CN Energy (CNEY) 6-K 30 Sep 24 2024 Q2 Unaudited Condensed Consolidated Financial Statements Financial data

Cover

Cover	6 Months Ended
	Mar. 31, 2024
Cover [Abstract]
Entity Registrant Name	CN ENERGY GROUP. INC.
Entity Central Index Key	0001780785
Document Type	6-K
Amendment Flag	false
Current Fiscal Year End Date	--09-30
Document Period End Date	Mar. 31, 2024
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2024
Entity Ex Transition Period	false
Entity File Number	001-39978
Entity Address Address Line 1	Building 2-B, Room 206
Entity Address Address Line 2	No. 268 Shiniu Road
Entity Address Address Line 3	Liandu District
Entity Address City Or Town	Lishui City

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Current Assets:
Cash	$ 126,416	$ 195,502
Accounts receivable, net	33,374,714	29,012,866
Inventories, net	4,030,745	2,655,233
Advances to suppliers, net	29,244,201	39,044,066
Prepaid expenses and other current assets	1,443,289	1,541,698
Total current assets	68,219,365	72,449,365
Biological assets, net	28,187,520	28,355,589
Property, plant and equipment, net	13,262,082	13,834,393
Land use right, net	6,617,882	6,653,666
Long-term deposits	1,108,126	1,096,628
Prepayment for property, plant and equipment	874,554	3,606,708
Right-of-use assets	149,277	195,813
Intangible assets, net	2,941	3,060
Total Assets	118,421,747	126,195,222
Current Liabilities:
Short-term loans	4,695,096	4,646,382
Long-term loans, current portion	565,535	548,245
Convertible notes	1,198,729	2,027,500
Accounts payable	5,915,780	12,565,401
Deferred revenue, current	220,212	80,866
Due to related parties	512,531	152,556
Taxes payable	82,948	83,190
Lease liabilities	0	31,602
Prepayment from customers	4,654	1,146,988
Accrued expenses and other current liabilities	2,298,511	1,160,540
Total current liabilities	15,493,996	22,443,270
Long-term loans, non-current portion	0	34,266
Deferred revenue, non-current	81,714	121,299
Deferred tax liabilities	25,547	34,153
Total liabilities	15,601,257	22,632,988
Shareholders' Equity:
Additional paid-in capital	8,865,199	8,865,199
Statutory reserves	527,634	526,217
Accumulated deficits	(6,168,669)	(3,211,885)
Accumulated other comprehensive loss	(7,662,265)	(8,771,028)
Total shareholders' equity	102,820,490	103,562,234
Total Liabilities and Shareholders' Equity	118,421,747	126,195,222
Class B Ordinary Share
Shareholders' Equity:
Class A ordinary share, no par value, unlimited number of shares authorized; 3,077,186 and 2,285,826 shares issued and outstanding as of March 31, 2024 and September 30, 2023, respectively*	4,231,055	4,231,055
Class A Ordinary Share
Shareholders' Equity:
Class A ordinary share, no par value, unlimited number of shares authorized; 3,077,186 and 2,285,826 shares issued and outstanding as of March 31, 2024 and September 30, 2023, respectively*	$ 103,027,536	$ 101,922,676

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - shares	Mar. 31, 2024	Sep. 30, 2023
Class B Ordinary Share
Ordinary shares, issued	100,698	100,698
Ordinary shares, outstanding	100,698	100,698
Class A Ordinary Share
Ordinary shares, issued	3,077,186	2,285,826
Ordinary shares, outstanding	3,077,186	2,285,826

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS) AND COMPREHENSIVE INCOME (LOSS) (UNAUDITED) - USD ($)	6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS) AND COMPREHENSIVE INCOME (LOSS) (UNAUDITED)
Revenues	$ 31,285,396	$ 22,675,117
Cost of revenues	(31,220,004)	(21,876,277)
Gross profit	65,392	798,840
Operating expenses:
Allowance for receivables and inventories	(995,155)	(2,005,902)
Selling expenses	0	(44,082)
General and administrative expenses	(1,659,355)	(2,521,813)
Research and development expenses	(133,290)	(589,090)
Total operating expenses	(2,787,800)	(5,160,887)
Loss from operations	(2,722,408)	(4,362,047)
Other income (expenses):
Interest expense	(285,371)	(274,696)
Government subsidy income	40,936	426,629
Interest income	358	282
Other income	2,183	42,795
Total other (expense) income, net	(241,894)	195,010
Loss before income taxes	(2,964,302)	(4,167,037)
Income tax benefits (expenses)	8,935	(4,141)
Net loss	(2,955,367)	(4,171,178)
Net loss	(2,955,367)	(4,171,178)
Other comprehensive (loss) income:
Foreign currency translation gain	1,108,763	3,767,765
Comprehensive loss	$ (1,846,604)	$ (403,413)
Loss per share
Basic	$ (1.64)	$ (0.09)
Diluted	$ (1.64)	$ (0.09)
Weighted average shares outstanding*
Basic 1	1,802,948	1,489,732
Diluted 1	5,269,745	1,725,078

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (UNAUDITED) - USD ($)	Total	Class A Ordinary Share	Class B Ordinary Share	Additional Paid-In Capital	Statutory Reserves	Retained Earnings (Accumulated Deficit)	Accumulated other comprehensive loss
Balance, shares at Sep. 30, 2022		668,755	100,698
Balance, amount at Sep. 30, 2022	$ 63,782,326	$ 54,278,472	$ 4,231,055	$ 8,865,199	$ 524,723	$ 2,415,349	$ (6,532,472)
Issuance of ordinary shares for private placement, net, shares		350,467
Issuance of ordinary shares for private placement, net, amount	18,000,000	$ 18,000,000	0	0	0	0	0
Issuance of ordinary shares for acquisition, shares		293,984
Issuance of ordinary shares for acquisition, amount	18,373,771	$ 18,373,771	0	0	0	0	0
Issuance of ordinary shares and warrants, net, shares		502,322
Issuance of ordinary shares and warrants, net, amount	7,820,433	$ 7,820,433	0	0	0	0	0
Issuance of ordinary share for services, shares		66,667
Issuance of ordinary share for services, amount	1,100,000	$ 1,100,000	0	0	0	0	0
Net loss for the period	(4,171,178)	0	0	0	0	(4,171,178)	0
Appropriation to statutory reserve	0	0	0	0	8,537	(8,537)	0
Foreign currency translation gain	3,767,765	$ 0	$ 0	0	0	0	3,767,765
Balance, shares at Mar. 31, 2023		1,882,195	100,698
Balance, amount at Mar. 31, 2023	108,673,117	$ 99,572,676	$ 4,231,055	8,865,199	533,260	(1,764,366)	(2,764,707)
Balance, shares at Sep. 30, 2023		2,285,826	100,698
Balance, amount at Sep. 30, 2023	103,562,234	$ 101,922,676	$ 4,231,055	8,865,199	526,217	(3,211,885)	(8,771,028)
Net loss for the period	(2,955,367)	0	0	0	0	(2,955,367)	0
Appropriation to statutory reserve	0	0	0	0	1,417	(1,417)	0
Foreign currency translation gain	1,108,763	$ 0	0	0	0	0	1,108,763
Issuance of ordinary shares for convertible notes redemption, shares		691,610
Issuance of ordinary shares for convertible notes redemption, amount	960,000	$ 960,000	0	0	0	0	0
Issuance of ordinary shares for warrants exercised, shares		100,000
Issuance of ordinary shares for warrants exercised, amount	145,290	$ 145,290	0	0	0	0	0
Effect of reverse share split, shares		(250)
Effect of reverse share split, amount	(430)	$ (430)	$ 0	0	0	0	0
Balance, shares at Mar. 31, 2024		3,077,186	100,698
Balance, amount at Mar. 31, 2024	$ 102,820,490	$ 103,027,536	$ 4,231,055	$ 8,865,199	$ 527,634	$ (6,168,669)	$ (7,662,265)

