diff --git a/pkg/machine/applehv/machine.go b/pkg/machine/applehv/machine.go
index 44960e26ca..91feb8e29a 100644
--- a/pkg/machine/applehv/machine.go
+++ b/pkg/machine/applehv/machine.go
@@ -259,7 +259,8 @@ func (m *MacMachine) Init(opts machine.InitOptions) (bool, error) {
 	})
 
 	if len(opts.IgnitionPath) > 0 {
-		return false, builder.BuildWithIgnitionFile(opts.IgnitionPath)
+		err = builder.BuildWithIgnitionFile(opts.IgnitionPath)
+		return false, err
 	}
 
 	if err := builder.GenerateIgnitionConfig(); err != nil {
diff --git a/pkg/machine/e2e/init_test.go b/pkg/machine/e2e/init_test.go
index c6bb379ad8..27b0b3d060 100644
--- a/pkg/machine/e2e/init_test.go
+++ b/pkg/machine/e2e/init_test.go
@@ -313,20 +313,21 @@ var _ = Describe("podman machine init", func() {
 		Expect(err).ToNot(HaveOccurred())
 		Expect(ec).To(Equal(125))
 
-		// Clashing keys - init fails
-		i = new(initMachine)
-		session, err = mb.setName(name).setCmd(i.withImagePath(mb.imagePath)).run()
-		Expect(err).ToNot(HaveOccurred())
-		Expect(session).To(Exit(125))
-
-		// ensure files created by init are cleaned up on init failure
-		_, err = os.Stat(img)
-		Expect(err).To(HaveOccurred())
-		_, err = os.Stat(cfgpth)
-		Expect(err).To(HaveOccurred())
-
 		// WSL does not use ignition
 		if testProvider.VMType() != define.WSLVirt {
+			// Bad ignition path - init fails
+			i = new(initMachine)
+			i.ignitionPath = "/bad/path"
+			session, err = mb.setName(name).setCmd(i.withImagePath(mb.imagePath)).run()
+			Expect(err).ToNot(HaveOccurred())
+			Expect(session).To(Exit(125))
+
+			// ensure files created by init are cleaned up on init failure
+			_, err = os.Stat(img)
+			Expect(err).To(HaveOccurred())
+			_, err = os.Stat(cfgpth)
+			Expect(err).To(HaveOccurred())
+
 			_, err = os.Stat(ign)
 			Expect(err).To(HaveOccurred())
 		}
diff --git a/pkg/machine/hyperv/machine.go b/pkg/machine/hyperv/machine.go
index f2d4c0b3a6..ea8d522144 100644
--- a/pkg/machine/hyperv/machine.go
+++ b/pkg/machine/hyperv/machine.go
@@ -232,7 +232,8 @@ func (m *HyperVMachine) Init(opts machine.InitOptions) (bool, error) {
 	// If the user provides an ignition file, we need to
 	// copy it into the conf dir
 	if len(opts.IgnitionPath) > 0 {
-		return false, builder.BuildWithIgnitionFile(opts.IgnitionPath)
+		err = builder.BuildWithIgnitionFile(opts.IgnitionPath)
+		return false, err
 	}
 	callbackFuncs.Add(m.IgnitionFile.Delete)
 
diff --git a/pkg/machine/qemu/machine.go b/pkg/machine/qemu/machine.go
index f06b02f30c..14ab01d790 100644
--- a/pkg/machine/qemu/machine.go
+++ b/pkg/machine/qemu/machine.go
@@ -205,7 +205,8 @@ func (v *MachineVM) Init(opts machine.InitOptions) (bool, error) {
 	// If the user provides an ignition file, we need to
 	// copy it into the conf dir
 	if len(opts.IgnitionPath) > 0 {
-		return false, builder.BuildWithIgnitionFile(opts.IgnitionPath)
+		err = builder.BuildWithIgnitionFile(opts.IgnitionPath)
+		return false, err
 	}
 
 	if err := builder.GenerateIgnitionConfig(); err != nil {