Not sure what all that silicone is there for, probably prevents spouts from proper fit over the stem. Clean everything out, change/replace all of the components and put it back in place, and see if that will solve the issue. If not, call a plumber.

Good luck

@GN Builders L.L.C I don’t know why the silcone mess was there either. We did clean it all up and put it back on but it still leaks. When you say change/replace all the components which do you mean? The tub spout is not even 4 years old. It is a Grohe Parkfield.

That stub piece you have sticking out can be removed... Use a specified allen hex wrench and remove that piece... maybe it's not sitting properly, maybe it's loose, maybe the thread was stripped during installation, maybe the entire piece needs to be replaced...

@GN Builders L.L.C Thank you. We did think that might be the problem. We were going to try and tighten it first. We have a big set of allen hex wrenches but not 14mm so my husband is going to buy one and see if that helps. If not we will replace the stub piece. Do you know if the stub piece is specific to the tub spout or is this something that can be found in a Lowes or Home Depot? Thanks for your help.

I would contact Grohe directly, and they will send you a replacement...I doubt any box stores will have this part in stock, especially I think that line of Grohe was discontinued... But Grohe offers lifetime replacements on all fixture parts, so a good chance you will get a replacement.

I have all Grohe fixtures throughout my house, going on 20 yrs now since I build it, thank god I only needed one kitchen faucet part a few years ago and Grohe shipped replacement part free of charge.

Good luck!