New Zealand's Jorja Miller (R) is consoled by Stacey Waaka during their quarter-final against Australia at the Perth leg of the sevens world series. Photo: Photosport
The Black Ferns Sevens' long winning run in Australia had ended after losing to the hosts in a drama-filled quarter-finals at the Perth world series event.
New Zealand lost 24-14 to their arch rivals, having been forced to play nearly the entire match with six players after playmaker Jorja Miller was shown a red card in the opening minute.
Despite taking the lead early in the second half, the Black Ferns couldn't hold on, ending a 20-match winning streak on Australian soil, which included pool wins earlier in the weekend against Japan, Ireland and the United States.
They will also lose further ground on series leaders Australia, who won both of the opening tournaments in Dubai and Cape Town in December.
Their hopes of winning the high-stakes quarter-final plunged when Miller was sent off for making high contact with Faith Nathan.
Australia took advantage with tries to Nathan and Madison Ashby although the ledger was squared soon before halftime when Australia's Maddison Levi was also shown a red card for a high shot.
With numbers restored, New Zealand took a 14-12 lead after the break thanks to a quick double from Michaela Blyde.
However, Australia finished stronger and created tries for Charlotte Caslick and Dominique Du Toit.
New Zealand's Tepaea Cook-Savage in action against Fiji. Photo: Photosport
The All Blacks' Sevens hopes ended in the group phase, losing 21-14 to Fiji in their last match to place third in the pool.
The tournament defending champions also failed to reach the final in Dubai or South Africa, leaving them with plenty of work to do to defend their series crown with five tournaments remaining in the eight-leg series.
Round four is in Vancouver in late February.