputs)
+        video_latent = first_stage_output.frames
+        audio_latent = first_stage_output.audio
+
+        self.assertEqual(video_latent.shape, (1, 4, 3, 16, 16))
+        self.assertEqual(audio_latent.shape, (1, 2, 5, 2))
+        self.assertEqual(audio_latent.shape[1], components["vocoder"].config.out_channels)
+
+        upsampler = self.get_dummy_upsample_component(in_channels=video_latent.shape[1])
+        upsample_pipe = LTX2LatentUpsamplePipeline(vae=pipe.vae, latent_upsampler=upsampler)
+        upscaled_video_latent = upsample_pipe(latents=video_latent, output_type="latent", return_dict=False)[0]
+        self.assertEqual(upscaled_video_latent.shape, (1, 4, 3, 32, 32))
+
+        inputs["latents"] = upscaled_video_latent
+        inputs["audio_latents"] = audio_latent
+        inputs["output_type"] = "pt"
+        second_stage_output = pipe(**inputs)
+        video = second_stage_output.frames
+        audio = second_stage_output.audio
+
+        self.assertEqual(video.shape, (1, 5, 3, 64, 64))
+        self.assertEqual(audio.shape[0], 1)
+        self.assertEqual(audio.shape[1], components["vocoder"].config.out_channels)
+
+        # fmt: off
+        expected_video_slice = torch.tensor(
+            [
+                0.4497, 0.6757, 0.4219, 0.7686, 0.4525, 0.6483, 0.3969, 0.7404, 0.3541, 0.3039, 0.4592, 0.3521, 0.3665, 0.2785, 0.3336, 0.3079
+            ]
+        )
+        expected_audio_slice = torch.tensor(
+            [
+                0.0271, 0.0492, 0.1249, 0.1126, 0.1661, 0.1060, 0.1717, 0.0944, 0.0672, -0.0069, 0.0688, 0.0097, 0.0808, 0.1231, 0.0986, 0.0739
+            ]
+        )
+        # fmt: on
+
+        video = video.flatten()
+        audio = audio.flatten()
+        generated_video_slice = torch.cat([video[:8], video[-8:]])
+        generated_audio_slice = torch.cat([audio[:8], audio[-8:]])
+
+        assert torch.allclose(expected_video_slice, generated_video_slice, atol=1e-4, rtol=1e-4)
+        assert torch.allclose(expected_audio_slice, generated_audio_slice, atol=1e-4, rtol=1e-4)
+
     def test_inference_batch_single_identical(self):
         self._test_inference_batch_single_identical(batch_size=2, expected_max_diff=2e-2)