Zlatko Dalic's side beat the Euro 2016 winners in the Lisbon suburb of Oeiras to send Group B rivals Spain and Italy a warning.

Roberto Martinez's Portugal, among the contenders to win the tournament, fell to only their second defeat in 13 matches under the Spaniard.

Talisman Cristiano Ronaldo was left on the bench by Martinez, whose side spurned chances to equalise in the second half.

Croatia had the better of the opening period against the subdued hosts and veteran Luka Modric netted his 25th international goal from the penalty spot after Vitinha felled Mateo Kovacic.

Real Madrid midfielder Modric, 38, is hoping to finish on a high in what is likely to be the last major international tournament of his career.

Manchester City defender Josko Gvardiol twice came close, while Porto goalkeeper Diogo Costa denied Andrej Kramaric and Ante Budimir headed off target.

Substitute Diogo Jota, on at the break, pulled Portugal level early in the second half but Budimir soon restored Croatia's advantage with a header after Mario Pasalic hit the crossbar.

Portugal upped their game with Rafael Leao and Joao Cancelo creating danger in search of a leveller but the visitors held on for a second friendly victory after beating North Macedonia.

Martinez's side have one final tune-up friendly, against Ireland on Tuesday in Aveiro.

Portugal are favourites to progress from Group F which also contains the Czech Republic, Turkey and Georgia.

Euro 2024 begins on June 14 in Germany.