AOD on, watch still turns off on wrist down

If it is during the scheduled sleep hours, in the Sleep Mode, then it is normal. That's how is it designed to work. During the day, the watch stays on, if AoD is enabled in General Use. However, please bear on mind that AoD will drain the battery faster, and it will shorten the display life considerably. AMOLED displays burn in, and it happens despite that Garmin watches use to shift the screen a pixel or two frequently to prevent the burn-in.

Not during sleep hours. And yes I'm aware of the battery drain and burn in. Thank you.

My watch stays on when set to AoD. It just dims a bit, after the timeout. Double-check your sleep hours. Try disabling the sleep mode manually.

Not in sleep mode or hours, verified DND mode doesn't effect it and can't find another option to change the behavior. Even turned off everything for sleep mode. No change. 

I do not know your phone, but see a moon icon near the time 2:57 on the second screenshot, which to me looks like a symbol of the night time (though I may be wrong) - are you sure you have the correct time on the phone (and on the watch)?

2:57 AM would be within your scheduled sleep time. Did you try disabling the Sleep Mode directly on the watch (in case it is on)? Does the screen go completely black, or just dims? Which software version is on your watch? (See in in System » About)

Moon is just DND. Phone time is correct, iphone 15 pro. It was dimming yesterday as it was supposed to but now it's doing this. Completely off on wrist down and I did try disabling sleep mode altogether.

And the firmware version? Did you try connecting to Garmin Express and checking for updates? I also recommend doing the hard-reset - sync, then press the Light button for some 30s till it completely shuts down (hold the button through the emergency alert, if it comes), wait little bit, and then restart. No worry, no data or settings will be lost with it. 

I just tested it - it is the DND mode on the watch that makes it to go dark after the timeout (to avoid disturbing you)

6.28. Did hard reset and still doing it. I noticed on wrist down, it dims for a second or two then goes off. DND mode is off from phone and watch and still the same.

M3NSO said:

DND mode is off from phone and watch and still the same.

Did you check the DND mode directly on the watch? And I mean through the Controls menu on the watch, not through Garmin Connect!