Code generation formatting issue (wrong indentation) #3868

In vscode 1.95 with plugin version 1.36.0 (and probably later) the indentation of generated java code seems no longer to be correct:

Initial situtation in editor

Executed code generation action

Generated output (with wrong indent)

I've tested it on different machines (of my coworkers) and the generated code looks everywhere the same.
Modifying any indetation and formatting settings did also not help.

VSCode:
Version: 1.95.3
Electron 32.2.1
Chromium 128.0.6613.186
Node.js: 20.18.0
OS: Windows_NT x64 (WSL)