Help! What went wrong with my bread machine bread?

Followed this recipe: - 1 cup warm water - 3 tbsps white sugar - 3 tbsps vegetable oil - 1.5 tsps salt - 3 cups all purpose flour - 1 satchet of yeast

I added an egg to the recipe as well

I let the yeast, sugar and water sit for a few minutes to get foamy. But it came out like this and it was wet inside and tasted awful. Only rose a few inches. What’d I do wrong?