Level exported as USD from UE 5.2 doesn't have material overrides applied

When I export a level as a USD with “Bake Materials” enabled, none of the material overrides in the level are applied in the USD. I’ve been checking my exports by importing them into Blender and also combing through the USDA files.

I notice that the override materials do get exported and baked, but I couldn’t find anything in the USDA files that actually assigns the materials to the objects. I expected there to be a “MaterialOverrides.usda” file (as indicated here) but there is none.

Wondering if this is a bug or if I’m just missing a step somewhere. Been experiencing this after upgrading to 5.2. It was never an issue in 5.1.1.

Ever figure this out?