Water Damage Repair - Drywall Repair How To

I have a 3 by 5 foot section of ceiling that was damaged due to a leaking shower above. What is the best way to repair this ceiling? Cut out this section and replace with new material?

I am going to assume the ceiling is drywall. If the ceiling is just badly discolored, you can repaint it with a shellac based product like BIM. Or shellac it and repaint it. If the drywall is damaged, sagging or crumbly, then it should be replaced. You can cut the bad stuff away up to a joist. Remove all the bad stuff. Cut the sheetrock down the center of a joist to allow the new piece to rest on a half of the joist. Cut the new piece to fit the section you removed, and screw and tape it in... And of course in the end.. you will need to paint it to match the texture of the existing ceiling.