diff --git a/CHANGELOG.md b/CHANGELOG.md
index f98c3e79d0b61ad4a401948f15994e4560463e95..13fc238a6d36eaf3771278171e611b3694c4aff0 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -1,3 +1,7 @@
+# Version 0.6.1 (2020-05-12)
+
+- Fix LTO regressions in nightly toolchain [#52](https://github.com/paritytech/cargo-contract/pull/52)
+
 # Version 0.6.0 (2020-03-25)
 
 - First release to crates.io
diff --git a/Cargo.lock b/Cargo.lock
index 1679b110405c45aa00937f3a964978ef4222c42f..583740a0981fb78b9416e019a85de385bf885218 100644
--- a/Cargo.lock
+++ b/Cargo.lock
@@ -288,7 +288,7 @@ checksum = "130aac562c0dd69c56b3b1cc8ffd2e17be31d0b6c25b61c96b76231aa23e39e1"
 
 [[package]]
 name = "cargo-contract"
-version = "0.6.0"
+version = "0.6.1"
 dependencies = [
  "anyhow",
  "assert_matches",
@@ -320,9 +320,9 @@ dependencies = [
 
 [[package]]
 name = "cargo-xbuild"
-version = "0.5.28"
+version = "0.5.31"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "b8cf1fcfab5ef1b3aeacb5bc16c248ecc4ef9e3e81ed96087e3801b81b305ca0"
+checksum = "c6c11ec6bf11f95578c3698b9dab2d605df796e32886d65431b87a434691b8c5"
 dependencies = [
  "cargo_metadata",
  "error-chain",
diff --git a/Cargo.toml b/Cargo.toml
index fe4d4e62eee717c8cf3a76e038ba3a0781b0d220..603a7be47546dbe0ae4ebbf3c05d1c58938273b5 100644
--- a/Cargo.toml
+++ b/Cargo.toml
@@ -1,6 +1,6 @@
 [package]
 name = "cargo-contract"
-version = "0.6.0"
+version = "0.6.1"
 authors = ["Parity Technologies <admin@parity.io>"]
 build = "build.rs"
 edition = "2018"
@@ -29,7 +29,7 @@ codec = { package = "parity-scale-codec", version = "1.2" }
 which = "3.1.0"
 colored = "1.9"
 toml = "0.5.4"
-cargo-xbuild = "0.5.26"
+cargo-xbuild = "0.5.31"
 rustc_version = "0.2.3"
 serde_json = "1.0"
 tempfile = "3.1.0"
diff --git a/src/cmd/build.rs b/src/cmd/build.rs
index 0537b19af4b7fccdf1ee09e9728bf8b298801d28..ea25295ebf802fed95b214130a445da7f54ec0a4 100644
--- a/src/cmd/build.rs
+++ b/src/cmd/build.rs
@@ -138,7 +138,9 @@ fn build_cargo_project(crate_metadata: &CrateMetadata, verbosity: Option<Verbosi
 
     Workspace::new(&crate_metadata.cargo_meta, &crate_metadata.root_package.id)?
         .with_root_package_manifest(|manifest| {
-            manifest.with_removed_crate_type("rlib")?;
+            manifest
+                .with_removed_crate_type("rlib")?
+                .with_profile_release_lto(true)?;
             Ok(())
         })?
         .using_temp(xbuild)?;
diff --git a/src/cmd/metadata.rs b/src/cmd/metadata.rs
index 87d5cb2eb309c9a1bb2d88edb073fe9146d58ee5..98803c77541685f7ac8a0042f666e5b4009df066 100644
--- a/src/cmd/metadata.rs
+++ b/src/cmd/metadata.rs
@@ -59,7 +59,9 @@ pub(crate) fn execute_generate_metadata(
 
     Workspace::new(&metadata, &root_package_id)?
         .with_root_package_manifest(|manifest| {
-            manifest.with_added_crate_type("rlib")?;
+            manifest
+                .with_added_crate_type("rlib")?
+                .with_profile_release_lto(false)?;
             Ok(())
         })?
         .using_temp(generate_metadata)?;
diff --git a/src/workspace.rs b/src/workspace.rs
index 37f74d8ff360768e497501af1571509d9b6381a2..1aa708659d50cf8feae9e6dbca666e8946b4f60e 100644
--- a/src/workspace.rs
+++ b/src/workspace.rs
@@ -135,6 +135,26 @@ impl Manifest {
         Ok(self)
     }
 
+    /// Set `[profile.release]` lto flag
+    pub fn with_profile_release_lto(&mut self, enabled: bool) -> Result<&mut Self> {
+        let profile = self
+            .toml
+            .entry("profile")
+            .or_insert(value::Value::Table(Default::default()));
+        let release = profile
+            .as_table_mut()
+            .ok_or(anyhow::anyhow!("profile should be a table"))?
+            .entry("release")
+            .or_insert(value::Value::Table(Default::default()));
+        let lto = release
+            .as_table_mut()
+            .ok_or(anyhow::anyhow!("release should be a table"))?
+            .entry("lto")
+            .or_insert(enabled.into());
+        *lto = enabled.into();
+        Ok(self)
+    }
+
     /// Remove a value from the `[lib] crate-types = []` section
     ///
     /// If the value does not exist, does nothing.