diff --git a/CHANGELOG.adoc b/CHANGELOG.adoc
index 4d17f0750..319e63dc8 100644
--- a/CHANGELOG.adoc
+++ b/CHANGELOG.adoc
@@ -9,6 +9,7 @@ and this project adheres to http://semver.org/spec/v2.0.0.html[Semantic Versioni
 == https://github.com/robotframework/RIDE[Unreleased]
 
 === Fixed
+- Fixed disappering Project Explorer tree elements, after editing directory elements (i.e. variable or keyword).
 - Fixed blank Project Explorer panel when docking. Long time existing issue.
 - Fixed bad resizing of File Explorer content when opening Test Suites.
 - Fix selection of items (variables, test names, keywords) from Project Explorer and highlight at Text Editor.
diff --git a/README.adoc b/README.adoc
index d5f1527f0..d43e6bec5 100644
--- a/README.adoc
+++ b/README.adoc
@@ -46,7 +46,7 @@ Likewise, the current version of wxPython, is 4.2.5, but RIDE is known to work w
 
 `pip install -U robotframework-ride`
 
-(3.9 &lt;= python &lt;= 3.14) Install current development version (**2.2.5dev7**) with:
+(3.9 &lt;= python &lt;= 3.14) Install current development version (**2.2.5dev8**) with:
 
 `pip install -U https://github.com/robotframework/RIDE/archive/develop.zip`
 
diff --git a/rtest/testdir/Suite.robot b/rtest/testdir/Suite.robot
index 78d0650e4..debc00e83 100644
--- a/rtest/testdir/Suite.robot
+++ b/rtest/testdir/Suite.robot
@@ -5,7 +5,7 @@ Library           String
 
 *** Test Cases ***
 Test Case 1
-    Some local keyword    with    arguments
+    Some local keyword    with    arguments    # comment
     No Operation
     Some keyword from resource file    2
     Should Be Empty    ${EMPTY}    5
diff --git a/rtest/testdir/__init__.robot b/rtest/testdir/__init__.robot
index 01c63325e..7385616cc 100644
--- a/rtest/testdir/__init__.robot
+++ b/rtest/testdir/__init__.robot
@@ -1,7 +1,6 @@
 *** Settings ***
-Documentation   This is suite directory documentation
-Force Tags      force
+Documentation     This is suite directory documentation
+Force Tags        force
 
