diff --git a/app/services/whatsapp/incoming_message_base_service.rb b/app/services/whatsapp/incoming_message_base_service.rb
index 94ad5c7d1..0aed8dba0 100644
--- a/app/services/whatsapp/incoming_message_base_service.rb
+++ b/app/services/whatsapp/incoming_message_base_service.rb
@@ -92,6 +92,9 @@ class Whatsapp::IncomingMessageBaseService
 
     @contact_inbox = contact_inbox
     @contact = contact_inbox.contact
+
+    # Update existing contact name if ProfileName is available and current name is just phone number
+    update_contact_with_profile_name(contact_params)
   end
 
   def set_conversation
@@ -171,4 +174,21 @@ class Whatsapp::IncomingMessageBaseService
       )
     end
   end
+
+  def update_contact_with_profile_name(contact_params)
+    profile_name = contact_params.dig(:profile, :name)
+    return if profile_name.blank?
+    return if @contact.name == profile_name
+
+    # Only update if current name exactly matches the phone number or formatted phone number
+    return unless contact_name_matches_phone_number?
+
+    @contact.update!(name: profile_name)
+  end
+
+  def contact_name_matches_phone_number?
+    phone_number = "+#{@processed_params[:messages].first[:from]}"
+    formatted_phone_number = TelephoneNumber.parse(phone_number).international_number
+    @contact.name == phone_number || @contact.name == formatted_phone_number
+  end
 end
diff --git a/app/services/whatsapp/oneoff_campaign_service.rb b/app/services/whatsapp/oneoff_campaign_service.rb
index 47a971f41..de2713ac0 100644
--- a/app/services/whatsapp/oneoff_campaign_service.rb
+++ b/app/services/whatsapp/oneoff_campaign_service.rb
@@ -84,7 +84,7 @@ class Whatsapp::OneoffCampaignService
                             namespace: namespace,
                             lang_code: lang_code,
                             parameters: processed_parameters
-                          })
+                          }, nil)
 
   rescue StandardError => e
     Rails.logger.error "Failed to send WhatsApp template message to #{to}: #{e.message}"
diff --git a/app/services/whatsapp/providers/base_service.rb b/app/services/whatsapp/providers/base_service.rb
index 97665f7ef..9fd1f6267 100644
--- a/app/services/whatsapp/providers/base_service.rb
+++ b/app/services/whatsapp/providers/base_service.rb
@@ -15,7 +15,7 @@ class Whatsapp::Providers::BaseService
     raise 'Overwrite this method in child class'
   end
 
-  def send_template(_phone_number, _template_info)
+  def send_template(_phone_number, _template_info, _message)
     raise 'Overwrite this method in child class'
   end
 
@@ -31,27 +31,27 @@ class Whatsapp::Providers::BaseService
     raise 'Overwrite this method in child class'
   end
 
-  def process_response(response)
+  def process_response(response, message)
     parsed_response = response.parsed_response
     if response.success? && parsed_response['error'].blank?
       parsed_response['messages'].first['id']
     else
-      handle_error(response)
+      handle_error(response, message)
       nil
     end
   end
 
-  def handle_error(response)
+  def handle_error(response, message)
     Rails.logger.error response.body
-    return if @message.blank?
+    return if message.blank?
 
     # https://developers.facebook.com/docs/whatsapp/cloud-api/support/error-codes/#sample-response
     error_message = error_message(response)
     return if error_message.blank?
 
-    @message.external_error = error_message
-    @message.status = :failed
-    @message.save!
+    message.external_error = error_message
+    message.status = :failed
+    message.save!
   end
 
   def create_buttons(items)
diff --git a/app/services/whatsapp/providers/whatsapp_360_dialog_service.rb b/app/services/whatsapp/providers/whatsapp_360_dialog_service.rb
index beb11d556..352f2d246 100644
--- a/app/services/whatsapp/providers/whatsapp_360_dialog_service.rb
+++ b/app/services/whatsapp/providers/whatsapp_360_dialog_service.rb
@@ -10,7 +10,7 @@ class Whatsapp::Providers::Whatsapp360DialogService < Whatsapp::Providers::BaseS
     end
   end
 
-  def send_template(phone_number, template_info)
+  def send_template(phone_number, template_info, message)
     response = HTTParty.post(
       "#{api_base_path}/messages",
       headers: api_headers,
@@ -21,7 +21,7 @@ class Whatsapp::Providers::Whatsapp360DialogService < Whatsapp::Providers::BaseS
       }.to_json
     )
 
-    process_response(response)
+    process_response(response, message)
   end
 
   def sync_templates
@@ -68,7 +68,7 @@ class Whatsapp::Providers::Whatsapp360DialogService < Whatsapp::Providers::BaseS
       }.to_json
     )
 
-    process_response(response)
+    process_response(response, message)
   end
 
   def send_attachment_message(phone_number, message)
@@ -90,7 +90,7 @@ class Whatsapp::Providers::Whatsapp360DialogService < Whatsapp::Providers::BaseS
       }.to_json
     )
 
