diff --git a/RELEASE.md b/RELEASE.md
index 6d7f002..b7c9931 100644
--- a/RELEASE.md
+++ b/RELEASE.md
@@ -3,7 +3,6 @@
 1. `pnpm run lint`
 1. `pnpm run toc`
 1. `pnpm run setup`
-1. `pnpm run validate`
 1. Raise Version
 1. `pnpm run build`
 1. `pnpm run release` or with specific version `npx standard-version --release-as 3.0.0`
diff --git a/e2e/README.md b/e2e/README.md
index fbce399..9f70edd 100644
--- a/e2e/README.md
+++ b/e2e/README.md
@@ -81,3 +81,13 @@ test('should show the proper label', () => {
 npm run test
 ```
 
+## Svelte 5 (ESM)
+
+A minimal Svelte 5 test to ensure Svelte 5 components and `.svelte.js` modules work with Jest. No special steps were taken to create this suite. It only contains a few components and their associated tests.
+
+### Run the Svelte 5 tests
+
+```shell
+pnpm build
+pnpm e2e:svelte-5
+```
diff --git a/e2e/svelte-5/.npmrc b/e2e/svelte-5/.npmrc
new file mode 100644
index 0000000..3bd3b7d
--- /dev/null
+++ b/e2e/svelte-5/.npmrc
@@ -0,0 +1 @@
+shell-emulator=true
diff --git a/e2e/svelte-5/package.json b/e2e/svelte-5/package.json
new file mode 100644
index 0000000..303921a
--- /dev/null
+++ b/e2e/svelte-5/package.json
@@ -0,0 +1,40 @@
+{
+  "name": "@svelte-jester-e2e/svelte-5",
+  "version": "1.0.0",
+  "private": true,
+  "type": "module",
+  "scripts": {
+    "test": "pnpm install && NODE_OPTIONS=\"--experimental-vm-modules --no-warnings\" jest --coverage --no-cache",
+    "test:watch": "pnpm run test --watch"
+  },
+  "devDependencies": {
+    "@testing-library/jest-dom": "^6.4.5",
+    "jest": "^29.7.0",
+    "jest-environment-jsdom": "^29.7.0",
+    "svelte": "^5.0.0-next.139",
+    "svelte-jester": "workspace:*"
+  },
+  "dependenciesMeta": {
+    "svelte-jester": {
+      "injected": true
+    }
+  },
+  "jest": {
+    "transform": {
+      "^.+\\.svelte(?:\\.js)?$": [
+        "svelte-jester"
+      ]
+    },
+    "moduleFileExtensions": [
+      "js",
+      "svelte"
+    ],
+    "extensionsToTreatAsEsm": [
+      ".svelte"
+    ],
+    "setupFilesAfterEnv": [
+      "@testing-library/jest-dom"
+    ],
+    "testEnvironment": "jsdom"
+  }
+}
diff --git a/e2e/svelte-5/src/legacy.svelte b/e2e/svelte-5/src/legacy.svelte
new file mode 100644
index 0000000..ffa3fac
--- /dev/null
+++ b/e2e/svelte-5/src/legacy.svelte
@@ -0,0 +1,11 @@
+<script>
+  export let name;
+  let showGreeting = false;
+
+  const handleClick = () => (showGreeting = true);
+</script>
+
+<button on:click={handleClick}>greet</button>
+{#if showGreeting}
+  <p>hello {name}</p>
+{/if}
diff --git a/e2e/svelte-5/src/legacy.test.js b/e2e/svelte-5/src/legacy.test.js
new file mode 100644
index 0000000..46b0bc4
--- /dev/null
+++ b/e2e/svelte-5/src/legacy.test.js
@@ -0,0 +1,37 @@
+import { mount, unmount, tick } from 'svelte'
+