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($)	6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Cash flows from operating activities:
Net loss	$ (2,955,367)	$ (4,171,178)
Allowance for accounts receivable	(317,232)	1,890,745
Allowance for advances to suppliers	1,349,917	92,198
Allowance for prepaid expenses and other current assets	148,975	(3,659)
Allowance for inventories	(186,505)	0
Depreciation expense	718,862	782,906
Loss on disposal of property and equipment	0	497
Amortization of operating lease right-of-use assets	48,682	56,153
Amortization of intangible assets and land use right	105,898	100,514
Depreciation of biological assets	466,256	401,621
Deferred income taxes	(8,982)	0
Amortization of deferred revenue	(40,936)	(49,252)
Amortization of debts issuance costs	0	124,167
Interest expenses	212,277	0
Changes in operating assets and liabilities:
Accounts receivable	(3,748,263)	(3,462,885)
Inventory	(1,163,768)	(2,493,735)
Advances to suppliers	8,878,992	(33,081,045)
Prepaid expenses and other current assets	(67,605)	(317,769)
Accounts payable	(2,562,091)	10,523,215
Operating lease liabilities	(31,994)	966
Taxes payable	(1,116)	(137,337)
Accrued expenses and other current liabilities	(1,425,200)	457,757
Net cash used in operating activities	(579,200)	(29,286,121)
Cash flows from investing activities:
Other receivables	$ 25,000	(999,865)
Purchase of treasury shares	(430)
Purchase of property, plant and equipment	$ (122)	(9,862)
Acquisition of a subsidiary, net of cash	0	620
Net cash provided by (used in) investing activities	24,448	(1,009,107)
Cash flows from financing activities:
Proceeds from convertible notes	0	3,000,000
Proceeds from issuance of shares and warrants	0	7,820,433
Proceeds from warrants exercised	145,290	0
Proceeds from related parties loans	361,528	235,477
Repayment of bank loans	(23,128)	(1,502,577)
Proceeds from bank loans	0	2,151,525
Net cash provided by financing activities	483,690	11,704,858
Effect of exchange rate changes on cash	1,976	1,219,847
Net decrease in cash	(69,086)	(17,370,523)
Cash, beginning of period	195,502	18,046,872
Cash, end of period	126,416	676,349
Supplemental disclosure information:
Cash paid for income tax	11	6,319
Cash paid for interest	36,715	126,503
Supplemental non-cash activities:
Issuance of shares for acquisition	$ 0	$ 18,373,771

Organization and nature of busi

Organization and nature of business	6 Months Ended
	Mar. 31, 2024
Organization and nature of business
Organization and nature of business	Note 1 – Organization and nature of business CN ENERGY GROUP. INC. (“CN Energy”) is a holding company incorporated under the laws of the British Virgin Islands on November 23, 2018. CN Energy, through its subsidiaries (collectively, the “Company”), manufactures and supplies wood-based activated carbon that is primarily used in pharmaceutical manufacturing, industrial manufacturing, water purification, environmental protection, and food and beverage production (“Activated Carbon Production”), and produces of biomass electricity generated in the process of producing activated carbon (“Biomass Electricity Production”). Reorganization In connection with its initial public offering, the Company undertook a reorganization of its legal structure (the “Reorganization”). The Reorganization involved: (1) the incorporation of CN Energy, a British Virgin Islands holding company; (2) the incorporation of Clean Energy Holdings Limited (“Energy Holdings”), a Hong Kong holding company; (3) the incorporation of Zhejiang CN Energy Technology Development Co., Ltd. (“Zhejiang CN Energy”) and Manzhouli CN Energy Industrial Co., Ltd. (“Manzhouli CN Energy”), two new wholly foreign-owned enterprises (the “WFOEs,” and each a “WFOE”) formed by Energy Holdings under the laws of the People’s Republic of China (“China” or the “PRC”); (4) the incorporation of Manzhouli CN Energy Technology Co., Ltd. (“Manzhouli CN Technology”), a PRC company, of which 90% of the equity interests are owned by Manzhouli CN Energy, and the remaining 10% by Zhejiang CN Energy; (5) the incorporation of CN Energy Industrial Development Co., Ltd. (“CN Energy Development”), a PRC company, of which 70% of the equity interests are owned by Manzhouli CN Technology and the remaining 30% by Zhejiang CN Energy; (6) the acquisition of 100% of the equity interests of Greater Khingan Range Forasen Energy Technology Co., Ltd. (“Khingan Forasen”) by CN Energy Development; and (7) the issuance of 10,000,000 ordinary shares of CN Energy to the original shareholders of Khingan Forasen. In relation to the Reorganization, a series of agreements were signed among CN Energy, the original shareholders of Khingan Forasen, CN Energy Development, and offshore holding companies controlled by the original shareholders of Khingan Forasen on August 12, 2019 and August 28, 2019. In accordance with Accounting Standards Codification (“ASC”) 805-50-25, the Reorganization has been accounted for as a recapitalization among entities under common control since the same shareholders controlled all these entities prior to the Reorganization. The consolidation of CN Energy and its subsidiaries has been accounted for at historical cost and prepared on the basis as if the aforementioned transactions had become effective as of the beginning of the first period presented in the accompanying consolidated financial statements. Results of operations for the period presented comprise those of the previously separate entities combined from the beginning of the period to the end of the period. By eliminating the effects of intra-entity transactions in determining the results of operations for the period before the Reorganization, those results will be on substantially the same basis as the results of operations for the period after the date of Reorganization. The effects of intra-entity transactions on current assets, current liabilities, revenue, and cost of sales for periods presented and on retained earnings at the beginning of the periods presented are eliminated to the extent possible. Furthermore, ASC 805-50-45-5 indicates that the financial statements and financial information presented for prior years also shall be retrospectively adjusted to furnish comparative information. In May and June 2021, the Company conducted another reorganization in order to simplify its corporate structure and make use of supportive government policies. The reorganization consisted of (i) the transfer of 60% of the equity interests in CN Energy Development from Manzhouli CN Technology to Zhejiang CN Energy, (ii) the transfer of 100% of the equity interests in Manzhouli Zhongxing Energy Technology Co., Ltd. (“Zhongxing Energy”) from Khingan Forasen to CN Energy Development, (iii) the transfer of 100% of the equity interests in Hangzhou Forasen Technology Co., Ltd. (“Hangzhou Forasen”) from Khingan Forasen to CN Energy Development, and (iv) the formation of Zhejiang CN Energy New Material Co., Ltd. (“Zhejiang New Material”), a PRC company wholly owned by CN Energy Development. Reorganization (Continued) CN Energy, the ultimate holding company, currently owns 100% of the equity interests of CN Energy Development, which in turn owns 100% of the equity interests of Khingan Forasen, Hangzhou Forasen, Zhongxing Energy, and Zhejiang New Material. On March 31, 2022, CN Energy USA Inc (“CN Energy USA”) was incorporated under the laws of the State of Delaware, the United States of America. CN Energy owns 100% of the equity interests in CN Energy USA. On April 8, 2022, Zhoushan Xinyue Trading Co., Ltd (“Zhoushan Trading”) was incorporated under the laws of the PRC. Hangzhou Forasen owns 100% of the equity interests in Zhoushan Trading. On April 13, 2022, Ningbo Nadoutong Trading Co., Ltd (“Ningbo Trading”) was incorporated under the laws of the PRC. CN Energy Development owns 100% of the equity interests in Ningbo Trading. On October 11, 2022, Zhejiang Yongfeng New Material Technology Co., Ltd. (“Zhejiang Yongfeng New Material”) was incorporated under the laws of the PRC. Hangzhou Forasen owns 100% of the equity interests in Zhejiang Yongfeng New Material. On November 11, 2022, CN Energy completed an acquisition of MZ Mining International Co., Ltd (“MZ HK”), a Hong Kong company that wholly owns MZ Pintai Mining (Zhejiang) Co., Ltd (“MZ Pintai”), which is a Chinese company that wholly owns Yunnan Yuemu Agriculture and Forestry Technology Co., Ltd (“Yunnan Yuemu”), pursuant to an equity transfer agreement (the “Equity Transfer Agreement”) dated September 30, 2022 with Shenzhen Xiangfeng Trading Co., Ltd. (the “Seller”). The Seller is independent from all directors and officers of CN Energy, and the Company itself. Pursuant to the Equity Transfer Agreement, the Seller first transferred 100% of its equity interests in Yunnan Honghao Forestry Development Co., Ltd. (“Yunnan Honghao”), a wholly owned subsidiary of the Seller, to Yunnan Yuemu, and the Seller then sold and transferred, and CN Energy purchased and acquired, 100% of its equity interests in MZ HK for a consideration of $17,706,575.88 and the issuance of 8,819,520 Class A ordinary shares of CN Energy, having a value of $18,373,771, delivered to the Seller and its designees. Currently, CN Energy has subsidiaries in countries and jurisdictions including the PRC, Hong Kong, the British Virgin Islands, and the State of Delaware. Details of the subsidiaries of CN Energy are set out below: Date of Place of % of Name of Entity Incorporation Incorporation Ownership Principal Activities CN Energy November 23, 2018 British Virgin Islands Parent Holding company Energy Holdings August 29, 2013 Hong Kong, China 100% Holding company Zhejiang CN Energy January 14, 2019 Zhejiang, China 100% Holding company Manzhouli CN Energy January 24, 2019 Inner Mongolia, China 100% Holding company Manzhouli CN Technology June 10, 2019 Inner Mongolia, China 100% Holding company CN Energy Development April 18, 2019 Zhejiang, China 100% Holding company Khingan Forasen March 5, 2009 Heilongjiang, China 100% Produces and distributes activated carbon and biomass electricity Hangzhou Forasen March 16, 2006 Zhejiang, China 100% Distributes activated carbon products Zhongxing Energy May 21, 2018 Inner Mongolia, China 100% Produce activated carbon and steam for heating Zhejiang New Material May 24, 2021 Zhejiang, China 100% Produce and sell wading activated carbon in the future CN Energy USA March 31, 2022 Delaware, U.S. 100% Investment, consultation and trading, inactive. Zhoushan Trading April 8, 2022 Zhejiang, China 100% Trading. Ningbo Trading April 13, 2022 Zhejiang, China 100% Trading. Zhejiang Yongfeng New Material October 11, 2022 Zhejiang, China 100% Trading. MZ HK December 6, 2018 Hong Kong, China 100% Holding company MZ Pintai January 22, 2019 Zhejiang, China 100% Holding company Yunnan Yuemu September 2, 2022 Yunnan, China 100% Holding company Yunnan Honghao May 6, 2013 Yunnan, China 100% Forestry project investment and development Zhejiang Yongfeng October 11, 2022 Zhejiang, China 100% Holding company