-    process_response(response)
+    process_response(response, message)
   end
 
   def error_message(response)
@@ -123,6 +123,6 @@ class Whatsapp::Providers::Whatsapp360DialogService < Whatsapp::Providers::BaseS
       }.to_json
     )
 
-    process_response(response)
+    process_response(response, message)
   end
 end
diff --git a/app/services/whatsapp/providers/whatsapp_cloud_service.rb b/app/services/whatsapp/providers/whatsapp_cloud_service.rb
index 34939048a..68e965595 100644
--- a/app/services/whatsapp/providers/whatsapp_cloud_service.rb
+++ b/app/services/whatsapp/providers/whatsapp_cloud_service.rb
@@ -11,7 +11,7 @@ class Whatsapp::Providers::WhatsappCloudService < Whatsapp::Providers::BaseServi
     end
   end
 
-  def send_template(phone_number, template_info)
+  def send_template(phone_number, template_info, message)
     template_body = template_body_parameters(template_info)
 
     request_body = {
@@ -28,7 +28,7 @@ class Whatsapp::Providers::WhatsappCloudService < Whatsapp::Providers::BaseServi
       body: request_body.to_json
     )
 
-    process_response(response)
+    process_response(response, message)
   end
 
   def sync_templates
@@ -92,7 +92,7 @@ class Whatsapp::Providers::WhatsappCloudService < Whatsapp::Providers::BaseServi
       }.to_json
     )
 
-    process_response(response)
+    process_response(response, message)
   end
 
   def send_attachment_message(phone_number, message)
@@ -115,7 +115,7 @@ class Whatsapp::Providers::WhatsappCloudService < Whatsapp::Providers::BaseServi
       }.to_json
     )
 
-    process_response(response)
+    process_response(response, message)
   end
 
   def error_message(response)
@@ -179,6 +179,6 @@ class Whatsapp::Providers::WhatsappCloudService < Whatsapp::Providers::BaseServi
       }.to_json
     )
 
-    process_response(response)
+    process_response(response, message)
   end
 end
diff --git a/app/services/whatsapp/send_on_whatsapp_service.rb b/app/services/whatsapp/send_on_whatsapp_service.rb
index 5f91bce16..20419c0cd 100644
--- a/app/services/whatsapp/send_on_whatsapp_service.rb
+++ b/app/services/whatsapp/send_on_whatsapp_service.rb
@@ -33,7 +33,7 @@ class Whatsapp::SendOnWhatsappService < Base::SendOnChannelService
                                          namespace: namespace,
                                          lang_code: lang_code,
                                          parameters: processed_parameters
-                                       })
+                                       }, message)
     message.update!(source_id: message_id) if message_id.present?
   end
 
