diff --git a/src/index.js b/src/index.js
index 31fe52fa..5c11e0bf 100644
--- a/src/index.js
+++ b/src/index.js
@@ -183,7 +183,8 @@ function renderToString(vnode, context, opts, inner, isSvgMode, selectValue) {
 			}
 
 			if (name==='dangerouslySetInnerHTML') {
-				html = v && v.__html;
+				html = v ? v.__html : null; // do not use v && v.__html to prevent dangerouslySetInnerHTML="foo"
+				pretty = false;
 			}
 			else if ((v || v===0 || v==='') && typeof v!=='function') {
 				if (v===true || v==='') {
diff --git a/test/pretty.js b/test/pretty.js
index ba85c556..82fb336c 100644
--- a/test/pretty.js
+++ b/test/pretty.js
@@ -21,6 +21,33 @@ describe('pretty', () => {
 		expect(rendered).to.equal(`<section><a href="/foo">foo</a>bar<p>hello</p></section>`);
 	});
 
+	it('should preserve indentation of dangerouslySetInnerHTML', () => {
+		let rendered = prettyRender(
+			<div>
+				<pre dangerouslySetInnerHTML={{ __html: 'foo\nbar' }} />
+			</div>
+		);
+
+		expect(rendered).to.equal(`<div>
+	<pre>foo
+bar</pre>
+</div>`);
+	});
+
+	it('should preserve indentation of multiline string child', () => {
+		let rendered = prettyRender(
+			<div>
+				<pre>{`
+  bar`}</pre>
+			</div>
+		);
+
+		expect(rendered).to.equal(`<div>
+	<pre>
+  bar</pre>
+</div>`);
+	});
+
 	it('should render whitespace when pretty=true', () => {
 		let rendered = prettyRender(
 			<section>
diff --git a/test/render.js b/test/render.js
index 3095d66a..2275fd06 100644
--- a/test/render.js
+++ b/test/render.js
@@ -712,6 +712,17 @@ describe('render', () => {
 			expect(html).to.equal('<div>\n\t<div>foo</div>\n\t<div>bar</div>\n\t<div>\n\t\t<div>baz</div>\n\t\t<div>quux</div>\n\t</div>\n</div>');
 		});
 
+		it('should preserve indentation of pre content', () => {
+			let rendered = render(
+				<div>
+					<pre dangerouslySetInnerHTML={{ __html: 'foo\nbar' }} />
+				</div>
+			);
+	
+			expect(rendered).to.equal(`<div><pre>foo
+bar</pre></div>`);
+		});
+
 		it('should skip Fragment even if it has props', () => {
 			let html = render(
 				<div>