+import Subject from './legacy.svelte'
+
+let component
+
+afterEach(() => {
+  unmount(component)
+  component = undefined
+})
+
+test('render', () => {
+  component = mount(Subject, {
+    target: document.body,
+    props: { name: 'alice' }
+  })
+
+  const button = document.querySelector('button')
+
+  expect(button).toHaveRole('button')
+})
+
+test('interaction', async () => {
+  component = mount(Subject, {
+    target: document.body,
+    props: { name: 'alice' }
+  })
+
+  const button = document.querySelector('button')
+
+  button.click()
+  await tick()
+
+  const message = document.querySelector('p')
+
+  expect(message.textContent).toMatch(/hello alice/iu)
+})
diff --git a/e2e/svelte-5/src/modern.svelte b/e2e/svelte-5/src/modern.svelte
new file mode 100644
index 0000000..4062846
--- /dev/null
+++ b/e2e/svelte-5/src/modern.svelte
@@ -0,0 +1,11 @@
+<script>
+  let { name } = $props();
+  let showGreeting = $state(false);
+
+  const handleClick = () => (showGreeting = true);
+</script>
+
+<button onclick={handleClick}>greet</button>
+{#if showGreeting}
+  <p>hello {name}</p>
+{/if}
diff --git a/e2e/svelte-5/src/modern.test.js b/e2e/svelte-5/src/modern.test.js
new file mode 100644
index 0000000..5d63937
--- /dev/null
+++ b/e2e/svelte-5/src/modern.test.js
@@ -0,0 +1,37 @@
+import { mount, unmount, tick } from 'svelte'
+
+import Subject from './modern.svelte'
+
+let component
+
+afterEach(() => {
+  unmount(component)
+  component = undefined
+})
+
+test('render', () => {
+  component = mount(Subject, {
+    target: document.body,
+    props: { name: 'alice' }
+  })
+
+  const button = document.querySelector('button')
+
+  expect(button).toHaveRole('button')
+})
+
+test('interaction', async () => {
+  component = mount(Subject, {
+    target: document.body,
+    props: { name: 'alice' }
+  })
+
+  const button = document.querySelector('button')
+
+  button.click()
+  await tick()
+
+  const message = document.querySelector('p')
+
+  expect(message.textContent).toMatch(/hello alice/iu)
+})
diff --git a/e2e/svelte-5/src/module.svelte.js b/e2e/svelte-5/src/module.svelte.js
new file mode 100644
index 0000000..3f6a15b
--- /dev/null
+++ b/e2e/svelte-5/src/module.svelte.js
@@ -0,0 +1,13 @@
+export const createCounter = () => {
+  let count = $state(0)
+
+  return {
+    get count () {
+      return count
+    },
+
+    increment () {
+      count = count + 1
+    }
+  }
+}
diff --git a/e2e/svelte-5/src/module.test.js b/e2e/svelte-5/src/module.test.js
new file mode 100644
index 0000000..97a9465
--- /dev/null
+++ b/e2e/svelte-5/src/module.test.js
@@ -0,0 +1,19 @@
+import { test } from '@jest/globals'
+
+import * as Subject from './module.svelte.js'
+
+test('get current count', () => {
+  const subject = Subject.createCounter()