Summary of significant accounti

Summary of significant accounting policies	6 Months Ended
	Mar. 31, 2024
Summary of significant accounting policies
Summary of significant accounting policies	Note 2 – Summary of significant accounting policies Basis of presentation and principles of consolidation The accompanying unaudited condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”) and have been consistently applied. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. These financial statements should be read in conjunction with the audited financial statements and notes thereto for the fiscal years ended September 30, 2023 and 2022. Operating results for the six months ended March 31, 2024 are not necessarily indicative of the results that may be expected for the year ending September 30, 2024. The unaudited condensed consolidated financial statements of the Company reflect the principal activities of CN Energy and its subsidiaries. All significant intercompany balances and transactions are eliminated upon consolidation. Use of estimates In preparing the unaudited condensed consolidated financial statements in conformity with U.S. GAAP, management makes estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the dates of the unaudited condensed consolidated financial statements, as well as the reported amounts of revenue and expenses during the reporting periods. Significant items subject to such estimates and assumptions include, but are not limited to, the valuation of inventory, accounts receivable, advances to suppliers, notes receivable, other receivables, useful lives of property, plant and equipment and intangible assets, the recoverability of long-lived assets, provision necessary for contingent liabilities, revenue recognition, and realization of deferred tax assets. Actual results could differ from those estimates. Accounts receivable Accounts receivable are presented net of an allowance for doubtful accounts. The Company maintains an allowance for doubtful accounts for estimated losses. The Company reviews its accounts receivable on a periodic basis and makes general and specific allowances when there is doubt as to the collectability of individual balances. In evaluating the collectability of individual receivable balances, the Company considers many factors, including the age of the balance, customer payment history, customer’s current credit-worthiness, and current economic trends. Accounts are written off against the allowance after efforts at collection prove unsuccessful. Inventor ies The Company values its inventory at the lower of cost, determined on a weighted average basis, or net realizable value. Costs include the cost of raw materials, freight, direct labor, and related production overhead. Net realizable value is estimated using selling price in the normal course of business less any costs to complete and sell products. The Company reviews its inventory periodically to determine if any reserves are necessary for potential obsolescence or if the carrying value exceeds net realizable value. The costs of forestry inventories are transferred from biological assets at their costs at the point of harvest. The cost of inventories also includes capitalized production costs, including labor, materials, post-harvest costs, and depreciation. Inventoried costs are transferred to cost of goods sold in the same period as when the products are sold. Forestry inventories, capitalized production costs, and biological asset adjustments are measured at the lower of cost or net realizable value. The amount of any write-down of inventories to net realizable value and all losses of inventories are recognized as an expense in the period when the write-down or loss occurs. Advances to suppliers Advances to suppliers consist of balances paid to suppliers for services and materials that have not been provided or received. The Company reviews its advances to suppliers on a periodic basis and makes general and specific allowances when there is doubt as to the ability of a supplier to provide supplies to the Company or refund an advance. Biological assets The Company’s biological assets consist of forests which are not yet harvested. Biological assets are initially measured at cost and subsequently depreciated on a straight-line basis over its estimated useful lives. The Company capitalizes all related direct and indirect costs of production to the biological assets at costs at each reporting date. At the point of harvest, the biological assets are transferred to inventory at their costs. Property, plant, and equipment Property, plant, and equipment are stated at cost less accumulated depreciation. The cost of an asset comprises its purchase price and any directly attributable costs of bringing the asset to its present working condition and location for its intended use. Depreciation is computed on a straight-line basis over the estimated useful lives of the related assets. The estimated useful lives for significant property and equipment are as follows: Useful life Property and buildings 20 years Machinery and equipment 10 years Vehicles 4 years Office equipment 3 - 5 years Expenditures for maintenance and repair, which do not materially extend the useful lives of the assets, are charged to expense as incurred. Expenditures for major renewals and betterments, which substantially extend the useful life of assets, are capitalized. The cost and related accumulated depreciation of assets retired or sold are removed from the respective accounts, and any gain or loss is recognized in income from operations in the consolidated statements of income and comprehensive income. Construction-in-progress represents property and buildings under construction and consists of construction expenditures, equipment procurement, and other direct costs attributable to the construction. Construction-in-progress is not depreciated. Upon completion and ready for intended use, construction-in-progress is reclassified to the appropriate category within property, plant, and equipment. Prepayment for property and equipment represents payment made for production line equipment to be installed in the new production plant in Manzhouli City. Prepayment for property and equipment is not depreciated. Upon readiness for intended use, prepayment for property and equipment is reclassified to the appropriate category within property, plant, and equipment. Land use right Land use right is recorded at cost less accumulated amortization. Amortization is provided on a straight-line basis over the estimated useful life which is 50 years and represents the shorter of the estimated usage period or the terms of the agreement. Intangible assets Intangible assets consist primarily of patents and software. Intangible assets are stated at cost less accumulated amortization, which are amortized using the straight-line method with the following estimated useful lives: Useful life Purchased patents 10 years Software 10 years Goodwill In accordance with ASC 350, Intangibles - Goodwill and Other, the Company assesses goodwill for impairment annually as of September 30, and more frequently if events and circumstances indicate that goodwill might be impaired. Goodwill impairment testing is performed at the reporting unit level. Goodwill is assigned to reporting units at the date the goodwill is initially recorded. Once goodwill has been assigned to reporting units, it no longer retains its association with a particular acquisition, and all of the activities within a reporting unit, whether acquired or internally generated, are available to support the value of the goodwill. Traditionally, goodwill impairment testing is a two-step process. Step one involves comparing the fair value of the reporting units to its carrying amount. If the carrying amount of a reporting unit is greater than zero and its fair value is greater than its carrying amount, there is no impairment. If the reporting unit’s carrying amount is greater than the fair value, the second step must be completed to measure the amount of impairment, if any. Step two involves calculating an implied fair value of goodwill. The Company determines the fair value of its reporting units using an income approach. Under the income approach, the Company determined fair value based on estimated discounted future cash flows of each reporting unit. Determining the fair value of a reporting unit is judgmental in nature and requires the use of significant estimates and assumptions, including revenue growth rates and EBITDA margins, discount rates and future market conditions, among others. If the initial accounting for a business combination is incomplete by the end of the reporting period in which the combination occurs, the Company reports provisional amounts for the items for which the accounting is incomplete. Those provisional amounts are adjusted during the measurement period (see below), or additional assets or liabilities are recognized, to reflect new information obtained about facts and circumstances that existed as of the acquisition date that, if known, would have affected the amounts recognized as of that date. The measurement period is the period from the date of acquisition to the date the Company obtains complete information about facts and circumstances that existed as of the acquisition date and is subject to a maximum of one year from acquisition date. Impairment of long-lived assets The Company reviews long-lived assets, including definitive-lived intangible assets, for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If the estimated cash flows from the use of the asset and its eventual disposition are below the asset’s carrying value, then the asset is deemed to be impaired and written down to its fair value. There were no impairments of these assets as of March 31, 2024 and September 30, 2023. Leases The Company accounts for leases following ASC 842, Leases The Company determines if an arrangement is a lease at inception. Operating leases are included in operating lease right-of-use (“ROU”) assets, current portion of obligations under operating leases, and obligations under operating leases, non-current on the Company’s consolidated balance sheets. Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most of the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. The operating lease ROU asset also includes any lease payments made and excludes lease incentives and includes initial direct costs incurred. The Company’s lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. Lease expenses for minimum lease payments are recognized on a straight-line basis over the lease term. See Note 18 for further discussion. Fair value of financial instruments The Company applies ASC 820, Fair Value Measurements and Disclosures ASC 820 establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: · Level 1 - Inputs are unadjusted quoted prices in active markets for identical assets or liabilities available at the measurement date. · Level 2 - Inputs are unadjusted quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, inputs other than quoted prices that are observable, and inputs derived from or corroborated by observable market data. · Level 3 - Inputs are unobservable inputs which reflect the reporting entity’s own assumptions about what assumptions market participants would use in pricing the asset or liability based on the best available information. Any transfers of assets or liabilities between Level 1, Level 2, and Level 3 of the fair value hierarchy will be recognized at the end of the reporting period in which the transfer occurs. There were no transfers between fair value levels in any of the periods presented herein. Unless otherwise disclosed, the fair value of the Company’s financial instruments including cash, term deposit, notes receivable, accounts receivable, advances to suppliers, other receivables, prepaid expenses and other current assets, short-term bank loans, long-term bank loans, current accounts payable, deferred revenue, current, due to related parties, taxes payable, and accrued expenses and other current liabilities approximate their recorded values due to their short-term maturities. The fair value of long-term bank loan and operating lease liabilities approximate their recorded values as their stated interest rates approximate the rates currently available. Revenue recognition The Company accounts for revenue recognition under Accounting Standards Codification 606, Revenue from Contracts with Customers The Company also provides technical service to customers who purchase activated carbon from the Company. The revenue of technical service is recognized on a straight-line basis over the service period as earned. The transaction price of activated carbon and technical services is determined based on fixed consideration in the Company’s customer contracts. Pursuant to the power purchase agreements entered into between the Company and the respective provincial power grid company, the Company’s sales of biomass electricity were made to the power grid company at the tariff rates agreed upon with the provincial power grid company as approved by the relevant government authorities in the PRC. In determining the transaction price, no significant financing components exist since the timing from when the Company invoices its customers to when payment is received is less than one year. Revenue is reported net of all value added taxes. The Company generally does not permit customers to return products and historically, customer returns have been immaterial. In the event the Company receives an advance from a customer, such advance is recorded as a liability to the Company. The Company reduces the liability and recognizes revenue after the delivery of goods occurs. The core principle underlying ASC 606 is that the Company recognizes revenue to represent the transfer of goods and services to customers in an amount that reflects the consideration to which the Company expects to be entitled in such exchange. This requires the Company to identify contractual performance obligations and determine whether revenue should be recognized at a point in time or over time, based on when control of goods and services transfers to a customer. The Company’s sales contracts of activated carbon have one single performance obligation as the promise to transfer the individual goods is not separately identifiable from other promises in the contracts and is, therefore, not distinct. Therefore, the sale of activated carbon is recognized at a point in time. The Company’s sales contracts of biomass electricity have a single performance obligation that represents a promise to transfer to the customer a series of distinct goods that are substantially the same and that have the same pattern of transfer to the customer. The Company’s performance obligation is satisfied over time as biomass electricity is delivered. There were no contract assets as of March 31, 2024 and September 30, 2023. For the six months ended March 31, 2024 and 2023, revenue recognized from performance obligations related to prior periods was insignificant. Revenue expected to be recognized in any future periods related to remaining performance obligations is insignificant. Revenue recognition (Continued) The Company has elected the following practical expedients in applying ASC 606: · Unsatisfied Performance Obligations – for all performance obligations related to contracts with a duration of less than one year, the Company has elected to apply the optional exemption provided in ASC 606, and therefore is not required to disclose the aggregate amount of the transaction price allocated to performance obligations that are unsatisfied or partially unsatisfied at the end of the reporting period. · Contract Costs - all incremental customer contract acquisition costs are expensed as they are incurred as the amortization period of the asset that the Company otherwise would have recognized is one year or less in duration. · Significant Financing Component - the Company does not adjust the promised amount of consideration for the effects of a significant financing component as the Company expects, at contract inception, that the period between when the Company transfers a promised good or service to a customer and when the customer pays for that good or service will be one year or less. · Sales Tax Exclusion from the Transaction Price - the Company excludes from the measurement of the transaction price all taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction and collected by the Company from the customer. · Shipping and Handling Activities - the Company elected to account for shipping and handling activities as a fulfillment cost rather than as a separate performance obligation. Refer to Note 20—Segment reporting for details of revenue disaggregation. Cost of revenue Cost of revenue includes cost of raw materials purchased, inbound freight cost, cost of direct labor, depreciation expense, and other overhead. Write-down of inventory for lower of cost or net realizable value adjustments is also recorded in cost of revenue. Research and development expenses Research and development expenses include costs directly attributable to the conduct of research and development projects, including the cost of salaries and other employee benefits. All costs associated with research and development are expensed as incurred. Shipping and handling All shipping and handling costs are expensed as incurred and included in selling expenses. Total shipping and handling expenses were nil and $15,725 for the six months ended March 31, 2024 and 2023, respectively. Government subsidy income The Company receives various government grants from time to time. There is no guarantee that the Company will continue to receive such grants in the future. For the six months ended March 31, 2024 and 2023, the Company had subsidy income of $40,936 and $426,629, including $40,936 and $121,142 