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The Indian duo of Satwiksairaj Rankireddy and Chirag Shetty also lost to top seeds Kevin Sukamuljo and Marcus Gideon of Indonesia 16-21, 18-21 in the men's doubles semifinal.
Sai Praneeth went down 12-21, 8-21 to Olympic champion and former world No.1 Viktor Axelsen of Denmark in the men's singles quarterfinals.
The 26-year-old Indian, who won a silver in the 2016 Rio Olympics, defended brilliantly and rode on her attacking all-round game to outclass the fourth seed.
While Srikanth lost 21-19, 9-21, 19-21 to Wang Tzu Wei of Chinese Taipei, Sindhu suffered an 18-21, 13-21 loss to Thailand's Ratchanok Intanon.
Sindhu and Srikanth fought their hearts out before suffering close defeats.
Satwiksairaj Rankireddy and Ashwini Ponappa stunned world No. 6 pair of Peng Soon Chan and Liu Ying Goh of Malaysia in a nail-biting mixed doubles quarterfinal.
World No. 31, who had shocked Malaysia's eighth seed Lee Zii Jia in the opening round, needed just 39 minutes to see off Rasmus Gemke 21-12, 21-9.
The world No.5 has been cleared of a doping charge after it was found she ingested contaminated meat.
She won 21-7, 21-7 to become the first Indian to clinch the World Championships gold.
Sindhu will face 2017 winner Nozomi Okuhara of Japan in the summit clash on Sunday.