+  const result = subject.count
+
+  expect(result).toBe(0)
+})
+
+test('increment', () => {
+  const subject = Subject.createCounter()
+
+  subject.increment()
+  const result = subject.count
+
+  expect(result).toBe(1)
+})
diff --git a/e2e/svelte-5/svelte.config.js b/e2e/svelte-5/svelte.config.js
new file mode 100644
index 0000000..b1c6ea4
--- /dev/null
+++ b/e2e/svelte-5/svelte.config.js
@@ -0,0 +1 @@
+export default {}
diff --git a/e2e/svelte/package.json b/e2e/svelte/package.json
index ba608fd..552abc0 100644
--- a/e2e/svelte/package.json
+++ b/e2e/svelte/package.json
@@ -6,7 +6,7 @@
     "build": "rollup -c",
     "dev": "rollup -c -w",
     "start": "sirv public --no-clear",
-    "test": "jest src",
+    "test": "jest src --no-cache",
     "test:watch": "pnpm run test -- --watch"
   },
   "devDependencies": {
diff --git a/e2e/sveltekit/package.json b/e2e/sveltekit/package.json
index 00c2c01..7ac698d 100644
--- a/e2e/sveltekit/package.json
+++ b/e2e/sveltekit/package.json
@@ -8,7 +8,7 @@
 		"preview": "vite preview",
 		"check": "svelte-kit sync && svelte-check --tsconfig ./tsconfig.json",
 		"check:watch": "svelte-kit sync && svelte-check --tsconfig ./tsconfig.json --watch",
-		"test": "svelte-kit sync && cross-env NODE_OPTIONS=--experimental-vm-modules jest src --config jest.config.json",
+		"test": "svelte-kit sync && cross-env NODE_OPTIONS=--experimental-vm-modules jest src --config jest.config.json --no-cache",
 		"test:watch": "pnpm run test -- --watch"
 	},
 	"devDependencies": {
diff --git a/package.json b/package.json
index 190fea3..402b12c 100644
--- a/package.json
+++ b/package.json
@@ -37,14 +37,15 @@
     "test": "pnpm test:esm && pnpm test:cjs",
     "test:esm": "pnpm build && cross-env NODE_OPTIONS=--experimental-vm-modules jest src/__tests__/transformer.test.js",
     "test:cjs": "pnpm build && jest src/__tests__/transformer.test.cjs",
-    "e2e": "pnpm e2e:svelte && pnpm e2e:sveltekit",
+    "e2e": "pnpm e2e:svelte && pnpm e2e:sveltekit && pnpm e2e:svelte-5",
     "e2e:svelte": "cd e2e/svelte && pnpm test",
     "e2e:sveltekit": "cd e2e/sveltekit && pnpm test",
+    "e2e:svelte-5": "cd e2e/svelte-5 && pnpm test",
     "test:nocache": "pnpm install && jest --clearCache && pnpm test -- --no-cache",
     "test:watch": "pnpm test -- --watch",
     "test:update": "pnpm test -- --updateSnapshot --coverage",
     "setup": "pnpm install && pnpm validate",
-    "validate": "pnpm lint && pnpm test:nocache",
+    "validate": "pnpm lint && pnpm test:nocache && pnpm e2e",
     "release": "standard-version"
   },
   "standard-version": {
@@ -78,7 +79,8 @@
       "jest",
       "it",
       "expect",
-      "describe"
+      "describe",
+      "$state"
     ]
   }
 }
diff --git a/pnpm-lock.yaml b/pnpm-lock.yaml