 *** Variables ***
-${SCALAR}  1
-
+${SCALAR}         1
diff --git a/rtest/testdir/resources/resu.txt b/rtest/testdir/resources/resu.txt
index cb815b2df..f152a25ac 100644
--- a/rtest/testdir/resources/resu.txt
+++ b/rtest/testdir/resources/resu.txt
@@ -1,7 +1,7 @@
 *** Keywords ***
 Some keyword from resource file
     [Arguments]    ${argument}
-    [Documentation]    This is documentation
+    [Documentation]    This is documentation changed
     [Timeout]    1 second
     No Operation
     Log    Something
diff --git a/src/robotide/application/CHANGELOG.html b/src/robotide/application/CHANGELOG.html
index eceb5e283..6febf0395 100644
--- a/src/robotide/application/CHANGELOG.html
+++ b/src/robotide/application/CHANGELOG.html
@@ -1,6 +1,8 @@
 <?xml version="1.0" encoding="UTF-8"?>
 <!DOCTYPE html PUBLIC "-//W3C//DTD XHTML 1.0 Transitional//EN" "http://www.w3.org/TR/xhtml1/DTD/xhtml1-transitional.dtd"><html xmlns="http://www.w3.org/1999/xhtml" xml:lang="en"><head><meta http-equiv="Content-Type" content="text/html; charset=UTF-8" /><title>Changelog</title><link rel="stylesheet" type="text/css" href="docbook-xsl.css" /><meta name="generator" content="DocBook XSL Stylesheets Vsnapshot" /></head><body><div xml:lang="en" class="article" lang="en"><div class="titlepage"><div><div><h2 class="title"><a id="id1337">_</a>Changelog</h2></div></div><hr /></div><p>All notable changes to this project will be documented in this file.</p><p>The format is based on <a class="ulink" href="http://keepachangelog.com/en/1.0.0/" target="_top">Keep a Changelog</a>
 and this project adheres to <a class="ulink" href="http://semver.org/spec/v2.0.0.html" target="_top">Semantic Versioning</a>.</p><div class="section"><div class="titlepage"><div><div><h2 class="title" style="clear: both"><a id="_ulink_url_https_github_com_robotframework_ride_unreleased_ulink">_</a>1. <a class="ulink" href="https://github.com/robotframework/RIDE" target="_top">Unreleased</a></h2></div></div></div><div class="section"><div class="titlepage"><div><div><h3 class="title"><a id="_fixed">_</a>1.1. Fixed</h3></div></div></div><div class="itemizedlist"><ul class="itemizedlist" style="list-style-type: disc; "><li class="listitem">
+Fixed disappering Project Explorer tree elements, after editing directory elements (i.e. variable or keyword).
+</li><li class="listitem">
 Fixed blank Project Explorer panel when docking. Long time existing issue.
 </li><li class="listitem">
 Fixed bad resizing of File Explorer content when opening Test Suites.
diff --git a/src/robotide/application/releasenotes.py b/src/robotide/application/releasenotes.py
index 0b67cbad5..c10f8caa1 100644
--- a/src/robotide/application/releasenotes.py
+++ b/src/robotide/application/releasenotes.py
@@ -175,6 +175,7 @@ def set_content(self, html_win, content):
 </ul>
 <p><strong>New Features and Fixes Highlights</strong></p>
 <ul class="simple">
+<li>Fixed disappering Project Explorer tree elements, after editing directory elements (i.e. variable or keyword).</li>
 <li>Fixed blank Project Explorer panel when docking. Long time existing issue.</li>
 <li>Fixed bad resizing of File Explorer content when opening Test Suites.</li>
 <li>Improved spaces detection in test suites reader.</li>
@@ -236,7 +237,7 @@ def set_content(self, html_win, content):
 <pre class="literal-block">python -m robotide.postinstall -install</pre>
 <p>or</p>
 <pre class="literal-block">ride_postinstall.py -install</pre>
-<p>RIDE {VERSION} was released on 01/August/2026.</p>
+<p>RIDE {VERSION} was released on 07/August/2026.</p>
 <br/>
 <!-- 
 <h3>Celebrate the bank holiday, 1st December, Restoration of the Independence of Portugal (from Spain in 1640)!!</h3>
diff --git a/src/robotide/ui/treeplugin.py b/src/robotide/ui/treeplugin.py
index edbc455f7..c74b70609 100644
--- a/src/robotide/ui/treeplugin.py
+++ b/src/robotide/ui/treeplugin.py
@@ -35,8 +35,9 @@
                        RideDataFileRemoved, RideDataChangedToDirty, RideDataDirtyCleared, RideVariableRemoved,
                        RideVariableAdded, RideVariableMovedUp, RideVariableMovedDown, RideVariableUpdated,
                        RideOpenResource, RideSuiteAdded, RideSelectResource, RideDataFileSet, RideItemNameChanged,
-                       RideSettingsChanged)
+                       RideSaving, RideSettingsChanged)
 from ..controller.ctrlcommands import MoveTo
+from ..controller.filecontrollers import TestDataDirectoryController
 from ..pluginapi import Plugin
 from ..action import ActionInfo
 from ..widgets import PopupCreator
@@ -74,6 +75,7 @@ def __init__(self, application):
         self.settings = self._app.settings.config_obj['Plugins']['Tree']
         self._parent = None
         self._tree = self.tree
+        self._last_selection_path = []
         """
         self._tree.SetBackgroundColour(Colour(200, 222, 40))
         self._tree.SetOwnBackgroundColour(Colour(200, 222, 40))
@@ -111,6 +113,7 @@ def enable(self):
                                         doc=_('Show Test Suites tree panel'),
                                         position=2))
         self.subscribe(self.on_tree_selection, RideTreeSelection)
+        self.subscribe(self.on_saving, RideSaving)
         self.subscribe(self.reload_tree, RideSettingsChanged)
         # self.save_setting('opened', True)
         # DEBUG: Add toggle checkbox to menu View/Hide Tree
@@ -169,11 +172,11 @@ def disable(self):
     def is_focused(self):
         return self._tree.HasFocus()
 
-    def populate(self, model):
+    def populate(self, model, select_first=True):
         if model:  # DEBUG: Always populate ... and model != self._model:
             self._model = model
         # print(f"DEBUG: Populating model... {self._model}\n\n")
-        self._tree.populate(self._model)
+        self._tree.populate(self._model, select_first=select_first)
 
     def set_editor(self, editor):
         self._tree.set_editor(editor)
@@ -260,9 +263,28 @@ def set_float_docked(self, state: bool):
         self.save_setting('docked', state)  # Docked == True
 
     def on_tree_selection(self, message):
+        # Applying editor changes to a directory can drop nodes from the tree before it
+        # is repopulated, so the selection is remembered here, while it is still valid,
+        # rather than read back in on_saving when it may already be gone.
+        path = self._tree.get_label_path(message.node)
+        if path:
+            self._last_selection_path = path
         if self.is_focused():
             self._tree.tree_node_selected(message.item)
 