for equipment of energy projects grants, and nil and $305,487 of value-added tax refund, respectively. In January 2014, April 2014, and December 2019, the Company received government subsidies of approximately $840,000, $140,000 and $140,000 for equipment of energy projects, respectively. These subsidies were one-time grants, and the Company recognizes the income over the useful lives of the equipment. As of March 31, 2024 and September 30, 2023, the balance of unrecognized government grants was $220,212 and $202,165, respectively, which was recorded in deferred revenue. Income taxes CN Energy’s subsidiaries in the USA, PRC and Hong Kong are subject to the income tax laws of the USA, PRC and Hong Kong, respectively. No taxable income was generated outside the PRC for the six months ended March 31, 2024 and 2023. The Company accounts for income taxes in accordance with ASC 740, Income Taxes ASC 740-10-25 prescribes a more-likely-than-not threshold for financial statement recognition and measurement of a tax position taken (or expected to be taken) in a tax return. It also provides guidance on the recognition of income tax assets and liabilities, classification accounting for interest and penalties associated with tax positions, years open for tax examination, accounting for income taxes in interim periods and income tax disclosures. There were no material uncertain tax positions as of March 31, 2024 and September 30, 2023. As of March 31, 2024, the tax returns for the calendar years ended December 31, 2016 through December 31, 2023 for CN Energy’s PRC subsidiaries remain open for statutory examination by PRC tax authorities. Value added tax (“VAT”) Sales revenue represents the invoiced value of goods, net of VAT. The VAT is based on gross sales price and VAT rates range up to 13%, depending on the type of products sold. The VAT may be offset by VAT paid by the Company on raw materials and other materials included in the cost of producing or acquiring its finished products. The Company recorded a VAT payable or receivable net of payments in the accompanying unaudited condensed consolidated financial statements. All of the VAT returns filed by CN Energy’s subsidiaries in the PRC, have been and remain subject to examination by the tax authorities for five years from the date of filing. Each local tax authority at times may grant tax holidays to local enterprises as a way to encourage entrepreneurship and stimulate local economy. Khingan Forasen and its branch office, Greater Khingan Range Forasen Energy Technology Co., Ltd. Tahe Biopower Plant (“Biopower Plant”), are entitled to 70% VAT refund as they meet the requirement of national comprehensive utilization of resources program. For the six months ended March 31, 2024 and 2023, the amount of nil and $0.3 million VAT refund was recorded in government subsidy income, respectively. Concentrations of credit risk Financial instruments which potentially subject the Company to concentrations of credit risk consist principally of cash, term deposit, notes receivable, accounts receivable, advances to suppliers, and other receivables. All of the Company’s cash is maintained with banks within the PRC. Cash maintained in banks within the PRC of less than RMB0.5 million ($69,383) per bank are covered by “deposit insurance regulation” promulgated by the State Council of the PRC. While management believes that these financial institutions are of high credit quality, it also continually monitors their credit worthiness. The Company has not experienced any losses in such accounts. A significant portion of the Company’s sales are credit sales which are primarily to customers whose ability to pay is dependent upon the industry economics prevailing in these areas. The Company also makes cash advances to certain suppliers to ensure the stable supply of key raw materials. The Company performs ongoing credit evaluations of its customers and key suppliers to help further reduce credit risk. Comprehensive income Comprehensive income consists of two components, net income and other comprehensive income (loss). Other comprehensive income (loss) refers to revenue, expenses, gains, and losses that under U.S. GAAP are recorded as elements of shareholders’ equity but are excluded from net income. Other comprehensive income (loss) consists of foreign currency translation adjustment from the Company not using U.S. dollar as its functional currency. Foreign currency translation The Company’s financial information is presented in U.S. dollars. The functional currency of the Company is the Renminbi (“RMB”), the currency of the PRC. Any transactions denominated in currencies other than RMB are translated into RMB at the exchange rate quoted by the People’s Bank of China prevailing at the dates of the transactions, and exchange gains and losses are included in the statements of income as foreign currency transaction gain or loss. The consolidated financial statements of the Company have been translated into U.S. dollars in accordance with ASC 830, Foreign Currency Matters The exchange rate in effect as of March 31, 2024 and September 30, 2023 was US$1 for RMB7.2203 and US$1 for RMB7.2960, respectively. The average exchange rate for the six months ended March 31, 2024 and 2023 was US$1 for RMB7.2064 and US$1 for RMB6.9718, respectively. Earnings Per Share The Company computes earnings per share (“EPS”) in accordance with ASC 260, Earnings per Share Statement of cash flows In accordance with ASC 230, Statement of Cash Flows Risks and uncertainties The operations of the Company are located in the PRC. Accordingly, the Company’s business, financial condition, and results of operations may be influenced by the political, economic, and legal environments in the PRC, in addition to the general state of the PRC economy. The Company’s results may be adversely affected by changes in the political and social conditions in the PRC, and by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion and remittance abroad, and rates and methods of taxation, among other things. The Company’s sales, purchases, and expense transactions are denominated in RMB, and all of the Company’s assets and liabilities are also denominated in RMB. RMB is not freely convertible into foreign currencies under the current law. In the PRC, foreign exchange transactions are required by law to be transacted only by authorized financial institutions at exchange rates set by the People’s Bank of China, the central bank of the PRC. Remittances in currencies other than RMB may require certain supporting documentation in order to effect the remittance. The Company does not carry any business interruption insurance, product liability insurance, or any other insurance policy except for a limited property insurance policy. As a result, the Company may incur uninsured losses, increasing the possibility that investors would lose their entire investment in the Company. Recent accounting pronouncements The Company considers the applicability and impact of all ASUs. Management periodically reviews new accounting standards that are issued. In September 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. The FASB is issuing the amendments to enhance the transparency and decision usefulness of income tax disclosures. Investors currently rely on the rate reconciliation table and other disclosures, including total income taxes paid, to evaluate income tax risks and opportunities. While investors find these disclosures helpful, they suggested possible enhancements to better (1) understand an entity’s exposure to potential changes in jurisdictional tax legislation and the ensuing risks and opportunities, (2) assess income tax information that affects cash flow forecasts and capital allocation decisions, and (3) identify potential opportunities to increase future cash flows. The FASB decided that the amendments should be effective for public business entities for annual periods beginning after December 15, 2024. Early adoption is permitted. The adoption of this guidance did not have a material impact on its financial position, results of operations and cash flows. In July 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. The amendments in ASU 2023-07 improve reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. The amendments in ASU 2023-07 improve financial reporting by requiring disclosure of incremental segment information on an annual and interim basis for all public entities to enable investors to develop more decision-useful financial analyses. The amendments are effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. The adoption of this guidance did not have a material impact on its financial position, results of operations and cash flows. The Company does not believe other recently issued but not yet effective accounting standards, if currently adopted, would have a material effect on the Company’s consolidated financial position, statements of operations, cash flows, and disclosures.