index 5db456f..4355653 100644
--- a/pnpm-lock.yaml
+++ b/pnpm-lock.yaml
@@ -110,6 +110,27 @@ importers:
         specifier: ^5.0.4
         version: 5.0.4(@babel/core@7.24.5)(sass@1.75.0)(svelte@3.59.2)(typescript@5.1.6)
 
+  e2e/svelte-5:
+    devDependencies:
+      '@testing-library/jest-dom':
+        specifier: ^6.4.5
+        version: 6.4.5(@types/jest@29.5.3)(jest@29.7.0)
+      jest:
+        specifier: ^29.7.0
+        version: 29.7.0
+      jest-environment-jsdom:
+        specifier: ^29.7.0
+        version: 29.7.0
+      svelte:
+        specifier: ^5.0.0-next.139
+        version: 5.0.0-next.139
+      svelte-jester:
+        specifier: workspace:*
+        version: file:(jest@29.7.0)(svelte@5.0.0-next.139)
+    dependenciesMeta:
+      svelte-jester:
+        injected: true
+
   e2e/sveltekit:
     devDependencies:
       '@babel/core':
@@ -190,6 +211,10 @@ packages:
     resolution: {integrity: sha512-E09FiIft46CmH5Qnjb0wsW54/YQd69LsxeKUOWawmws1XWvyFGURnAChH0mlr7YPFR1ofwvUQfcL0J3lMxXqPA==}
     dev: true
 
+  /@adobe/css-tools@4.4.0:
+    resolution: {integrity: sha512-Ff9+ksdQQB3rMncgqDK78uLznstjyfIf2Arnh22pW8kBpLs6rpKDwgnZT46hin5Hl1WzazzK64DOrhSwYpS7bQ==}
+    dev: true
+
   /@ampproject/remapping@2.2.1:
     resolution: {integrity: sha512-lFMjJTrFL3j7L9yBxwYfCq2k6qqwHyzuUl/XBnif78PWTJYyL/dfowQHWE3sp6U6ZzqWiiIZnpTMO96zhkjwtg==}
     engines: {node: '>=6.0.0'}
@@ -3881,6 +3906,39 @@ packages:
       redent: 3.0.0
     dev: true
 
+  /@testing-library/jest-dom@6.4.5(@types/jest@29.5.3)(jest@29.7.0):
+    resolution: {integrity: sha512-AguB9yvTXmCnySBP1lWjfNNUwpbElsaQ567lt2VdGqAdHtpieLgjmcVyv1q7PMIvLbgpDdkWV5Ydv3FEejyp2A==}
+    engines: {node: '>=14', npm: '>=6', yarn: '>=1'}
+    peerDependencies:
+      '@jest/globals': '>= 28'
+      '@types/bun': latest
+      '@types/jest': '>= 28'
+      jest: '>= 28'
+      vitest: '>= 0.32'
+    peerDependenciesMeta:
+      '@jest/globals':
+        optional: true
+      '@types/bun':
+        optional: true
+      '@types/jest':
+        optional: true
+      jest:
+        optional: true
+      vitest:
+        optional: true
+    dependencies:
+      '@adobe/css-tools': 4.4.0
+      '@babel/runtime': 7.22.6
+      '@types/jest': 29.5.3
+      aria-query: 5.3.0
+      chalk: 3.0.0
+      css.escape: 1.5.1
+      dom-accessibility-api: 0.6.3
+      jest: 29.7.0
+      lodash: 4.17.21
+      redent: 3.0.0
+    dev: true
+
   /@testing-library/svelte@3.2.2(svelte@3.59.2):
     resolution: {integrity: sha512-IKwZgqbekC3LpoRhSwhd0JswRGxKdAGkf39UiDXTywK61YyLXbCYoR831e/UUC6EeNW4hiHPY+2WuovxOgI5sw==}
     engines: {node: '>= 10'}
@@ -4089,16 +4147,24 @@ packages:
   /acorn-globals@7.0.1:
     resolution: {integrity: sha512-umOSDSDrfHbTNPuNpC2NSnnA3LUrqpevPb4T9jRx4MagXNS0rs+gwiTcAvqCRmsD6utzsrzNt+ebm00SNWiC3Q==}
