diff --git a/library/psa_crypto.c b/library/psa_crypto.c
index cff9ccaf2..af80c0cea 100644
--- a/library/psa_crypto.c
+++ b/library/psa_crypto.c
@@ -4360,10 +4360,12 @@ static psa_status_t psa_key_derivation_tls12_prf_read(
 
 psa_status_t psa_key_derivation_output_bytes(
     psa_key_derivation_operation_t *operation,
-    uint8_t *output,
+    uint8_t *output_external,
     size_t output_length)
 {
     psa_status_t status;
+    LOCAL_OUTPUT_DECLARE(output_external, output);
+
     psa_algorithm_t kdf_alg = psa_key_derivation_get_kdf_alg(operation);
 
     if (operation->alg == 0) {
@@ -4371,13 +4373,6 @@ psa_status_t psa_key_derivation_output_bytes(
         return PSA_ERROR_BAD_STATE;
     }
 
-    if (output_length > operation->capacity) {
-        operation->capacity = 0;
-        /* Go through the error path to wipe all confidential data now
-         * that the operation object is useless. */
-        status = PSA_ERROR_INSUFFICIENT_DATA;
-        goto exit;
-    }
     if (output_length == 0 && operation->capacity == 0) {
         /* Edge case: this is a finished operation, and 0 bytes
          * were requested. The right error in this case could
@@ -4387,6 +4382,15 @@ psa_status_t psa_key_derivation_output_bytes(
          * output_length > 0. */
         return PSA_ERROR_INSUFFICIENT_DATA;
     }
+
+    LOCAL_OUTPUT_ALLOC(output_external, output_length, output);
+    if (output_length > operation->capacity) {
+        operation->capacity = 0;
+        /* Go through the error path to wipe all confidential data now
+         * that the operation object is useless. */
+        status = PSA_ERROR_INSUFFICIENT_DATA;
+        goto exit;
+    }
     operation->capacity -= output_length;
 
 #if defined(MBEDTLS_PSA_BUILTIN_ALG_HKDF)
@@ -4408,7 +4412,10 @@ psa_status_t psa_key_derivation_output_bytes(
         * MBEDTLS_PSA_BUILTIN_ALG_TLS12_PSK_TO_MS */
     {
         (void) kdf_alg;
-        return PSA_ERROR_BAD_STATE;
+        status = PSA_ERROR_BAD_STATE;
+        LOCAL_OUTPUT_FREE(output_external, output);
+
+        return status;
     }
 
 exit:
@@ -4420,8 +4427,12 @@ exit:
         psa_algorithm_t alg = operation->alg;
         psa_key_derivation_abort(operation);
         operation->alg = alg;
-        memset(output, '!', output_length);
+        if (output != NULL) {
+            memset(output, '!', output_length);
+        }
     }
+
+    LOCAL_OUTPUT_FREE(output_external, output);
     return status;
 }