Principal 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.
The largest change between Q1 2026 and Q2 2026 was in Total interest expense, which rose 5.2% to $40.8M. Principal Bank has the 10th lowest net interest margin of the 225 banks headquartered in Iowa, at 2.35% as of Q2 2026. The median for banks in the $1B-10B asset tier is 3.71% on net interest margin. Principal Bank sits 1.36 points lower, at 2.35% (Q2 2026).
Asset yields
| Line item | Q2 2026 |
|---|---|
| Yield on earning assets | 3.99% |
| Yield on loans | 4.06% |
| Yield on securities | 3.84% |
Funding costs
| Line item | Q2 2026 |
|---|---|
| Cost of funds | 1.77% |
| Cost of interest-bearing deposits | 1.78% |
| Cost of interest-bearing liabilities | 1.78% |
| Cost of borrowings | — |
Spread and margin
| Line item | Q2 2026 |
|---|---|
| Net interest margin | 2.35% |
| Yield to cost spread | 2.21% |
Interest income and expense
| Line item | Q2 2026 |
|---|---|
| Interest income on loans | $29.9M |
| Total interest expense | $40.8M |
| Interest expense on deposits | $40.8M |
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 | 4.18% | 2.09% | 2.29% | 3.39% | 4.04% |
| Q4 2023 | 4.33% | 2.23% | 2.32% | 3.49% | 4.10% |
| Q1 2024 | 4.48% | 2.36% | 2.32% | 3.59% | 4.35% |
| Q2 2024 | 4.42% | 2.44% | 2.22% | 3.61% | 4.29% |
| Q3 2024 | 4.61% | 2.30% | 2.52% | 3.80% | 4.53% |
| Q4 2024 | 4.27% | 2.21% | 2.25% | 3.48% | 4.20% |
| Q1 2025 | 4.25% | 1.99% | 2.43% | 3.84% | 4.13% |
| Q2 2025 | 4.17% | 2.02% | 2.32% | 4.05% | 3.94% |
| Q3 2025 | 4.10% | 2.03% | 2.23% | 3.70% | 4.02% |
| Q4 2025 | 4.08% | 1.83% | 2.39% | 3.93% | 3.90% |
| Q1 2026 | 3.94% | 1.74% | 2.34% | 4.00% | 3.74% |
| Q2 2026 | 3.99% | 1.77% | 2.35% | 4.06% | 3.84% |
Principal 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 Principal 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 Principal Bank profile, peer group comparison, or how this data updates.
Regulator records: FDIC BankFind (cert 34507) · FFIEC NIC profile (RSSD 2654911)