Accounts receivable net

Accounts receivable net	6 Months Ended
	Mar. 31, 2024
Accounts receivable net
Accounts receivable, net	Note 3 – Accounts receivable, net Accounts receivable consisted of the following: March 31, September 30, 2024 2023 (unaudited) Accounts receivable $ 33,559,596 $ 29,509,165 Less: allowance for doubtful accounts (184,882 ) (496,299 ) Accounts receivable, net $ 33,374,714 $ 29,012,866 The Company’s accounts receivable primarily include balances due from customers when the Company’s activated carbon products and biomass electricity are sold and delivered to customers. The movement of allowance for doubtful accounts was as follows: March 31, September 30, 2024 2023 (unaudited) Balance as of beginning of period $ 496,299 $ 330,990 Addition - 179,562 Reversal (317,232 ) - Translation adjustments 5,815 (14,253 ) Balance as of end of period $ 184,882 $ 496,299

Inventory

Inventory	6 Months Ended
	Mar. 31, 2024
Inventory
Inventory	Note 4 – Inventory Inventory consisted of the following: March 31, September 30, 2024 2023 (unaudited) Raw materials $ 2,633,372 $ 1,619,534 Finished goods 1,402,063 1,224,555 Sub-total 4,035,435 2,844,089 Less: allowance for inventory (4,690 ) (188,856 ) Total $ 4,030,745 $ 2,655,233 The movement of allowance for inventory was as follows: March 31, September 30, 2024 2023 (unaudited) Balance as of beginning of period $ 188,856 - Addition - 195,355 Reversal (186,505 ) - Translation adjustments 2,339 6,499 Balance as of end of period $ 4,690 $ 188,856

Advances to suppliers net

Advances to suppliers net	6 Months Ended
	Mar. 31, 2024
Advances to suppliers net
Advances to suppliers, net	Note 5 – Advances to suppliers, net Advances to suppliers represent prepayments made to ensure continuous high-quality supply and favorable purchase prices. Advances to suppliers consisted of the following: March 31, September 30, 2024 2023 (unaudited) Advances for raw materials purchase $ 30,646,304 $ 39,098,283 Less: allowance for doubtful accounts (1,402,103 ) (54,217 ) Advances to suppliers, net $ 29,244,201 $ 39,044,066 The movement of allowance for doubtful accounts was as follows: March 31, September 30, 2024 2023 (unaudited) Balance as of beginning of period $ 54,217 $ 261,518 Addition 1,349,917 - Reversal - (207,668 ) Translation adjustments (2,031 ) 367 Balance as of end of period $ 1,402,103 $ 54,217

Biological assets

Biological assets	6 Months Ended
	Mar. 31, 2024
Biological assets
Biological assets	Note 6 – Biological assets Biological assets mainly consist forest for future wood harvest and sales, of which the Company owned 29 forest right certificates with expiry dates ranging from August 2053 to December 2076 and with an aggregate area of 14.5 square miles. Biological assets are initially measured at cost and subsequently depreciated on a straight-line basis over its estimated useful lives. March 31, September 30, 2024 2023 (unaudited) Biological assets $ 29,506,036 $ 29,199,895 Less: accumulated depreciation (1,318,516 ) (844,306 ) Biological assets, net $ 28,187,520 $ 28,355,589 Depreciation expenses were $466,256 and $401,621 for the six months ended March 31, 2024 and 2023, respectively.

Property plant and equipment ne

Property plant and equipment net	6 Months Ended
	Mar. 31, 2024
Property plant and equipment net
Property, plant, and equipment, net	Note 7 – Property, plant, and equipment, net Property, plant, and equipment, stated at cost less accumulated depreciation, consisted of the following: March 31, September 30, 2024 2023 (unaudited) Machinery and equipment $ 9,598,017 $ 9,498,312 Property and buildings 7,701,474 7,621,567 Vehicles 217,454 215,198 Office equipment 87,196 86,291 Subtotal 17,604,141 17,421,368 Construction in progress 5,216,649 5,162,523 Less: accumulated depreciation (9,558,708 ) (8,749,498 ) Property, plant and equipment, net $ 13,262,082 $ 13,834,393 Depreciation expense was $718,862 and $782,906 for the six months ended March 31, 2024 and 2023, respectively.

Land use right net

Land use right net	6 Months Ended
	Mar. 31, 2024
Land use right net
Land use right, net	Note 8 – Land use right, net Land use right, net consisted of the following: March 31, September 30, 2024 2023 (unaudited) Land use right $ 6,959,643 $ 6,887,433 Less: accumulated amortization (341,761 ) (233,767 ) Land use right, net $ 6,617,882 $ 6,653,666 Amortization expense was $105,747 and $91,796 for the six months ended March 31, 2024 and 2023, respectively. Estimated future amortization expense is as follows: Amortization expense Remainder of fiscal 2024 $ 154,405 Fiscal 2025 308,809 Fiscal 2026 308,809 Fiscal 2027 308,809 Fiscal 2028 308,809 Thereafter 5,228,241 Total $ 6,617,882

Longterm deposits

Longterm deposits	6 Months Ended
	Mar. 31, 2024
Longterm deposits
Long-term deposits	Note 9 – Long-term deposits Long-term deposits consisted of the following: March 31, September 30, 2024 2023 (unaudited) Construction deposit (a) $ 831,129 $ 822,505 Deposit for acquisition of land use rights (b) 276,997 274,123 Long-term deposits $ 1,108,126 $ 1,096,628 (a) On June 25, 2020, the Company entered into a construction agreement with a third party, Manzhouli Lancheng Project Management Co., Ltd., for the first stage of construction of the Company’s new facility in Manzhouli City, China. Pursuant to the agreement, the Company made a payment of RMB6 million (equivalent to $831,129 as of March 31, 2024) as a security deposit. The deposit is interest-free and is refundable upon the completion of the project. (b) The Company paid a deposit of RMB2 million (equivalent to $276,997 as of March 31, 2024) to the Finance Bureau designated by the Tahe County Land and Resources Bureau, to bid for the acquisition of the land use rights for the land which the Company leases from Tahe County and where Biopower Plant is currently located. The deposit is interest-free and refundable if the Company decides not to purchase the land use rights when the lease expires in April 2029.

