Frost Bank: Yields and Funding Costs
Data as of · Call Report Schedules RI and RC-K How we update
What the bank earns on its assets, what it pays for its funding, and the spread between them. Net interest margin is the output of the two: it is the engine of earnings for almost every commercial bank.
Total interest expense rose 5.6% from Q1 2026 to Q2 2026, ending at $144.1M against $136.5M. It was the largest change among the key lines on this page. Within Texas, Frost Bank is 246th of 345 on net interest margin, 3.71% as of Q2 2026. Frost Bank reported 3.71% on net interest margin for Q2 2026, 0.12 points above the 3.59% median for banks in the $10B-100B asset tier.
Asset yields
| Line item | Q2 2026 |
|---|---|
| Yield on earning assets | 4.86% |
| Yield on loans | 6.16% |
| Yield on securities | 3.86% |
Funding costs
| Line item | Q2 2026 |
|---|---|
| Cost of funds | 1.21% |
| Cost of interest-bearing deposits | 1.60% |
| Cost of interest-bearing liabilities | 1.74% |
| Cost of borrowings | 2.69% |
Spread and margin
| Line item | Q2 2026 |
|---|---|
| Net interest margin | 3.71% |
| Yield to cost spread | 3.12% |
Interest income and expense
| Line item | Q2 2026 |
|---|---|
| Interest income on loans | $342.1M |
| Total interest expense | $144.1M |
| Interest expense on deposits | $114.6M |
Yields and Funding Costs trend
Last 12 quarters as filed. Every value plotted here also appears in the tables above.
Yields and Funding Costs by quarter
| Quarter | Yield on earning assets | Cost of funds | Net interest margin | Loans | Securities |
|---|---|---|---|---|---|
| Q3 2023 | 4.86% | 1.54% | 3.40% | 6.87% | 3.09% |
| Q4 2023 | 4.94% | 1.65% | 3.37% | 6.96% | 3.08% |
| Q1 2024 | 5.03% | 1.69% | 3.41% | 6.95% | 3.14% |
| Q2 2024 | 5.12% | 1.75% | 3.47% | 7.03% | 3.21% |
| Q3 2024 | 5.20% | 1.78% | 3.52% | 7.14% | 3.24% |
| Q4 2024 | 5.00% | 1.58% | 3.50% | 6.80% | 3.29% |
| Q1 2025 | 4.87% | 1.42% | 3.52% | 6.46% | 3.50% |
| Q2 2025 | 5.00% | 1.45% | 3.62% | 6.58% | 3.67% |
| Q3 2025 | 5.08% | 1.48% | 3.67% | 6.66% | 3.73% |
| Q4 2025 | 4.91% | 1.34% | 3.65% | 6.47% | 3.70% |
| Q1 2026 | 4.78% | 1.16% | 3.68% | 6.14% | 3.74% |
| Q2 2026 | 4.86% | 1.21% | 3.71% | 6.16% | 3.86% |
Frost Bank yields and funding costs, all the way back
Yields and Funding Costs back to 2001 · peer percentiles on every line item · Excel export
Unlock Frost Bank, freeSource: Call Report Schedules RI and RC-K, as filed with the FFIEC and standardized by BankRegReports. Dollar amounts are as reported, point-in-time; income statement items are year-to-date through the report date. See the full Frost Bank profile, peer group comparison, or how this data updates.
Regulator records: FDIC BankFind (cert 5510) · FFIEC NIC profile (RSSD 682563)