+    def on_saving(self, message):
+        if not isinstance(message.datafile, TestDataDirectoryController):
+            return
+        # Saving a directory's __init__.robot invalidates every controller, so the whole
+        # tree has to be rebuilt. The selection is restored by node labels because the
+        # controller objects it pointed at do not survive the rebuild.
+        selection_path = self._last_selection_path or self._tree.get_label_path()
+        # Only let populate() select the first node when there is nothing to restore,
+        # otherwise its selection would land after ours and undo it.
+        wx.CallAfter(self.populate, self._model, not selection_path)
+        if selection_path:
+            wx.CallAfter(self._tree.select_node_by_label_path, selection_path)
+
     def _update_tree(self, event=None):
         __ = event
         # print(f"DEBUG: treeplugin.py TreePlugin _update_tree called model={self._model}")
@@ -520,10 +542,10 @@ def _get_icon_index_for(self, controller):
             return SKIPPED_IMAGE_INDEX
         return ROBOT_IMAGE_INDEX
 
-    def populate(self, model):
+    def populate(self, model, select_first=True):
         self._clear_tree_data()
         self._populate_model(model)
-        self.refresh_view()
+        self.refresh_view(select_first=select_first)
         self.SetFocus()  # Needed for keyboard shortcuts
 
     def _clear_tree_data(self):
@@ -579,7 +601,7 @@ def select_controller_node(self, controller):
     def _suite_added(self, message):
         self.add_datafile(message.parent, message.suite)
 
-    def refresh_view(self):
+    def refresh_view(self, select_first=True):
         self.Show()
         self.Refresh()
         # print(f"DEBUG: Called Tree._refresh_view {self.GetParent().GetClassName()}")
@@ -587,7 +609,8 @@ def refresh_view(self):
             self.Expand(self._resource_root)
         if self.datafile_nodes:
             self._expand_and_render_children(self.datafile_nodes[0])
-            wx.CallAfter(self.SelectItem, self.datafile_nodes[0])
+            if select_first:
+                wx.CallAfter(self.SelectItem, self.datafile_nodes[0])
         self.Update()
         # print(f"DEBUG: Called Tree._refresh_view parent={self.GetParent().GetClassName()} self={self}")
 
@@ -816,6 +839,53 @@ def select_node_by_data(self, controller):
             self.SelectItem(node)
         return node
 
+    def get_label_path(self, node=None):
+        """Returns the labels of ``node``'s ancestors and of the node itself.
+
+        ``node`` defaults to the current selection. The list is ordered from the topmost
+        node down and is empty when there is no such node. It identifies a node without
+        holding on to any controller, so it stays valid across a repopulate. The dirty
+        marker is stripped because a node normally becomes clean between capturing the
+        path and restoring it."""
+        node = node if node is not None else self.GetSelection()
+        path = []
+        while node and node != self.root:
+            path.insert(0, self._undirty_label(self.GetItemText(node)))
+            node = self.GetItemParent(node)
+        return path
+
+    def select_node_by_label_path(self, path):
+        """Selects the node reached by following ``path``, a list of node labels.
+
+        Children are rendered on demand while descending. If the path cannot be
+        followed to its end, the deepest node that did match is selected, so a node
+        that was removed from the data leaves its parent selected."""
+        node = self.root
+        for label in path:
+            if node != self.root:
+                self._expand_and_render_children(node)
+            child = self._find_child_with_label(node, label)
+            if not child:
+                break
+            node = child
+        if node == self.root:
+            return None
+        self.EnsureVisible(node)
+        self.SelectItem(node)
+        return node
+
+    def _find_child_with_label(self, node, label):
+        item, cookie = self.GetFirstChild(node)
+        while item:
+            if utils.eq(self._undirty_label(self.GetItemText(item)), label):
+                return item
+            item, cookie = self.GetNextChild(node, cookie)
+        return None
+
+    @staticmethod
+    def _undirty_label(text):
+        return text[1:] if text.startswith('*') else text
+
     def select_user_keyword_node(self, uk):
         parent_node = self._get_datafile_node(uk.parent.parent)
         if not parent_node:
diff --git a/src/robotide/version.py b/src/robotide/version.py
index 424ad307a..81e814076 100644
--- a/src/robotide/version.py
+++ b/src/robotide/version.py
@@ -15,4 +15,4 @@
 #
 # Automatically generated by `tasks.py`.
 
