diff --git a/.github/workflows/coverage.yml b/.github/workflows/coverage.yml
new file mode 100644
index 00000000000..f39890bba5c
--- /dev/null
+++ b/.github/workflows/coverage.yml
@@ -0,0 +1,74 @@
+name: Coverage Reporting
+
+on:
+  push:
+    branches:
+      - main
+  pull_request:
+    branches:
+      - main
+
+permissions:
+  contents: read
+
+
+jobs:
+  coverage:
+    name: Check coverage and report to Coveralls
+    runs-on: ubuntu-24.04
+    steps:
+
+    - uses: actions/checkout@v5
+
+    - name: Setup Node.js
+      uses: actions/setup-node@v6
+      with:
+        node-version: 22.20.0
+
+    - name: Install dependencies
+      run: npm ci
+
+    - name: Check coverage
+      run: npm run coverage
+
+    - name: Send report to Coveralls for package @ui5/builder
+      uses: coverallsapp/github-action@v2.3.6
+      continue-on-error: true # Do not fail the job if coverage reporting fails (e.g. service is down)
+      with:
+        file: packages/builder/coverage/lcov.info
+        base-path: packages/builder
+
+    - name: Send report to Coveralls for package @ui5/cli
+      uses: coverallsapp/github-action@v2.3.6
+      continue-on-error: true # Do not fail the job if coverage reporting fails (e.g. service is down)
+      with:
+        file: packages/cli/coverage/lcov.info
+        base-path: packages/cli
+
+    - name: Send report to Coveralls for package @ui5/fs
+      uses: coverallsapp/github-action@v2.3.6
+      continue-on-error: true # Do not fail the job if coverage reporting fails (e.g. service is down)
+      with:
+        file: packages/fs/coverage/lcov.info
+        base-path: packages/fs
+
+    - name: Send report to Coveralls for package @ui5/logger
+      uses: coverallsapp/github-action@v2.3.6
+      continue-on-error: true # Do not fail the job if coverage reporting fails (e.g. service is down)
+      with:
+        file: packages/logger/coverage/lcov.info
+        base-path: packages/logger
+
+    - name: Send report to Coveralls for package @ui5/project
+      uses: coverallsapp/github-action@v2.3.6
+      continue-on-error: true # Do not fail the job if coverage reporting fails (e.g. service is down)
+      with:
+        file: packages/project/coverage/lcov.info
+        base-path: packages/project
+
+    - name: Send report to Coveralls for package @ui5/server
+      uses: coverallsapp/github-action@v2.3.6
+      continue-on-error: true # Do not fail the job if coverage reporting fails (e.g. service is down)
+      with:
+        file: packages/server/coverage/lcov.info
+        base-path: packages/server
diff --git a/.github/workflows/github-ci.yml b/.github/workflows/github-ci.yml
index a33b9517aa0..c36ff0cf13d 100644
--- a/.github/workflows/github-ci.yml
+++ b/.github/workflows/github-ci.yml
@@ -37,7 +37,7 @@ jobs:
       run: npm run depcheck
 
     - name: Run unit tests
-      run: npm run coverage
+      run: npm run unit
 
     - name: Generate JSDoc documentation
       working-directory: packages/documentation
diff --git a/README.md b/README.md
index 872dee4c0c5..2712022d8c1 100644
--- a/README.md
+++ b/README.md
@@ -7,6 +7,7 @@
 [![REUSE status](https://api.reuse.software/badge/github.com/UI5/cli)](https://api.reuse.software/info/github.com/UI5/cli)
 [![OpenUI5 Community Slack (#tooling channel)](https://img.shields.io/badge/slack-join-44cc11.svg)](https://ui5-slack-invite.cfapps.eu10.hana.ondemand.com)
 [![Contributor Covenant](https://img.shields.io/badge/Contributor%20Covenant-v2.0%20adopted-ff69b4.svg)](CODE_OF_CONDUCT.md)
+[![Coverage Status](https://coveralls.io/repos/github/UI5/cli/badge.svg)](https://coveralls.io/github/UI5/cli)
 
 This repository contains the current **development state** of the upcoming UI5 CLI v5 release.  
 Note that previous versions (up to v4) are maintained in [dedicated repositories](https://github.com/UI5/cli/tree/v4?tab=readme-ov-file#modules).