Prepayment for property plant a

Prepayment for property plant and equipment	6 Months Ended
	Mar. 31, 2024
Prepayment for property plant and equipment
Prepayment for property, plant and equipment	Note 10 – Prepayment for property , plant and equipment As of March 31, 2024, the Company had prepayment in the amount of $0.9 million for the production line equipment to be installed in the new production plant in Manzhouli City. The contractual amount was $1.1 million, the remaining $0.2 million was disclosed as capital commitment.

Intangible assets net

Intangible assets net	6 Months Ended
	Mar. 31, 2024
Intangible assets net
Intangible assets, net	Note 11 – Intangible assets, net Intangible assets, net consisted of the following: March 31, September 30, 2024 2023 (unaudited) Software $ 14,196 $ 14,049 Purchased patents 987,533 977,287 Subtotal 1,001,729 991,336 Less: accumulated amortization (998,788 ) (988,276 ) Intangible assets, net $ 2,941 $ 3,060 Amortization expenses were $151 and $8,718 for the six months ended March 31, 2024 and 2023, respectively. Estimated future amortization expenses are as follows: Amortization expense Remainder of fiscal 2024 $ 226 Fiscal 2025 452 Fiscal 2026 452 Fiscal 2027 452 Fiscal 2028 452 Thereafter 907 Total $ 2,941

Short-term and long-term bank l

Short-term and long-term bank loans	6 Months Ended
	Mar. 31, 2024
Short-term and long-term bank loans
Short-term and long-term bank loans	Note 1 2 – Short-term and long-term bank loans March 31, September 30, 2024 2023 (unaudited) Short-term loans Industrial and Commercial Bank of China $ 1,731,231 $ 1,713,267 Bank of Beijing 1,177,236 1,165,022 China Resources Shenzhen Guotou Trust Co., Ltd 692,492 685,307 China Zheshang Bank Co., Ltd. 678,642 671,601 Pingan Bank Co., Ltd. 415,495 411,185 Total short-term loans $ 4,695,096 $ 4,646,382 Long-term loans Long-term loans, current portion Xiaoshan Rural Commercial Bank $ 415,495 $ 411,184 Kincheng Bank Co., Ltd. 150,040 137,061 Total long-term loans, current portion $ 565,535 $ 548,245 Long-term loans, non-current portion Kincheng Bank Co., Ltd. - $ 34,266 Total long-term loans, non-current portion - $ 34,266 Total long-term loans $ 565,535 $ 582,511 Total short-term and long-term loans $ 5,260,631 $ 5,228,893 The following table summarizing the loan commencement date, loan maturity date, loan amount in RMB and its equivalent to the United States dollar, and the effective interest rate of each secured and unsecured short-term and long-term bank loan: Loan Loan Loan Loan Effective commencement maturity amount amount interest As of March 31, 2024 date date in RMB in USD rate Note Secured short-term loans Industrial and Commercial Bank of China May 25, 2022 April 19, 2024 4,500,000 $ 623,243 3.75 % 1,8 Industrial and Commercial Bank of China June 24, 2022 May 28, 2024 5,000,000 692,492 4.35 % 2,8 Bank of Beijing December 9, 2022 December 8, 2023 5,000,000 692,492 4.50 % 3,8 Bank of Beijing May 31, 2023 May 30, 2024 3,500,000 484,744 4.00 % 3,8 China Zheshang Bank Co., Ltd. June 29, 2023 June 28, 2024 4,900,000 678,642 5.50 % 4,8 Pingan Bank Co., Ltd. December 7, 2022 December 5, 2023 3,000,000 415,495 6.00 % 5,8 Total secured short-term loans 25,900,000 $ 3,587,108 Unsecured short-term loans China Resources Shenzhen Guotou Trust Co., Ltd July 3, 2023 June 13, 2024 5,000,000 $ 692,492 3.40 % 8 Industrial and Commercial Bank of China December 7, 2022 November 22, 2023 1,500,000 207,748 4.45 % 8 Industrial and Commercial Bank of China December 8, 2022 November 22, 2023 1,500,000 207,748 4.45 % 8 Total unsecured short-term loans 8,000,000 $ 1,107,988 Total short-term loans 33,900,000 $ 4,695,096 Secured long-term loans Kincheng Bank Co., Ltd. November 30, 2022 December 1, 2024 1,083,333 150,040 18.00 % 6,8 Xiaoshan Rural Commercial Bank July 19, 2022 July 17, 2025 3,000,000 415,495 6.16 % 7,8 Total long-term loans 4,083,333 $ 565,535 Total short-term and long-term loans 37,983,333 $ 5,260,631 Loan Loan Loan Loan Effective commencement maturity amount amount interest As of September 30, 2023 date date in RMB in USD rate Note Secured short-term loans Industrial and Commercial Bank of China May 25, 2022 April 19, 2024 4,500,000 $ 616,776 3.75 % 1 Industrial and Commercial Bank of China June 24, 2022 May 28, 2024 5,000,000 685,307 4.35 % 2 Bank of Beijing December 9, 2022 December 8, 2023 5,000,000 685,307 4.50 % 3 Bank of Beijing May 31, 2023 May 30, 2024 3,500,000 479,715 4.0 % 3 China Zheshang Bank Co., Ltd. June 29, 2023 June 28, 2024 4,900,000 671,601 5.5 % 4 Pingan Bank Co., Ltd. December 7, 2022 December 5, 2023 3,000,000 411,185 6.0 % 5 Total secured short-term loans 25,900,000 $ 3,549,891 Unsecured short-term loans China Resources Shenzhen Guotou Trust Co., Ltd July 3, 2023 June 13, 2024 5,000,000 $ 685,307 3.40 % Industrial and Commercial Bank of China December 7, 2022 November 22, 2023 1,500,000 205,592 4.45 % 8 Industrial and Commercial Bank of China December 8, 2022 November 22, 2023 1,500,000 205,592 4.45 % 8 Total unsecured short-term loans 8,000,000 $ 1,096,491 Total short-term loans 33,900,000 $ 4,646,382 Secured long-term loans Kincheng Bank Co., Ltd. November 30, 2022 December 1, 2024 1,250,000 171,327 18.00 % 6 Xiaoshan Rural Commercial Bank July 19, 2022 July 17, 2025 3,000,000 411,184 6.16 % 7 Total long-term loans 4,250,000 $ 582,511 Total short-term and long-term loans 38,150,000 $ 5,228,893 (1) The loan is guaranteed by a third party, Heilongjiang Xinzheng Financing Guarantee Group Co., Ltd., for up to 80% of the outstanding principal and normal interest balance. (2) The loan is guaranteed by a third party, Heilongjiang Xinzheng Financing Guarantee Group Co., Ltd., for up to 80% of the outstanding principal and normal interest balance, personal guaranteed by Mr. Wenhua Liu, who is a legal representative of Khingan Forasen and a director of the Company, and is collateralized by the property, plant, and equipment of Khingan Forasen, with a net book value of RMB1.5 million (equivalent to approximately $0.1 million as of September 30, 2023). (3) The loan is guaranteed by a third party, Hangzhou High Tech Financing Guarantee Co., Ltd, Mr. Wenhua Liu, Ms. Yefang Zhang, principal shareholder, and Mr. Zhengyu Wang, former CEO and spouse of principal shareholder, for up to 100% of the outstanding principal and normal interest balance. (4) The loan is guaranteed by Ms. Yefang Zhang, principal shareholder, Ms. Xinyang Wang, former CEO of the Company and CN Energy Development, a subsidiary of the Company. (5) The loan is guaranteed by Mr. Wenhua Liu, a director of CN Energy, for up to RMB6.5 million ($0.9 million) of the outstanding principal and normal interest balance. (6) The loan is guaranteed by Mr. Wenhua Liu, a director of CN Energy, for up to RMB6.5 million ($0.9 million) of the outstanding principal and normal interest balance. (7) The loan is guaranteed by a subsidiary of the Company, CN Energy Development. (8) These loans are overdue and in default. The Company plans to divest these affected subsidiaries to third parties by September 30, 2024 to resolve the loan issues.