     dependencies:
-      acorn: 8.10.0
+      acorn: 8.11.3
       acorn-walk: 8.2.0
     dev: true
 
-  /acorn-jsx@5.3.2(acorn@8.10.0):
+  /acorn-jsx@5.3.2(acorn@8.11.3):
     resolution: {integrity: sha512-rq9s+JNhf0IChjtDXxllJ7g41oZk5SlXtp0LHwyA5cejwn7vKmKp4pPri6YEePv2PU65sAsegbXtIinmDFDXgQ==}
     peerDependencies:
       acorn: ^6.0.0 || ^7.0.0 || ^8.0.0
     dependencies:
-      acorn: 8.10.0
+      acorn: 8.11.3
+    dev: true
+
+  /acorn-typescript@1.4.13(acorn@8.11.3):
+    resolution: {integrity: sha512-xsc9Xv0xlVfwp2o7sQ+GCQ1PgbkdcpWdTzrwXxO3xDMTAywVS3oXVOcOHuRjAPkS4P9b+yc/qNF15460v+jp4Q==}
+    peerDependencies:
+      acorn: '>=8.9.0'
+    dependencies:
+      acorn: 8.11.3
     dev: true
 
   /acorn-walk@8.2.0:
@@ -4112,6 +4178,12 @@ packages:
     hasBin: true
     dev: true
 
+  /acorn@8.11.3:
+    resolution: {integrity: sha512-Y9rRfJG5jcKOE0CLisYbojUjIrIEE7AGMzA/Sm4BslANhbS+cDMpgBdcPT91oJ7OuJ9hYJBx59RjbhxVnrF8Xg==}
+    engines: {node: '>=0.4.0'}
+    hasBin: true
+    dev: true
+
   /add-stream@1.0.0:
     resolution: {integrity: sha512-qQLMr+8o0WC4FZGQTcJiKBVC59JylcPSrTtk6usvmIDFUOCKegapy1VHQwRbFMOFyb/inzUVqHs+eMYKDM1YeQ==}
     dev: true
@@ -4285,6 +4357,12 @@ packages:
       dequal: 2.0.3
     dev: true
 
+  /axobject-query@4.0.0:
+    resolution: {integrity: sha512-+60uv1hiVFhHZeO+Lz0RYzsVHy5Wr1ayX0mwda9KPDVLNJgZ1T9Ny7VmFbLDzxsH0D87I86vgj3gFrjTJUYznw==}
+    dependencies:
+      dequal: 2.0.3
+    dev: true
+
   /babel-jest@29.6.1(@babel/core@7.22.9):
     resolution: {integrity: sha512-qu+3bdPEQC6KZSPz+4Fyjbga5OODNcp49j6GKzG1EKbkfyJBxEYGVUmVGpwCSeGouG52R4EgYMLb6p9YeEEQ4A==}
     engines: {node: ^14.15.0 || ^16.10.0 || >=18.0.0}
@@ -4722,7 +4800,7 @@ packages:
     dependencies:
       '@jridgewell/sourcemap-codec': 1.4.15
       '@types/estree': 1.0.5
-      acorn: 8.10.0
+      acorn: 8.11.3
       estree-walker: 3.0.3
       periscopic: 3.1.0
     dev: true
@@ -5223,6 +5301,10 @@ packages:
     resolution: {integrity: sha512-X7BJ2yElsnOJ30pZF4uIIDfBEVgF4XEBxL9Bxhy6dnrm5hkzqmsWHGTiHqRiITNhMyFLyAiWndIJP7Z1NTteDg==}
     dev: true
 
+  /dom-accessibility-api@0.6.3:
+    resolution: {integrity: sha512-7ZgogeTnjuHbo+ct10G9Ffp0mif17idi0IyWNVA/wcwcm7NPOD/WEHVP3n7n3MhXqxoIYm8d6MuZohYWIZ4T3w==}
+    dev: true
+
   /dom-serializer@1.4.1:
     resolution: {integrity: sha512-VHwB3KfrcOOkelEG2ZOfxqLZdfkil8PtJi4P8N2MMXucZq2yLp75ClViUlOVwyoHEDjYU433Aq+5zWP61+RGag==}
     dependencies:
@@ -5740,8 +5822,8 @@ packages:
     resolution: {integrity: sha512-oruZaFkjorTpF32kDSI5/75ViwGeZginGGy2NoOSg3Q9bnwlnmDm4HLnkl0RE3n+njDXR037aY1+x58Z/zFdwQ==}
     engines: {node: ^12.22.0 || ^14.17.0 || >=16.0.0}
     dependencies:
-      acorn: 8.10.0
-      acorn-jsx: 5.3.2(acorn@8.10.0)
+      acorn: 8.11.3
