diff --git a/addons/xterm-addon-search/src/SearchAddon.ts b/addons/xterm-addon-search/src/SearchAddon.ts
index 0f356e14..1c816939 100644
--- a/addons/xterm-addon-search/src/SearchAddon.ts
+++ b/addons/xterm-addon-search/src/SearchAddon.ts
@@ -134,7 +134,7 @@ export class SearchAddon implements ITerminalAddon {
     }
     this._lastSearchOptions = searchOptions;
     if (searchOptions?.decorations) {
-      if (this._resultIndex !== undefined || this._cachedSearchTerm && term !== this._cachedSearchTerm) {
+      if (this._resultIndex !== undefined || this._cachedSearchTerm === undefined || term !== this._cachedSearchTerm) {
         this._highlightAllMatches(term, searchOptions);
       }
     }
@@ -288,7 +288,9 @@ export class SearchAddon implements ITerminalAddon {
     }
 
     if (this._searchResults) {
-      if (this._resultIndex === undefined) {
+      if (this._searchResults.size === 0) {
+        this._resultIndex = -1;
+      } else if (this._resultIndex === undefined) {
         this._resultIndex = 0;
       } else {
         this._resultIndex++;
@@ -312,8 +314,10 @@ export class SearchAddon implements ITerminalAddon {
       throw new Error('Cannot use addon until it has been loaded');
     }
     this._lastSearchOptions = searchOptions;
-    if (searchOptions?.decorations && (this._resultIndex !== undefined || term !== this._cachedSearchTerm)) {
-      this._highlightAllMatches(term, searchOptions);
+    if (searchOptions?.decorations) {
+      if (this._resultIndex !== undefined || this._cachedSearchTerm === undefined || term !== this._cachedSearchTerm) {
+        this._highlightAllMatches(term, searchOptions);
+      }
     }
     return this._fireResults(term, this._findPreviousAndSelect(term, searchOptions), searchOptions);
   }
@@ -408,12 +412,14 @@ export class SearchAddon implements ITerminalAddon {
     }
 
     if (this._searchResults) {
-      if (this._resultIndex === undefined || this._resultIndex < 0) {
-        this._resultIndex = this._searchResults?.size - 1;
+      if (this._searchResults.size === 0) {
+        this._resultIndex = -1;
+      } else if (this._resultIndex === undefined || this._resultIndex < 0) {
+        this._resultIndex = this._searchResults.size - 1;
       } else {
         this._resultIndex--;
         if (this._resultIndex === -1) {
-          this._resultIndex = this._searchResults?.size - 1;
+          this._resultIndex = this._searchResults.size - 1;
         }
       }
     }
diff --git a/addons/xterm-addon-search/test/SearchAddon.api.ts b/addons/xterm-addon-search/test/SearchAddon.api.ts
index 7cb15c5d..e665f54e 100644
--- a/addons/xterm-addon-search/test/SearchAddon.api.ts
+++ b/addons/xterm-addon-search/test/SearchAddon.api.ts
@@ -6,7 +6,7 @@
 import { assert } from 'chai';
 import { readFile } from 'fs';
 import { resolve } from 'path';
-import { openTerminal, writeSync, launchBrowser } from '../../../out-test/api/TestUtils';
+import { openTerminal, writeSync, launchBrowser, timeout } from '../../../out-test/api/TestUtils';
 import { Browser, Page } from 'playwright';
 
 const APP = 'http://127.0.0.1:3001/test';
@@ -23,8 +23,6 @@ describe('Search Tests', function(): void {
     await page.setViewportSize({ width, height });
     await page.goto(APP);
     await openTerminal(page);
-    await page.evaluate(`window.search = new SearchAddon();`);
-    await page.evaluate(`window.term.loadAddon(window.search);`);
   });
 
   after(() => {
@@ -32,7 +30,12 @@ describe('Search Tests', function(): void {
   });
 
   beforeEach(async () => {
-    await page.evaluate(`window.term.reset()`);
+    await page.evaluate(`
+      window.term.reset()
+      window.search?.dispose();
+      window.search = new SearchAddon();
+      window.term.loadAddon(window.search);
+    `);
   });
 
   it('Simple Search', async () => {
@@ -120,6 +123,176 @@ describe('Search Tests', function(): void {
     });
   });
 
