Cancelling this 2023.2 tech release issue since the support for this release has come to end of life. Cancelling this 2023.2 port case does not affect any LTS or Unity 6 Beta/Preview that remain open.
Reproduction steps:
1. Open the attached “BugRepro” project
2. Generate textures (GeneratePng > Perform)
3. In the Project window, observe the two generated textures Assets ending with “_case a” and “_case b“
Expected result: Both textures have their corresponding sprites generated
Actual result: “_case b” has its corresponding sprite generated, but “_case a“ sprite has not been generated and a “Sprites can not be generated from textures with NPOT scaling” warning has been logged in the Console