diff --git a/refs/reftable-backend.c b/refs/reftable-backend.c
index eaa82967ee..2c88bbd448 100644
--- a/refs/reftable-backend.c
+++ b/refs/reftable-backend.c
@@ -781,6 +781,7 @@ static int reftable_be_transaction_prepare(struct ref_store *ref_store,
 				      &head_referent, &head_type);
 	if (ret < 0)
 		goto done;
+	ret = 0;
 
 	for (i = 0; i < transaction->nr; i++) {
 		struct ref_update *u = transaction->updates[i];
diff --git a/t/t0610-reftable-basics.sh b/t/t0610-reftable-basics.sh
index 6a131e40b8..686781192e 100755
--- a/t/t0610-reftable-basics.sh
+++ b/t/t0610-reftable-basics.sh
@@ -328,6 +328,18 @@ test_expect_success 'ref transaction: writes are synced' '
 	EOF
 '
 
+test_expect_success 'ref transaction: empty transaction in empty repo' '
+	test_when_finished "rm -rf repo" &&
+	git init repo &&
+	test_commit -C repo --no-tag A &&
+	git -C repo update-ref -d refs/heads/main &&
+	test-tool -C repo ref-store main delete-refs REF_NO_DEREF msg HEAD &&
+	git -C repo update-ref --stdin <<-EOF
+	prepare
+	commit
+	EOF
+'
+
 test_expect_success 'pack-refs: compacts tables' '
 	test_when_finished "rm -rf repo" &&
 	git init repo &&