+  describe('onDidChangeResults', async () => {
+    describe('findNext', () => {
+      it('should not fire unless the decorations option is set', async () => {
+        await page.evaluate(`
+          window.calls = [];
+          window.search.onDidChangeResults(e => window.calls.push(e));
+        `);
+        await writeSync(page, 'abc');
+        assert.strictEqual(await page.evaluate(`window.search.findNext('a')`), true);
+        assert.strictEqual(await page.evaluate('window.calls.length'), 0);
+        assert.strictEqual(await page.evaluate(`window.search.findNext('b', { decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.strictEqual(await page.evaluate('window.calls.length'), 1);
+      });
+      it('should fire with correct event values', async () => {
+        await page.evaluate(`
+          window.calls = [];
+          window.search.onDidChangeResults(e => window.calls.push(e));
+        `);
+        await writeSync(page, 'abc bc c');
+        assert.strictEqual(await page.evaluate(`window.search.findNext('a', { decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 1, resultIndex: 0 }
+        ]);
+        assert.strictEqual(await page.evaluate(`window.search.findNext('b', { decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 1, resultIndex: 0 },
+          { resultCount: 2, resultIndex: 0 }
+        ]);
+        assert.strictEqual(await page.evaluate(`window.search.findNext('d', { decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), false);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 1, resultIndex: 0 },
+          { resultCount: 2, resultIndex: 0 },
+          { resultCount: -1, resultIndex: -1 }
+        ]);
+        assert.strictEqual(await page.evaluate(`window.search.findNext('c', { decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.strictEqual(await page.evaluate(`window.search.findNext('c', { decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.strictEqual(await page.evaluate(`window.search.findNext('c', { decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 1, resultIndex: 0 },
+          { resultCount: 2, resultIndex: 0 },
+          { resultCount: -1, resultIndex: -1 },
+          { resultCount: 3, resultIndex: 0 },
+          { resultCount: 3, resultIndex: 1 },
+          { resultCount: 3, resultIndex: 2 }
+        ]);
+      });
+      it('should fire with correct event values (incremental)', async () => {
+        await page.evaluate(`
+          window.calls = [];
+          window.search.onDidChangeResults(e => window.calls.push(e));
+        `);
+        await writeSync(page, 'abc aabc');
+        assert.deepStrictEqual(await page.evaluate(`window.search.findNext('a', { incremental: true, decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 3, resultIndex: 0 }
+        ]);
+        assert.deepStrictEqual(await page.evaluate(`window.search.findNext('ab', { incremental: true, decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 3, resultIndex: 0 },
+          { resultCount: 2, resultIndex: 0 }
+        ]);
+        assert.deepStrictEqual(await page.evaluate(`window.search.findNext('abc', { incremental: true, decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 3, resultIndex: 0 },
+          { resultCount: 2, resultIndex: 0 },
+          { resultCount: 2, resultIndex: 0 }
+        ]);
+        assert.deepStrictEqual(await page.evaluate(`window.search.findNext('abc', { incremental: true, decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 3, resultIndex: 0 },
+          { resultCount: 2, resultIndex: 0 },
+          { resultCount: 2, resultIndex: 0 },
+          { resultCount: 2, resultIndex: 1 }
+        ]);
+        assert.deepStrictEqual(await page.evaluate(`window.search.findNext('abcd', { incremental: true, decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), false);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 3, resultIndex: 0 },
+          { resultCount: 2, resultIndex: 0 },
+          { resultCount: 2, resultIndex: 0 },
+          { resultCount: 2, resultIndex: 1 },
+          { resultCount: -1, resultIndex: -1 }
+        ]);
+      });
+    });
+    describe('findPrevious', () => {
+      it('should not fire unless the decorations option is set', async () => {
+        await page.evaluate(`
