Fast bowler Mitchell Starc returned to form with his 10th five-wicket haul as Australia bundled out Sri Lanka for 215 to take a first-innings lead of 319 on the third day of the second test at Manuka Oval.
Starc, who got the wicket of Sri Lanka captain Dinesh Chandimal on day two, bowled with pace and aggression to pick up the first two to fall on Sunday, then returned after lunch to polish off the tail and finish with figures of 5-54.
Kusal Perera did not return to bat for the touring side after being hit on his helmet and leaving the field.
The tourists lost the first match of the two-test series by an innings and 40 runs in Brisbane.
Australia`s second innings did not get off to a great start as they lost Marcus Harris, Joe Burns and Marnus Labuschagne cheaply to reach 67-3 at tea, an overall lead of 386.
Usman Khawaja was unbeaten on 25 with first-innings centurion Travis Head 11 not out for the hosts, who are looking to register their first series win since thumping England 4-0 in the Ashes at home early last year.
After opening batsman Dimuth Karunaratne was forced to retire hurt on the second day after being hit by a Pat Cummins bouncer on the back of his neck, it was Perera`s turn to leave the field on the third morning.
He retired hurt on 29 after a blow to his helmet by fast bowler Jhye Richardson while trying to duck under a short delivery. He took the impact flush on the side of his helmet with the neck protector flying off.
The left-hander continued batting after twice being attended to by the team doctor but finally walked off an over later.
Karunaratne returned to the crease after Perera`s departure and completed a gritty half-century before edging Starc to Kurtis Patterson at gully to be out for 59.
Starc took 15 wickets in five tests during the India series and the opener against Sri Lanka but faced heavy criticism for some wayward bowling that prompted calls for captain Tim Paine to take the new ball off his hands.
The tall left-arm quick was back at his fiery best on Sunday, however, and tested the batsmen with short-pitched deliveries, one of which accounted for Dhananjaya de Silva.
The batsman lost his balance while going for a pull shot and ended up dislodging a bail with his bat to be out for 25.
Starc dismissed Dilruwan Perera and Vishwa Fernando in his first over after lunch to complete his first five-wicket haul since his 5-34 against South Africa in Durban last March.
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