This study explores the emotional responses of first-grade students at an Islamic elementary school during reading activities using leveled picture storybooks. It examines the verbal and nonverbal forms of these responses, the types of emotions expressed and the dominant emotions, and the relationship between emotional responses and students’ cognitive and affective engagement in understanding the story. The study employed a descriptive qualitative approach with an exploratory design. Eighteen first-grade students were purposively selected as participants. Data were collected through observations during independent reading, brief post-reading interviews, and documentation. Data credibility was supported through method triangulation, and the data were analyzed using Miles and Huberman’s interactive model. Emotional responses were expressed through spontaneous utterances, questions, comments, and story retelling, as well as facial expressions, body movements, focused attention, and interactions with illustrations. Positive emotions were most prevalent, involving 14 students (77.78%), followed by neutral emotions (3 students; 16.67%) and mild negative emotions (1 student; 5.55%). Positive emotional responses co-occurred with high cognitive and affective engagement, enabling students to understand the story, connect it to personal experiences, and retell it coherently. These findings indicate that leveled picture storybooks can support students’ emotional, cognitive, and affective engagement in early literacy activities.