diff --git a/tests/kernel/profiling/profiling_api/prj.conf b/tests/kernel/profiling/profiling_api/prj.conf
index f46372c436c..678d233cdc8 100644
--- a/tests/kernel/profiling/profiling_api/prj.conf
+++ b/tests/kernel/profiling/profiling_api/prj.conf
@@ -7,8 +7,6 @@ CONFIG_TEST_HW_STACK_PROTECTION=n
 # Disable HW Stack Protection (see #28664)
 CONFIG_HW_STACK_PROTECTION=n
 # to check idle thread
-CONFIG_PM=y
-CONFIG_PM_POLICY_CUSTOM=y
 CONFIG_IDLE_STACK_SIZE=2048
 # to check isr
 CONFIG_IRQ_OFFLOAD=y
diff --git a/tests/kernel/profiling/profiling_api/src/main.c b/tests/kernel/profiling/profiling_api/src/main.c
index baa79cdc879..8488df1ab6a 100644
--- a/tests/kernel/profiling/profiling_api/src/main.c
+++ b/tests/kernel/profiling/profiling_api/src/main.c
@@ -22,24 +22,6 @@ static void tdata_dump_callback(const struct k_thread *thread, void *user_data)
 	log_stack_usage(thread);
 }
 
-/* Our PM policy handler */
-const struct pm_state_info *pm_policy_next_state(uint8_t cpu, int32_t ticks)
-{
-	static bool test_flag;
-
-	ARG_UNUSED(cpu);
-
-	/* Call k_thread_foreach only once otherwise it will
-	 * flood the console with stack dumps.
-	 */
-	if (!test_flag) {
-		k_thread_foreach(tdata_dump_callback, NULL);
-		test_flag = true;
-	}
-
-	return NULL;
-}
-
 /*work handler*/
 static void work_handler(struct k_work *w)
 {
diff --git a/tests/kernel/profiling/profiling_api/testcase.yaml b/tests/kernel/profiling/profiling_api/testcase.yaml
index d4dad4abd08..0534fe6e4a4 100644
--- a/tests/kernel/profiling/profiling_api/testcase.yaml
+++ b/tests/kernel/profiling/profiling_api/testcase.yaml
@@ -11,4 +11,4 @@ tests:
       - nrf5340dk/nrf5340/cpunet
     tags:
       - kernel
-      - pm
+      - profiling