diff --git a/meta/recipes-devtools/squashfs-tools/squashfs-tools_git.bb b/meta/recipes-devtools/squashfs-tools/squashfs-tools_git.bb
index 0a7e0f2a52..4e009d2625 100644
--- a/meta/recipes-devtools/squashfs-tools/squashfs-tools_git.bb
+++ b/meta/recipes-devtools/squashfs-tools/squashfs-tools_git.bb
@@ -18,7 +18,7 @@ S = "${WORKDIR}/git"
 
 EXTRA_OEMAKE = "${PACKAGECONFIG_CONFARGS}"
 
-PACKAGECONFIG ??= "gzip xz lz4 lzma xattr zstd reproducible"
+PACKAGECONFIG ??= "gzip xz lzo lz4 lzma xattr zstd reproducible"
 PACKAGECONFIG[gzip] = "GZIP_SUPPORT=1,GZIP_SUPPORT=0,zlib"
 PACKAGECONFIG[xz] = "XZ_SUPPORT=1,XZ_SUPPORT=0,xz"
 PACKAGECONFIG[lzo] = "LZO_SUPPORT=1,LZO_SUPPORT=0,lzo"