What is this on my Lanai ceiling? I’m freaking out : HomeImprovement

Hi all, I just bought this house a couple months ago. I just noticed some spongy material poking out of the wood ceiling in my lanai. I have a large tiled balcony overhead. Do you think this happened due to a leak? Is this some sort of underlayment poking out? The holes in the wood are natural. Thank you!


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