+      acorn-jsx: 5.3.2(acorn@8.11.3)
       eslint-visitor-keys: 3.4.1
     dev: true
 
@@ -5758,6 +5840,13 @@ packages:
       estraverse: 5.3.0
     dev: true
 
+  /esrap@1.2.2:
+    resolution: {integrity: sha512-F2pSJklxx1BlQIQgooczXCPHmcWpn6EsP5oo73LQfonG9fIlIENQ8vMmfGXeojP9MrkzUNAfyU5vdFlR9shHAw==}
+    dependencies:
+      '@jridgewell/sourcemap-codec': 1.4.15
+      '@types/estree': 1.0.5
+    dev: true
+
   /esrecurse@4.3.0:
     resolution: {integrity: sha512-KmfKL3b6G+RXvP8N1vr3Tq1kL/oCFgn2NYXEtqP8/L3pKapUA4G8cFVaoF3SU323CD4XypR/ffioHmkti6/Tag==}
     engines: {node: '>=4.0'}
@@ -6516,6 +6605,12 @@ packages:
       '@types/estree': 1.0.5
     dev: true
 
+  /is-reference@3.0.2:
+    resolution: {integrity: sha512-v3rht/LgVcsdZa3O2Nqs+NMowLOxeOm7Ay9+/ARQ2F+qEoANRcqrjAZKGN0v8ymUetZGgkp26LTnGT7H0Qo9Pg==}
+    dependencies:
+      '@types/estree': 1.0.5
+    dev: true
+
   /is-regex@1.1.4:
     resolution: {integrity: sha512-kvRdxDsxZjhzUX07ZnLydzS1TU/TJlTUHHY4YLL87e37oUA49DfkLqgy+VjFocowy29cKvcSiu+kIv728jTTVg==}
     engines: {node: '>= 0.4'}
@@ -6812,6 +6907,29 @@ packages:
       - utf-8-validate
     dev: true
 
+  /jest-environment-jsdom@29.7.0:
+    resolution: {integrity: sha512-k9iQbsf9OyOfdzWH8HDmrRT0gSIcX+FLNW7IQq94tFX0gynPwqDTW0Ho6iMVNjGz/nb+l/vW3dWM2bbLLpkbXA==}
+    engines: {node: ^14.15.0 || ^16.10.0 || >=18.0.0}
+    peerDependencies:
+      canvas: ^2.5.0
+    peerDependenciesMeta:
+      canvas:
+        optional: true
+    dependencies:
+      '@jest/environment': 29.7.0
+      '@jest/fake-timers': 29.7.0
+      '@jest/types': 29.6.3
+      '@types/jsdom': 20.0.1
+      '@types/node': 20.4.2
+      jest-mock: 29.7.0
+      jest-util: 29.7.0
+      jsdom: 20.0.3
+    transitivePeerDependencies:
+      - bufferutil
+      - supports-color
+      - utf-8-validate
+    dev: true
+
   /jest-environment-node@29.7.0:
     resolution: {integrity: sha512-DOSwCRqXirTOyheM+4d5YZOrWcdu0LNZ87ewUoywbcb2XR4wKgqiG8vNeYwhjFMbEkfju7wx2GYH0P2gevGvFw==}
     engines: {node: ^14.15.0 || ^16.10.0 || >=18.0.0}
@@ -7109,6 +7227,27 @@ packages:
       - ts-node
     dev: true
 
+  /jest@29.7.0:
+    resolution: {integrity: sha512-NIy3oAFp9shda19hy4HK0HRTWKtPJmGdnvywu01nOqNC2vZg+Z+fvJDxpMQA88eb2I9EcafcdjYgsDthnYTvGw==}
+    engines: {node: ^14.15.0 || ^16.10.0 || >=18.0.0}
+    hasBin: true
+    peerDependencies:
+      node-notifier: ^8.0.1 || ^9.0.0 || ^10.0.0
+    peerDependenciesMeta:
+      node-notifier:
+        optional: true
+    dependencies:
+      '@jest/core': 29.7.0
+      '@jest/types': 29.6.3
+      import-local: 3.1.0
+      jest-cli: 29.7.0
+    transitivePeerDependencies:
+      - '@types/node'
+      - babel-plugin-macros
+      - supports-color
+      - ts-node
+    dev: true
+
   /js-tokens@4.0.0:
     resolution: {integrity: sha512-RdJUflcE3cUzKiMqQgsCu06FPu9UdIJO0beYbPhHN4k6apgJtifcoCtT9bcxOpYBtpD2kCM6Sbzg4CausW/PKQ==}
     dev: true
@@ -8018,7 +8157,7 @@ packages:
     dependencies:
       '@types/estree': 1.0.5
       estree-walker: 3.0.3
-      is-reference: 3.0.1
+      is-reference: 3.0.2
     dev: true
 
   /picocolors@1.0.0:
@@ -9104,6 +9243,25 @@ packages:
       periscopic: 3.1.0
     dev: true
 
+  /svelte@5.0.0-next.139:
+    resolution: {integrity: sha512-g9u7sQjIFdmacxMstZyq1z8jh+CYJjqJzTJ111jFjW4znUKsKmv7Gd2Lwq5n+t6/VxF/HnZ3+/7i6yAEZ2Bg9g==}
+    engines: {node: '>=18'}
+    dependencies:
+      '@ampproject/remapping': 2.2.1
+      '@jridgewell/sourcemap-codec': 1.4.15
+      '@types/estree': 1.0.5
+      acorn: 8.11.3
+      acorn-typescript: 1.4.13(acorn@8.11.3)
+      aria-query: 5.3.0
+      axobject-query: 4.0.0
+      esm-env: 1.0.0
+      esrap: 1.2.2
+      is-reference: 3.0.2
+      locate-character: 3.0.0
+      magic-string: 0.30.5
+      zimmerframe: 1.1.2
+    dev: true
+
   /symbol-tree@3.2.4:
     resolution: {integrity: sha512-9QNk5KwDF+Bvz+PyObkmSYjI5ksVUYtjW7AU22r2NKcfLJcXp96hkDWU3+XndOsUb+AQ9QhfzfCT2O+CNWT5Tw==}
     dev: true
@@ -9813,6 +9971,23 @@ packages:
     engines: {node: '>=10'}
     dev: true
 
+  /zimmerframe@1.1.2:
+    resolution: {integrity: sha512-rAbqEGa8ovJy4pyBxZM70hg4pE6gDgaQ0Sl9M3enG3I0d6H4XSAM3GeNGLKnsBpuijUow064sf7ww1nutC5/3w==}
+    dev: true
+
   /zwitch@1.0.5:
     resolution: {integrity: sha512-V50KMwwzqJV0NpZIZFwfOD5/lyny3WlSzRiXgA0G7VUnRlqttta1L6UQIHzd6EuBY/cHGfwTIck7w1yH6Q5zUw==}
     dev: true
+
+  file:(jest@29.7.0)(svelte@5.0.0-next.139):
+    resolution: {directory: '', type: directory}
+    id: 'file:'
+    name: svelte-jester
+    engines: {node: '>=16', pnpm: ^8.0.0}
+    peerDependencies:
+      jest: '>= 27'
+      svelte: '>= 3'
+    dependencies:
+      jest: 29.7.0
+      svelte: 5.0.0-next.139
+    dev: true
diff --git a/src/__tests__/transformer.test.cjs b/src/__tests__/transformer.test.cjs
index 6d76e8d..16e1b42 100644
--- a/src/__tests__/transformer.test.cjs
+++ b/src/__tests__/transformer.test.cjs
@@ -69,7 +69,7 @@ describe('CJS transformer', () => {
   it('should fail, if console.logs are enabled during preprocessing and there is a console.log statement in the svelte config', () => {
     expect(
       () => runTransformer('BasicComp', { preprocess: true, rootMode: 'upward', showConsoleLog: true })
-    ).toThrow(/^Unexpected token T in JSON at position 0$/)
+    ).toThrow(/^Unexpected token .*T.*/)
   })
 
   it('should pass, if console.logs are disabled (default) during preprocessing and there is a console.log statement in the svelte config', () => {
diff --git a/src/transformer.js b/src/transformer.js
index 0b97710..6da70fc 100644