+          window.calls = [];
+          window.search.onDidChangeResults(e => window.calls.push(e));
+        `);
+        await writeSync(page, 'abc');
+        assert.strictEqual(await page.evaluate(`window.search.findPrevious('a')`), true);
+        assert.strictEqual(await page.evaluate('window.calls.length'), 0);
+        assert.strictEqual(await page.evaluate(`window.search.findPrevious('b', { decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.strictEqual(await page.evaluate('window.calls.length'), 1);
+      });
+      it('should fire with correct event values', async () => {
+        await page.evaluate(`
+          window.calls = [];
+          window.search.onDidChangeResults(e => window.calls.push(e));
+        `);
+        await writeSync(page, 'abc bc c');
+        assert.strictEqual(await page.evaluate(`window.search.findPrevious('a', { decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 1, resultIndex: 0 }
+        ]);
+        assert.strictEqual(await page.evaluate(`window.search.findPrevious('b', { decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 1, resultIndex: 0 },
+          { resultCount: 2, resultIndex: 1 }
+        ]);
+        await timeout(2000);
+        assert.strictEqual(await page.evaluate(`debugger; window.search.findPrevious('d', { decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), false);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 1, resultIndex: 0 },
+          { resultCount: 2, resultIndex: 1 },
+          { resultCount: -1, resultIndex: -1 }
+        ]);
+        assert.strictEqual(await page.evaluate(`window.search.findPrevious('c', { decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.strictEqual(await page.evaluate(`window.search.findPrevious('c', { decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.strictEqual(await page.evaluate(`window.search.findPrevious('c', { decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 1, resultIndex: 0 },
+          { resultCount: 2, resultIndex: 1 },
+          { resultCount: -1, resultIndex: -1 },
+          { resultCount: 3, resultIndex: 2 },
+          { resultCount: 3, resultIndex: 1 },
+          { resultCount: 3, resultIndex: 0 }
+        ]);
+      });
+      it('should fire with correct event values (incremental)', async () => {
+        await page.evaluate(`
+          window.calls = [];
+          window.search.onDidChangeResults(e => window.calls.push(e));
+        `);
+        await writeSync(page, 'abc aabc');
+        assert.deepStrictEqual(await page.evaluate(`window.search.findPrevious('a', { incremental: true, decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 3, resultIndex: 2 }
+        ]);
+        assert.deepStrictEqual(await page.evaluate(`window.search.findPrevious('ab', { incremental: true, decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 3, resultIndex: 2 },
+          { resultCount: 2, resultIndex: 1 }
+        ]);
+        assert.deepStrictEqual(await page.evaluate(`window.search.findPrevious('abc', { incremental: true, decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 3, resultIndex: 2 },
+          { resultCount: 2, resultIndex: 1 },
+          { resultCount: 2, resultIndex: 1 }
+        ]);
+        assert.deepStrictEqual(await page.evaluate(`window.search.findPrevious('abc', { incremental: true, decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), true);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 3, resultIndex: 2 },
+          { resultCount: 2, resultIndex: 1 },
+          { resultCount: 2, resultIndex: 1 },
+          { resultCount: 2, resultIndex: 0 }
+        ]);
+        assert.deepStrictEqual(await page.evaluate(`window.search.findPrevious('abcd', { incremental: true, decorations: { activeMatchColorOverviewRuler: '#ff0000' } })`), false);
+        assert.deepStrictEqual(await page.evaluate('window.calls'), [
+          { resultCount: 3, resultIndex: 2 },
+          { resultCount: 2, resultIndex: 1 },
+          { resultCount: 2, resultIndex: 1 },
+          { resultCount: 2, resultIndex: 0 },
+          { resultCount: -1, resultIndex: -1 }
+        ]);
+      });
+    });
+  });
+
   describe('Regression tests', () => {
     describe('#2444 wrapped line content not being found', () => {
       let fixture: string;