diff --git a/spec/services/whatsapp/incoming_message_service_spec.rb b/spec/services/whatsapp/incoming_message_service_spec.rb
index 4035a47df..ede1ba824 100644
--- a/spec/services/whatsapp/incoming_message_service_spec.rb
+++ b/spec/services/whatsapp/incoming_message_service_spec.rb
@@ -371,5 +371,100 @@ describe Whatsapp::IncomingMessageService do
         Redis::Alfred.delete(key)
       end
     end
+
+    context 'when profile name is available for contact updates' do
+      let(:wa_id) { '1234567890' }
+      let(:phone_number) { "+#{wa_id}" }
+
+      it 'updates existing contact name when current name matches phone number' do
+        # Create contact with phone number as name
+        existing_contact = create(:contact,
+                                  account: whatsapp_channel.inbox.account,
+                                  name: phone_number,
+                                  phone_number: phone_number)
+        create(:contact_inbox,
+               contact: existing_contact,
+               inbox: whatsapp_channel.inbox,
+               source_id: wa_id)
+
+        params = {
+          'contacts' => [{ 'profile' => { 'name' => 'Jane Smith' }, 'wa_id' => wa_id }],
+          'messages' => [{ 'from' => wa_id, 'id' => 'message123', 'text' => { 'body' => 'Hello' },
+                           'timestamp' => '1633034394', 'type' => 'text' }]
+        }.with_indifferent_access
+
+        described_class.new(inbox: whatsapp_channel.inbox, params: params).perform
+        existing_contact.reload
+        expect(existing_contact.name).to eq('Jane Smith')
+      end
+
+      it 'does not update contact name when current name is different from phone number' do
+        # Create contact with human name
+        existing_contact = create(:contact,
+                                  account: whatsapp_channel.inbox.account,
+                                  name: 'John Doe',
+                                  phone_number: phone_number)
+        create(:contact_inbox,
+               contact: existing_contact,
+               inbox: whatsapp_channel.inbox,
+               source_id: wa_id)
+
+        params = {
+          'contacts' => [{ 'profile' => { 'name' => 'Jane Smith' }, 'wa_id' => wa_id }],
+          'messages' => [{ 'from' => wa_id, 'id' => 'message123', 'text' => { 'body' => 'Hello' },
+                           'timestamp' => '1633034394', 'type' => 'text' }]
+        }.with_indifferent_access
+
+        described_class.new(inbox: whatsapp_channel.inbox, params: params).perform
+        existing_contact.reload
+        expect(existing_contact.name).to eq('John Doe') # Should not change
+      end
+
+      it 'updates contact name when current name matches formatted phone number' do
+        formatted_number = TelephoneNumber.parse(phone_number).international_number
+
+        # Create contact with formatted phone number as name
+        existing_contact = create(:contact,
+                                  account: whatsapp_channel.inbox.account,
+                                  name: formatted_number,
+                                  phone_number: phone_number)
+        create(:contact_inbox,
+               contact: existing_contact,
+               inbox: whatsapp_channel.inbox,
+               source_id: wa_id)
+
+        params = {
+          'contacts' => [{ 'profile' => { 'name' => 'Alice Johnson' }, 'wa_id' => wa_id }],
+          'messages' => [{ 'from' => wa_id, 'id' => 'message123', 'text' => { 'body' => 'Hello' },
+                           'timestamp' => '1633034394', 'type' => 'text' }]
+        }.with_indifferent_access
+
+        described_class.new(inbox: whatsapp_channel.inbox, params: params).perform
+        existing_contact.reload
+        expect(existing_contact.name).to eq('Alice Johnson')
+      end
+
+      it 'does not update when profile name is blank' do
+        # Create contact with phone number as name
+        existing_contact = create(:contact,
+                                  account: whatsapp_channel.inbox.account,
+                                  name: phone_number,
+                                  phone_number: phone_number)
+        create(:contact_inbox,
+               contact: existing_contact,
+               inbox: whatsapp_channel.inbox,
+               source_id: wa_id)
+
+        params = {
+          'contacts' => [{ 'profile' => { 'name' => '' }, 'wa_id' => wa_id }],
+          'messages' => [{ 'from' => wa_id, 'id' => 'message123', 'text' => { 'body' => 'Hello' },
+                           'timestamp' => '1633034394', 'type' => 'text' }]
+        }.with_indifferent_access
+
+        described_class.new(inbox: whatsapp_channel.inbox, params: params).perform
+        existing_contact.reload
+        expect(existing_contact.name).to eq(phone_number) # Should not change
+      end
+    end
   end
 end
diff --git a/spec/services/whatsapp/oneoff_campaign_service_spec.rb b/spec/services/whatsapp/oneoff_campaign_service_spec.rb
index 599081e23..dd8d51c54 100644
--- a/spec/services/whatsapp/oneoff_campaign_service_spec.rb
+++ b/spec/services/whatsapp/oneoff_campaign_service_spec.rb
@@ -133,7 +133,8 @@ describe Whatsapp::OneoffCampaignService do
                 )
               )
             )
-          )
+          ),
+          nil
         )
 
         described_class.new(campaign: campaign).perform
@@ -164,8 +165,8 @@ describe Whatsapp::OneoffCampaignService do
 
         allow(whatsapp_channel).to receive(:send_template).and_return(nil)
 
-        expect(whatsapp_channel).to receive(:send_template).with(contact_error.phone_number, anything).and_raise(StandardError, error_message)
-        expect(whatsapp_channel).to receive(:send_template).with(contact_success.phone_number, anything).once
+        expect(whatsapp_channel).to receive(:send_template).with(contact_error.phone_number, anything, nil).and_raise(StandardError, error_message)
+        expect(whatsapp_channel).to receive(:send_template).with(contact_success.phone_number, anything, nil).once
 
         expect(Rails.logger).to receive(:error)
           .with("Failed to send WhatsApp template message to #{contact_error.phone_number}: #{error_message}")
diff --git a/spec/services/whatsapp/providers/whatsapp_cloud_service_spec.rb b/spec/services/whatsapp/providers/whatsapp_cloud_service_spec.rb
index 8735ccfbb..69ba69379 100644
--- a/spec/services/whatsapp/providers/whatsapp_cloud_service_spec.rb
+++ b/spec/services/whatsapp/providers/whatsapp_cloud_service_spec.rb
@@ -187,7 +187,7 @@ describe Whatsapp::Providers::WhatsappCloudService do
           )
           .to_return(status: 200, body: whatsapp_response.to_json, headers: response_headers)
 
-        expect(service.send_template('+123456789', template_info)).to eq('message_id')
+        expect(service.send_template('+123456789', template_info, message)).to eq('message_id')
       end
     end
   end
@@ -287,7 +287,7 @@ describe Whatsapp::Providers::WhatsappCloudService do
     context 'when there is a message' do
       it 'logs error and updates message status' do
         service.instance_variable_set(:@message, message)
-        service.send(:handle_error, error_response_object)
+        service.send(:handle_error, error_response_object, message)
 
         expect(message.reload.status).to eq('failed')
         expect(message.reload.external_error).to eq(error_message)
@@ -305,7 +305,7 @@ describe Whatsapp::Providers::WhatsappCloudService do
 
       it 'logs error but does not update message' do
         service.instance_variable_set(:@message, message)
-        service.send(:handle_error, error_response_object)
+        service.send(:handle_error, error_response_object, message)
 
         expect(message.reload.status).not_to eq('failed')
         expect(message.reload.external_error).to be_nil