diff --git a/CHANGELOG.md b/CHANGELOG.md
index ff2d904f..4976627f 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -1,5 +1,11 @@
 # Changelog
 
+## Unreleased
+
+### 🐛 Bug Fixes
+
+- Preserve literal HTML image attribute values containing quotes, hash signs, and newlines when using the `html_image` extension.
+
 ## 5.1.0 - 2026-05-13
 
 ### ✨ New Features
diff --git a/myst_parser/mdit_to_docutils/html_to_nodes.py b/myst_parser/mdit_to_docutils/html_to_nodes.py
index d8d07b09..6ff14481 100644
--- a/myst_parser/mdit_to_docutils/html_to_nodes.py
+++ b/myst_parser/mdit_to_docutils/html_to_nodes.py
@@ -114,14 +114,18 @@ def _html_ast_to_nodes(
                         "<img> missing 'src' attribute", line=line_number
                     )
                 ]
-            content = "\n".join(
-                f":{k}: {v}"
+            image_options = {
+                k: v.strip() if k in {"width", "height"} else v
                 for k, v in sorted(child.attrs.items())
                 if k in OPTION_KEYS_IMAGE
-            )
+            }
             nodes_list.extend(
                 renderer.run_directive(
-                    "image", child.attrs["src"], content, line_number
+                    "image",
+                    child.attrs["src"],
+                    "",
+                    line_number,
+                    additional_options=image_options,
                 )
             )
 
diff --git a/tests/test_html/test_html_to_nodes.py b/tests/test_html/test_html_to_nodes.py
index d54f0f1f..f8ec56c4 100644
--- a/tests/test_html/test_html_to_nodes.py
+++ b/tests/test_html/test_html_to_nodes.py
@@ -1,19 +1,32 @@
+from html import escape
+from io import StringIO
 from pathlib import Path
 from unittest.mock import Mock
 
 import pytest
 from docutils import nodes
+from docutils.core import publish_doctree
 
 from myst_parser.config.main import MdParserConfig
 from myst_parser.mdit_to_docutils.html_to_nodes import html_to_nodes
+from myst_parser.parsers.docutils_ import Parser
 
 FIXTURE_PATH = Path(__file__).parent
 
 
 @pytest.fixture()
 def mock_renderer():
-    def _run_directive(name: str, first_line: str, content: str, position: int):
+    def _run_directive(
+        name: str,
+        first_line: str,
+        content: str,
+        position: int,
+        additional_options: dict[str, str] | None = None,
+    ) -> list[nodes.Element]:
         node = nodes.Element(name=name, first=first_line, position=position)
+        if additional_options:
+            # Display options in the same format as the content-based fixtures.
+            content = "\n".join(f":{k}: {v}" for k, v in additional_options.items())
         node += nodes.Text(content)
         return [node]
 
@@ -33,3 +46,74 @@ def test_html_to_nodes(file_params, mock_renderer, normalize_doctree_xml):
     output = nodes.container()
     output += html_to_nodes(file_params.content, line_number=0, renderer=mock_renderer)
     file_params.assert_expected(normalize_doctree_xml(output.pformat()), rstrip=True)
+
+
+@pytest.mark.parametrize(
+    "alt",
+    ["ordinary text", "A # sign", '"quoted" text', "First\nsecond", "  padded text  "],
+)
+@pytest.mark.parametrize("inline", [False, True])
+def test_html_image_literal_alt(alt: str, inline: bool) -> None:
+    """HTML attributes must not be interpreted as directive option syntax."""
+    image = f'<img src="example.png" alt="{escape(alt, quote=True)}">'
+    source = f"before {image} after\n" if inline else f"{image}\n"
+    warnings = StringIO()
+    document = publish_doctree(
+        source,
+        parser=Parser(),
+        settings_overrides={
+            "myst_enable_extensions": ["html_image"],
+            "warning_stream": warnings,
+        },
+    )
+    images = list(document.findall(nodes.image))
+    assert len(images) == 1
+    assert images[0]["alt"] == alt
+    assert warnings.getvalue() == ""
+
+
+@pytest.mark.parametrize(
+    ("width", "height"),
+    [(" 200 ", " 100 "), ("\t200px\t", "\t100px\t"), (" 50% ", " 2em ")],
+)
+@pytest.mark.parametrize("inline", [False, True])
+def test_html_image_padded_dimensions(width: str, height: str, inline: bool) -> None:
+    """Dimension values retain the whitespace normalization of directive options."""
+    image = f"<img src='x.png' width='{width}' height='{height}'>"
+    source = f"before {image} after\n" if inline else f"{image}\n"
+    warnings = StringIO()
+    document = publish_doctree(
+        source,
+        parser=Parser(),
+        settings_overrides={
+            "myst_enable_extensions": ["html_image"],
+            "warning_stream": warnings,
+        },
+    )
+    images = list(document.findall(nodes.image))
+    assert len(images) == 1
+    assert warnings.getvalue() == ""
+    assert images[0]["width"] == width.strip()
+    assert images[0]["height"] == height.strip()
+
+
+@pytest.mark.parametrize("dimension", ["width", "height"])
+@pytest.mark.parametrize("inline", [False, True])
+def test_html_image_invalid_dimension(dimension: str, inline: bool) -> None:
+    """Normalizing whitespace must not bypass dimension validation."""
+    image = f"<img src='x.png' {dimension}=' invalid '>"
+    source = f"before {image} after\n" if inline else f"{image}\n"
+    warnings = StringIO()
+    document = publish_doctree(
+        source,
+        parser=Parser(),
+        settings_overrides={
+            "myst_enable_extensions": ["html_image"],
+            "warning_stream": warnings,
+        },
+    )
+    images = list(document.findall(nodes.image))
+    assert len(images) == 1
+    assert dimension not in images[0]
+    assert f"Invalid option value for '{dimension}'" in warnings.getvalue()
+    assert "[myst.directive_option]" in warnings.getvalue()