The South American side had stormed into a two-goal lead with less than 30 minutes gone through Formiga and a Marta penalty.

To make matters worse for Australia they also lost influential skipper Cheryl Salisbury to injury in the 20th minute.

But Sermanni's side pulled a goal back in the 36th minute through Lisa De Vanna before they completed an impressive fightback in the 68th minute when Lauren Colthorpe headed home.

However, with extra time just 15 minutes away, Cristiane fired home a spectacular winner to send Brazil through.

Despite the defeat, Sermanni insists the tournament has done wonders for bringing on the development of his players.

"Even though Brazil were very strong, we had plenty of chances to win the game," he said.

"In the first half our number five, Cheryl Sainsbury, went off injured. She's our captain and at the heart of our defence, so that was a big blow for us.

"We've made great headway at this year's World Cup, we've brought a lot of youngsters along and the tournament has done wonders for their development.

"The players weren't afraid to get stuck in, especially against the strongest teams in the world, and we've played to our full potential."

Victorious Brazil coach Jorge Barcellos declared himself delighted with his side's performance against a resilient Australia.

The Matildas' two goals was the first time Brazil's defence has been breached in the tournament and Barcellos admits they provided a tough challenge.

"After we went 2-0 up in the first half, the players relaxed a little and our opponents got back on level terms," he said.

"We eventually managed to change our tactics just in time and got the win. I'm delighted with the whole team's performance.

"Australia only had four shots on goal, so their success rate is 50%. They also counter-attacked very quickly and were tough to break down."

Brazil, looking to secure a historic first-ever Women's World Cup trophy, will meet the United States in the semi-finals on Thursday.