diff --git a/changes.txt b/changes.txt
index 10027554..66e641bf 100644
--- a/changes.txt
+++ b/changes.txt
@@ -1,6 +1,10 @@
 --------------------------
 Changes in 1.9 (not yet released)
 
+- Bugfix: SMaterialLayer::operator!= no longer returns true when comparing a layer without texture matrix with one with a set identity texture matrix. Those are the same.
+- SMaterialLayer no longer releases allocated texture memory before destructor unless explicitly requested.
+  This can avoid constantly allocation/releasing memory in the active driver material when setting materials.
+  Note that it does not copy texture memory when it's unused. This is still optimized.
 - Add IMeshSceneNode::setNodeRegistration to allow registering MeshSceneNodes to the SceneManager per buffer instead of per node
 - Add SMaterialLayer::hasSetTextureMatrix and SMaterialLayer::resetTextureMatrix
 - Add IShaderConstantSetCallBack::OnCreate to allow earlier access to IMaterialRendererServices
diff --git a/include/SMaterialLayer.h b/include/SMaterialLayer.h
index 48698cd5..c8006d01 100644
--- a/include/SMaterialLayer.h
+++ b/include/SMaterialLayer.h
@@ -51,7 +51,8 @@ namespace video
 	public:
 		//! Default constructor
 		SMaterialLayer() : Texture(0), TextureWrapU(ETC_REPEAT), TextureWrapV(ETC_REPEAT), TextureWrapW(ETC_REPEAT),
-			BilinearFilter(true), TrilinearFilter(false), AnisotropicFilter(0), LODBias(0), TextureMatrix(0)
+			BilinearFilter(true), TrilinearFilter(false), AnisotropicFilter(0), LODBias(0), 
+			TextureMatrix(0), TextureMatrixUsed(false)
 		{
 		}
 
@@ -84,26 +85,22 @@ namespace video
 				return *this;
 
 			Texture = other.Texture;
-			if (TextureMatrix)
+			if (other.TextureMatrixUsed)
 			{
-				if (other.TextureMatrix)
-					*TextureMatrix = *other.TextureMatrix;
-				else
+				if (TextureMatrix)
 				{
-					MatrixAllocator.destruct(TextureMatrix);
-					MatrixAllocator.deallocate(TextureMatrix);
-					TextureMatrix = 0;
+					*TextureMatrix = *other.TextureMatrix;
 				}
-			}
-			else
-			{
-				if (other.TextureMatrix)
+				else
 				{
 					TextureMatrix = MatrixAllocator.allocate(1);
 					MatrixAllocator.construct(TextureMatrix,*other.TextureMatrix);
 				}
-				else
-					TextureMatrix = 0;
+				TextureMatrixUsed = true;
+			}
+			else
+			{
+				TextureMatrixUsed = false;
 			}
 			TextureWrapU = other.TextureWrapU;
 			TextureWrapV = other.TextureWrapV;
@@ -124,6 +121,12 @@ namespace video
 			{
 				TextureMatrix = MatrixAllocator.allocate(1);
 				MatrixAllocator.construct(TextureMatrix,core::IdentityMatrix);
+				TextureMatrixUsed = true;
+			}
+			else if ( !TextureMatrixUsed )
+			{
+				*TextureMatrix = core::IdentityMatrix;
+				TextureMatrixUsed = true;
 			}
 			return *TextureMatrix;
 		}
@@ -132,7 +135,7 @@ namespace video
 		/** \return Texture matrix of this layer. */
 		const core::matrix4& getTextureMatrix() const
 		{
-			if (TextureMatrix)
+			if (TextureMatrixUsed)
 				return *TextureMatrix;
 			else
 				return core::IdentityMatrix;
@@ -151,25 +154,27 @@ namespace video
 			}
 			else
 				*TextureMatrix = mat;
+			TextureMatrixUsed = true;
 		}
 
 		//! Check if we have set a custom texture matrix
 		//! Note that otherwise we get an IdentityMatrix as default
 		inline bool hasSetTextureMatrix() const
 		{
-			return TextureMatrix != 0;
+			return TextureMatrixUsed;
 		}
 
 		//! Reset texture matrix to identity matrix
-		//! Releases memory, which is expensive, but ver rarely useful for optimizations
-		void resetTextureMatrix()
+		/** \param releaseMemory Releases also texture memory. Otherwise done in destructor */
+		void resetTextureMatrix(bool releaseMemory=true)
 		{
-			if ( TextureMatrix )
+			if ( TextureMatrix && releaseMemory)
 			{
 				MatrixAllocator.destruct(TextureMatrix);
 				MatrixAllocator.deallocate(TextureMatrix);
 				TextureMatrix = 0;
 			}
+			TextureMatrixUsed = false;
 		}
 
 		//! Inequality operator
@@ -189,8 +194,11 @@ namespace video
 			if (different)
 				return true;
 			else
-				different |= (TextureMatrix != b.TextureMatrix) &&
-					(!TextureMatrix || !b.TextureMatrix || (*TextureMatrix != *(b.TextureMatrix)));
+			{
+				different = (TextureMatrixUsed && b.TextureMatrixUsed && (*TextureMatrix != *b.TextureMatrix))
+				         || (TextureMatrixUsed && !b.TextureMatrixUsed && (*TextureMatrix != core::IdentityMatrix))
+				         || (!TextureMatrixUsed && b.TextureMatrixUsed && (core::IdentityMatrix != *b.TextureMatrix));
+			}
 			return different;
 		}
 
@@ -241,6 +249,7 @@ namespace video
 		/** Do not access this element directly as the internal
 		resource management has to cope with Null pointers etc. */
 		core::matrix4* TextureMatrix;
+		bool TextureMatrixUsed;	// TextureMatrix memory stays until destructor even when unused to avoid unnecessary allocation/de-allocations
 	};
 
 } // end namespace video
diff --git a/tests/material.cpp b/tests/material.cpp
index 2a6dc1ae..d5b7e3bf 100644
--- a/tests/material.cpp
+++ b/tests/material.cpp
@@ -71,9 +71,41 @@ static bool polygonOffset(video::E_DRIVER_TYPE type)
     return result;
 }
 
+static bool testSMaterial()
+{
+	irr::video::SMaterial a;
+	irr::video::SMaterial b;
+
+	// Same by default?
+	if ( !(a == b) )
+		return false;
+	if ( a != b )
+		return false;
+
+	// getting (creating) one texture matrix shouldn't change things
+	b.TextureLayer[0].getTextureMatrix();
+	if ( a != b )
+		return false;
+
+	// no longer same now
+	b.TextureLayer[0].getTextureMatrix().setTextureScale(5.f, 0.5f);
+	if ( a == b )
+		return false;
+
+	return true;
+}
+
 bool material()
 {
 	bool result = true;
+
 	TestWithAllDrivers(polygonOffset);
+
+	if ( !testSMaterial() )
+	{
+		logTestString("testSMaterial failed\n\n");
+		result = false;
+	}
+
 	return result;
 }
diff --git a/tests/tests-last-passed-at.txt b/tests/tests-last-passed-at.txt
index f7f59afa..a9989971 100644
--- a/tests/tests-last-passed-at.txt
+++ b/tests/tests-last-passed-at.txt
@@ -1,4 +1,4 @@
 Tests finished. 72 tests of 72 passed.
 Compiled as DEBUG
-Test suite pass at GMT Fri May 05 18:39:44 2023
+Test suite pass at GMT Sun May 07 14:26:39 2023