diff --git a/pandas/core/internals/blocks.py b/pandas/core/internals/blocks.py
index e4dcffae45f67..196ce6dbafb4f 100644
--- a/pandas/core/internals/blocks.py
+++ b/pandas/core/internals/blocks.py
@@ -711,13 +711,24 @@ def replace(
 
             # try again with a compatible block
             block = self.astype(object)
-            return block.replace(
+            block_replaced = block.replace(
                 to_replace=to_replace,
                 value=value,
                 inplace=inplace,
                 regex=regex,
                 convert=convert,
             )
+            blocks_converted = []
+            for ls_elem in block_replaced:
+                # If a replace was executed block_replaced is list of lists,
+                # if no replace was necessary block_replaced is only a list
+                if is_list_like(ls_elem):
+                    blocks_converted.extend(
+                        [sub_block.convert() for sub_block in ls_elem]
+                    )
+                else:
+                    blocks_converted.extend([ls_elem.convert()])
+            return blocks_converted
 
         values = self.values
         if lib.is_scalar(to_replace) and isinstance(values, np.ndarray):
diff --git a/pandas/tests/frame/methods/test_replace.py b/pandas/tests/frame/methods/test_replace.py
index a9fb686d5bc50..18648df5b8146 100644
--- a/pandas/tests/frame/methods/test_replace.py
+++ b/pandas/tests/frame/methods/test_replace.py
@@ -22,6 +22,20 @@ def mix_abc() -> Dict[str, List[Union[float, str]]]:
 
 
 class TestDataFrameReplace:
+    def test_replace_without_type_cast(self):
+        # PH: 32988: Fix unwanted type casting while replacing
+        result = pd.DataFrame(np.eye(2)).replace(
+            to_replace=[None, -np.inf, np.inf], value=pd.NA
+        )
+        tm.assert_frame_equal(result, pd.DataFrame(np.eye(2)))
+
+        result = pd.DataFrame(np.eye(2)).replace(
+            to_replace=[None, -np.inf, np.inf, 1.0], value=pd.NA
+        )
+
+        expected = pd.DataFrame({0: [np.nan, 0.0], 1: [0.0, np.nan]})
+        tm.assert_frame_equal(result, expected)
+
     def test_replace_inplace(self, datetime_frame, float_string_frame):
         datetime_frame["A"][:5] = np.nan
         datetime_frame["A"][-5:] = np.nan