-VERSION = 'v2.2.5dev7'
+VERSION = 'v2.2.5dev8'
diff --git a/utest/ui/test_tree_restore_selection.py b/utest/ui/test_tree_restore_selection.py
new file mode 100644
index 000000000..120364b3f
--- /dev/null
+++ b/utest/ui/test_tree_restore_selection.py
@@ -0,0 +1,95 @@
+#  Copyright 2008-2015 Nokia Networks
+#  Copyright 2016-     Robot Framework Foundation
+#
+#  Licensed under the Apache License, Version 2.0 (the "License");
+#  you may not use this file except in compliance with the License.
+#  You may obtain a copy of the License at
+#
+#      http://www.apache.org/licenses/LICENSE-2.0
+#
+#  Unless required by applicable law or agreed to in writing, software
+#  distributed under the License is distributed on an "AS IS" BASIS,
+#  WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+#  See the License for the specific language governing permissions and
+#  limitations under the License.
+
+from utest.ui.test_tree import _BaseSuiteTreeTest
+
+
+class TestRestoringSelectionAcrossPopulate(_BaseSuiteTreeTest):
+    """Saving a directory __init__.robot rebuilds the tree, dropping every controller.
+
+    TreePlugin.on_saving restores the selection through the node labels only, so these
+    tests exercise that round trip."""
+
+    def test_label_path_of_nested_node(self):
+        self._select_node('Sub Suite 1 Fake Test 2')
+        assert self._tree.get_label_path() == \
+               ['Top Suite', 'Sub Suite 1', 'Sub Suite 1 Fake Test 2']
+
+    def test_label_path_of_an_explicitly_given_node(self):
+        node = self._get_node('Sub Suite 0 Fake UK 1')
+        assert self._tree.get_label_path(node) == \
+               ['Top Suite', 'Sub Suite 0', 'Sub Suite 0 Fake UK 1']
+
+    def test_label_path_is_empty_without_selection(self):
+        self._tree.UnselectAll()
+        assert self._tree.get_label_path() == []
+
+    def test_selection_survives_repopulate(self):
+        self._select_node('Sub Suite 1 Fake Test 2')
+        path = self._tree.get_label_path()
+        self._tree.populate(self._model, select_first=False)
+        assert self._get_selected_label() != 'Sub Suite 1 Fake Test 2'
+        self._tree.select_node_by_label_path(path)
+        assert self._get_selected_label() == 'Sub Suite 1 Fake Test 2'
+
+    def test_keyword_selection_survives_repopulate(self):
+        self._select_node('Sub Suite 2 Fake UK 3')
+        path = self._tree.get_label_path()
+        self._tree.populate(self._model, select_first=False)
+        self._tree.select_node_by_label_path(path)
+        assert self._get_selected_label() == 'Sub Suite 2 Fake UK 3'
+
+    def test_restores_children_that_were_not_rendered_yet(self):
+        """populate() only renders the children of datafile_nodes[0], so the target
+        node does not exist as a tree item until the path walk expands it."""
+        self._select_node('Sub Suite 1 Fake Test 2')
+        path = self._tree.get_label_path()
+        self._tree.populate(self._model, select_first=False)
+        assert self._tree.controller.find_node_with_label(
+            self._tree.root, 'Sub Suite 1 Fake Test 2') is None
+        self._tree.select_node_by_label_path(path)
+        assert self._get_selected_label() == 'Sub Suite 1 Fake Test 2'
+
+    def test_label_path_ignores_the_dirty_marker(self):
+        self._select_node('Sub Suite 1 Fake Test 2')
+        self._tree.controller.mark_node_dirty(self._get_node('Top Suite'))
+        assert self._tree.get_label_path() == \
+               ['Top Suite', 'Sub Suite 1', 'Sub Suite 1 Fake Test 2']
+
+    def test_selection_survives_repopulate_of_a_dirty_datafile(self):
+        """The node is dirty when the path is captured and clean once saved and
+        repopulated, so neither end may depend on the '*' marker."""
+        self._select_node('Sub Suite 1 Fake Test 2')
+        self._tree.controller.mark_node_dirty(self._get_node('Top Suite'))
+        path = self._tree.get_label_path()
+        self._tree.populate(self._model, select_first=False)
+        self._tree.select_node_by_label_path(path)
+        assert self._get_selected_label() == 'Sub Suite 1 Fake Test 2'
+
+    def test_restores_a_node_that_is_still_dirty(self):
+        self._select_node('Sub Suite 1 Fake Test 2')
+        path = self._tree.get_label_path()
+        self._tree.populate(self._model, select_first=False)
+        self._tree.controller.mark_node_dirty(self._get_node('Top Suite'))
+        self._tree.select_node_by_label_path(path)
+        assert self._get_selected_label() == 'Sub Suite 1 Fake Test 2'
+
+    def test_falls_back_to_deepest_match_when_node_is_gone(self):
+        path = ['Top Suite', 'Sub Suite 1', 'Removed Test']
+        self._tree.select_node_by_label_path(path)
+        assert self._get_selected_label() == 'Sub Suite 1'
+
+    def test_returns_none_when_nothing_matches(self):
+        assert self._tree.select_node_by_label_path(['No Such Suite']) is None
