diff --git a/.changeset/kind-pants-march.md b/.changeset/kind-pants-march.md
new file mode 100644
index 00000000000..bcfe017c455
--- /dev/null
+++ b/.changeset/kind-pants-march.md
@@ -0,0 +1,5 @@
+---
+'@primer/react': patch
+---
+
+Update NavList.Group to render divider when `sx` is provided
diff --git a/packages/react/src/NavList/NavList.tsx b/packages/react/src/NavList/NavList.tsx
index 360558fded8..25d95737b83 100644
--- a/packages/react/src/NavList/NavList.tsx
+++ b/packages/react/src/NavList/NavList.tsx
@@ -285,20 +285,11 @@ export type NavListGroupProps = React.HTMLAttributes<HTMLLIElement> & {
   title?: string
 } & SxProp
 
-const defaultSx = {}
-const Group: React.FC<NavListGroupProps> = ({title, children, sx: sxProp = defaultSx, ...props}) => {
-  if (sxProp !== defaultSx) {
-    return (
-      <Box sx={sxProp} as="li" data-component="ActionList.Group">
-        {title ? <ActionList.GroupHeading>{title}</ActionList.GroupHeading> : null}
-        {children}
-      </Box>
-    )
-  }
+function Group({title, children, sx, ...rest}: NavListGroupProps) {
   return (
     <>
       <ActionList.Divider />
-      <ActionList.Group {...props}>
+      <ActionList.Group {...rest} sx={sx}>
         {/* Setting up the default value for the heading level. TODO: API update to give flexibility to NavList.Group title's heading level */}
         {title ? (
           <ActionList.GroupHeading as="h3" data-component="ActionList.GroupHeading">
@@ -310,6 +301,7 @@ const Group: React.FC<NavListGroupProps> = ({title, children, sx: sxProp = defau
     </>
   )
 }
+
 // ----------------------------------------------------------------------------
 // NavList.GroupExpand