--- a/src/transformer.js
+++ b/src/transformer.js
@@ -1,10 +1,10 @@
 import { execSync } from 'child_process'
 import { basename, extname } from 'path'
 import { pathToFileURL } from 'url'
-import { compile, preprocess as sveltePreprocess } from 'svelte/compiler'
+import * as SvelteCompiler from 'svelte/compiler'
 
 import { getSvelteConfig } from './svelteconfig.js'
-import { dynamicImport, IS_COMMON_JS, isSvelte3 } from './utils.js'
+import { dynamicImport, IS_COMMON_JS, isSvelte3, isSvelteModule } from './utils.js'
 
 const currentFileExtension = (global.__dirname !== undefined ? extname(__filename) : extname(pathToFileURL(import.meta.url).toString())).replace('.', '')
 
@@ -29,7 +29,7 @@ const processAsync = async (source, filename, jestOptions) => {
 
   const svelteConfigPath = getSvelteConfig(rootMode, filename, preprocess)
   const svelteConfig = await dynamicImport(svelteConfigPath)
-  const processed = await sveltePreprocess(
+  const processed = await SvelteCompiler.preprocess(
     source,
     svelteConfig.default.preprocess || {},
     { filename }
@@ -91,6 +91,8 @@ const compiler = (format, options = {}, filename, processedCode, processedMap) =
     opts.format = format
   }
 
+  const compile = isSvelteModule(filename) ? compileModule : compileComponent
+
   let result
   try {
     result = compile(processedCode, opts)
@@ -115,6 +117,18 @@ const compiler = (format, options = {}, filename, processedCode, processedMap) =
   }
 }
 
+const compileComponent = (processedCode, opts) => {
+  return SvelteCompiler.compile(processedCode, opts)
+}
+
+const compileModule = (processedCode, opts) => {
+  return SvelteCompiler.compileModule(processedCode, {
+    filename: opts.filename,
+    dev: opts.dev,
+    generate: opts.ssr ? 'server' : 'client'
+  })
+}
+
 export default {
   process: processSync,
   processAsync
diff --git a/src/utils.js b/src/utils.js
index a3a21bd..82539cf 100644
--- a/src/utils.js
+++ b/src/utils.js
@@ -1,8 +1,17 @@
 import { pathToFileURL } from 'url'
-import { VERSION } from 'svelte/compiler'
+import * as SvelteCompiler from 'svelte/compiler'
 
 export const dynamicImport = async (filename) => import(pathToFileURL(filename).toString())
 
 export const IS_COMMON_JS = typeof module !== 'undefined'
 
-export const isSvelte3 = (version = VERSION) => version.startsWith('3')
+export const isSvelte3 = (version = SvelteCompiler.VERSION) => version.startsWith('3')
+
+const DEFAULT_SVELTE_MODULE_INFIX = ['.svelte.']
+
+const DEFAULT_SVELTE_MODULE_EXT = ['.js', '.ts']
+
+export const isSvelteModule = (filename) =>
+  typeof SvelteCompiler.compileModule === 'function' &&
+  DEFAULT_SVELTE_MODULE_INFIX.some((infix) => filename.includes(infix)) &&
+  DEFAULT_SVELTE_MODULE_EXT.some((ext) => filename.endsWith(ext))