diff --git a/package/network/services/dnsmasq/Makefile b/package/network/services/dnsmasq/Makefile
index ae3662b3f5..02712bdc7d 100644
--- a/package/network/services/dnsmasq/Makefile
+++ b/package/network/services/dnsmasq/Makefile
@@ -9,7 +9,7 @@ include $(TOPDIR)/rules.mk
 
 PKG_NAME:=dnsmasq
 PKG_VERSION:=2.66
-PKG_RELEASE:=4
+PKG_RELEASE:=5
 
 PKG_SOURCE:=$(PKG_NAME)-$(PKG_VERSION).tar.gz
 PKG_SOURCE_URL:=http://thekelleys.org.uk/dnsmasq
diff --git a/package/network/services/dnsmasq/files/dnsmasq.init b/package/network/services/dnsmasq/files/dnsmasq.init
index 561f89d33d..ca3bb5248e 100644
--- a/package/network/services/dnsmasq/files/dnsmasq.init
+++ b/package/network/services/dnsmasq/files/dnsmasq.init
@@ -408,6 +408,9 @@ dhcp_domain_add() {
 	[ -n "$ip" ] || return 0
 
 	for name in $names; do
+		[ "${name%.*}" == "$name" ] && \
+			name="$name${DOMAIN:+.$DOMAIN}"
+
 		record="${record:+$record/}$name"
 	done
 
@@ -531,7 +534,7 @@ start_service() {
 	# add own hostname
 	[ $ADD_LOCAL_HOSTNAME -eq 1 ] && [ -n "$lanaddr" ] && {
 		local hostname="$(uci_get system @system[0] hostname OpenWrt)"
-		dhcp_hostrecord_add "" "$hostname${DOMAIN:+.$DOMAIN $hostname}" "$lanaddr"
+		dhcp_hostrecord_add "" "${hostname%.$DOMAIN}${DOMAIN:+.$DOMAIN ${hostname%.$DOMAIN}}" "$lanaddr"
 	}
 
 	echo >> $CONFIGFILE