Opting to bat, Australia were restricted to a score of 272 runs despite Usman Khawaja hitting a century and Peter Handscomb slamming a half-century.
In reply, India were bowled out for 237 runs as the wickets kept tumbling and vice-captain Rohit Sharma did not find any support at the other end.
Sharma, who had hit a patient and crucial half-century, was the sole batsman to have kept the charge going while others, including skipper Virat Kohli, failed to stay on the crease for long.
Meanwhile, the only pair that saved India's pride at home was of Kedar Jadhav and Bhuvneshwar Kumar. The two played some phenomenal quick shots to reduce the run rate and target, which India at a point were very far from.
The hosts, at one point, were reduced to 136 for the loss of six wickets. It was after that the two took the charge and depleted the Australian bolwing attack for the next few overs.
However, both Jadhav and Kumar departed in quick succession for 44 and 46 runs respectively.
Meanwhile, Rishabh Pant, who was replaced in place of veteran batsman MS Dhoni, once again failed to share the pressure and departed for a poor 16 runs.
There were high expectations from Pant as he is well versed with the conditions of the Kotla ground. Though, his performance with the gloves were decent today in comparison to this 4th ODI, where he committed some serious mistakes that become one of the reasons why India lost the game.
In bowling, India were able to restrict the opponents from scoring a big total. Bhuvneshwar Kumar gave the best performance by clinching three wickets while Mohammed Shami and Ravindra Jadeja took two.
Left-arm bowler Kuldeep Yadav settled for one wicket.
For Australia, Adam Zampa was the most disastrous as he went on to take three while Pat Cummins and Jhye Richardson settled for a brace.
Chasing a target of 273 runs, India were bowled out for 237 as the wickets kept tumbling and vice-captain Rohit Sharma did not find any support at the other end.