When using core course formats such as 'Topics' or 'Weekly' in which all the course content is displayed on the same page, generating and using permalinks works as expected. You click the three dots to the right of each Topic title and you select the 'Permalink' option:

The link generated has the following format:  "course/view.php?id=XX#sectionid-ID-title"

However, when using formats like 'OneTopic', 'Flexible' or 'Grid' in which the content is divided into several different tabs or sections, the link generated by the 'Permalink' button does not work anymore. That is because this generated link still uses the same # anchor format to point to topics/sections. However, in this case these are displayed on separate pages or tabs and the permalink is unable to reach them this way.

The new topic/section addresses take the following format: "course/view.php?id=XX&section=Y". Moodle should be able to adapt the way it generates links when the course format is changed.

As a workaround, correct links can be generated by copying the links from Topic/Section titles in the tab list or on the left hand side menu:

Is there a way to improve the permalink functionality so that the link generated changes depending on the course format?

If this is not possible, the permalink button should at least be disabled for course formats such as 'OneTopic', 'Flexible' or 'Grid'.

Alternatively, if this should rather be implemented by the plugin developers for the aforementioned course formats, I could also report it to them.