If Nuwan Kulasekara's five wicket haul demolished the Australian attack, Mitchell Johnson's three-wicket haul initially troubled Sri Lanka as they were struggling at 37/4 after 12 overs.
McKay gave Australia the first breakthrough, as he dismissed Mahela Jayawardene for 7 in the first over. Later Johnson took over from McKay, as he claimed three quick wickets to dismiss Dilshan (22), Thirimanne (7) and Mathews (0) when Lankans were looking at scoring runs quickly.
Resuming play after the break, Lankans lost two more wickets (Tharanga, Jeevan Mendis) as Kushal Perera and Thisara Perera added 27 runs to win the third ODI against Australia to take a 2-1 lead in the series.
Australia Innings report: Sri Lanka's Nuwan Kulasekara, Lasith Malinga rip through Australia as they were bundled out for 74 in the third ODI between the two countries at Brisbane.
Australia registered its third lowest total in ODIs against Sri Lanka on Friday. Having won the toss and elected to bat, Australia were tottering at 40/9 before Mitchell Starc and Xavier Doherty added 34 runs off 8.1 overs, the highest partnership for Australia in the match.
Starc top scored with 22, while Doherty scored 15 runs before being dismissed by Eranga in the 27th over.
Nuwan Kulasekara (5/22), Malinga (3/14) Mathews (1/10), Eranga (1/12) demolished Aussies as they restricted them to 74, Australia's worst performance since 1986.
Though Australia surpassed its lowest ODI total, they were humiliated at Brisbane having been dismissed for 74 within 27 overs. They had earlier registered 70 against England and New Zealand in 1977 and 1986 respectively, which has been the team's lowest ODI total till date.
Australia lost its first wicket (Warner for 4) in the 3rd over and lost 9 wickets for 39 runs as Nuwan Kulasekara claimed his first five-wicket-haul in ODIs, with figures of 5/22 off his 10 overs.
Warner (4), Hughes (3), Michael Clarke (9), David Hussey (4), George Bailey (0), MS Wade (8), Henriquews (2), Johnson (2) McKay (0) all were dismissed within minutes as Sri Lankan bowlers went for the kill. With the series levelled at 1-1, Sri Lanka need 75 to win, in order to take a 2-1 lead in the series.
Australia's other worst performances so far in ODIs
70 Vs England in Birmingham (1977)
70 Vs New Zealand in Adelaide (1986)
91 Vs West Indies in Perth (1987)
93 Vs South Africa in Capetown (2006)