Convertible note

Convertible note	6 Months Ended
	Mar. 31, 2024
Convertible note
Convertible note	Note 1 3 - Convertible note On December 30, 2022, the Company entered into a securities purchase agreement (the “Purchase Agreement”) with Streeterville Capital, LLC, a Utah limited liability company (the “Investor”), pursuant to which the Company issued to the Investor an unsecured convertible note, on December 30, 2022, in the original principal amount of $3,230,000 (the “Note”, and together with the Purchase Agreement, the “Agreement”), convertible into Class A ordinary shares, no par value, of the Company (“Class A Ordinary Shares”). The Note bears an interest rate of 7% per annum and will be matured on December 30, 2023. Under the Agreement, the Investor has the right to redeem the Note sixty (60) days after the purchase price of the Note was delivered by the Investor to the Company, and redemptions may be satisfied in cash or Class A Ordinary Shares, at the Company’s election. However, the Company will be required to pay the redemption amount in cash, if there is an Equity Conditions Failure (as defined in the Note). If the Company elects to satisfy a redemption in Class A Ordinary Shares, such Class A Ordinary Shares shall be issued at a redemption conversion price of the lower of (i) $2.00 per share, subject to adjustment as provided in the Note, and (ii) 80% of the Nasdaq Minimum Price (as defined in the Note). The Note does not contain a floor price for the possible future redemption conversions into Class A Ordinary Shares, and a future conversion pursuant to the Agreement could potentially result in a substantial dilutive effect on the existing shareholders of the Company. Pursuant to the relevant Nasdaq Listing Rule guidance, the Nasdaq Staff has stated its position that, in determining whether the issuance of a future priced security raises public interest concerns, Nasdaq Staff will consider, among other things, whether a future priced security includes features to limit the potential dilutive effect of its conversion or exercise, including floors on the conversion or exercise price. To limit the potential dilutive effect of a redemption conversion on the existing shareholders of the Company, the board of directors of the Company approved on February 15, 2023 that the Company shall repay the Note in cash in the event any redemption conversions would result in the aggregate effective conversion price falling below $0.12. For the fiscal year ended September 30, 2023, 8,996,865 Class A Ordinary Shares were issued for the redemption of $1.25 million convertible notes. After the redemption by Class A Ordinary Shares mentioned above, the outstanding principal of convertible note was $2.0 million and interest payable was $157,801 as of September 30, 2023. On November 29, 2023, the Company entered into a forbearance agreement (the “Agreement”) with the Investor, pursuant to which the Investor agreed to refrain and forbear from bringing any action to enforce any remedies against the Company for failure to deliver the cash amount in accordance to a certain redemption notice delivered to the Company by the Lender on November 20, 2023 (the “Forbearance”). In exchange for the Forbearance, the Company agreed to pay the Lender a forbearance fee equal to 3.25% of the outstanding balance as of the date of the Agreement. The Forbearance will terminate immediately upon the Company’s failure to comply with certain terms and conditions set forth in the Agreement. Upon termination of the Forbearance, the Investor may seek all recourse available to it under the terms of the Note, the Agreement, any other documents entered into in conjunction therewith, or applicable laws. In addition, except as expressly set forth in the Agreement, the Forbearance does not constitute a waiver of, or an amendment to, any right, power, or remedy of the Investor under the Note or all other documents entered into in conjunction therewith as in effect prior to the date of the Agreement. On December 1, 2023, 1,875,000 (or 62,500 after adjusted for the reversed stock split in January 2024) Class A ordinary shares were issued for the redemption of $225,000 convertible notes. For the six months ended March 31, 2024 and 2023, 691,610 and nil Class A ordinary shares were issued for the redemption of $960,000 and nil convertible notes, respectively.

Accrued expenses and other curr

Accrued expenses and other current liabilities	6 Months Ended
	Mar. 31, 2024
Accrued expenses and other current liabilities
Accrued expenses and other current liabilities	Note 1 4 – Accrued expenses and other current liabilities Accrued expenses and other current liabilities consisted of the following: March 31, September 30, 2024 2023 (unaudited) Advances from third parties $ 1,459,773 $ - Payroll payable 411,381 528,902 Interest payable 269,787 157,801 Accrued expenses 157,570 473,837 Accrued expenses and other current liabilities $ 2,298,511 $ 1,160,540 Advances from third parties are unsecured with no interest and are repayable on demand.

Related party transactions

Related party transactions	6 Months Ended
	Mar. 31, 2024
Related party transactions
Related party transactions	Note 15 – Related party transactions The relationship and the nature of related party transactions are summarized as follow: Name of Related Party Relationship to the Company Nature of Transactions Yefang Zhang Principal shareholder Providing personal guarantee as an additional security for loans, payables and receivables, providing personal guarantee for a lawsuit for potential losses Zhengyu Wang Former CEO, spouse of Ms. Yefang Zhang Providing personal guarantee as an additional security for loans Xinyang Wang Former CEO of the Company Providing personal guarantee as an additional security for loans Hangzhou Forasen Energy Technology Co., Ltd. Controlled by Mr. Zhengyu Wang, spouse of Ms. Yefang Zhang Lease of office space to the Company Wenhua Liu A director of the Company and Interim Chief Executive Officer Providing personal guarantee as an additional security for loans Jinwu Huang Chief Financial Officer Providing advances for working capital. Due to a related party As of March 31, 2024 and September 30, 2023, the Company owed Yefang Zhang $471,653 and $114,451, respectively. The balance of due to related parties is interest-free, unsecured, and due upon demand. As of March 31, 2024 and September 30, 2023, the Company owed Jinwu Huang $40,878 and $38,105, respectively. The balance of due to related parties is interest-free, unsecured, and due upon demand. Operating lease from related parties On October 8, 2021, Zhejiang New Material entered into a lease agreement with Zhejiang Forasen Energy Technology Co., Ltd., a PRC company controlled by Mr. Zhengyu Wang, to lease approximately 27,147 square feet of office space in Hangzhou. The lease term is for five years with annual rent of RMB432,043 (equivalent of $59,890). Guarantees provided by related parties The Company’s related parties provide guarantees for the Company’s short-term and long-term loans (see Note 12).

Taxes

Taxes	6 Months Ended
	Mar. 31, 2024
Taxes
Taxes	Note 16 – Taxes Corporation Income Tax The Company is subject to income taxes on an entity basis on income derived from the location in which each entity is domiciled. CN Energy is incorporated in the British Virgin Islands as an offshore holding company and is not subject to tax on income or capital gain under the laws of the British Virgin Islands. Under the Hong Kong tax laws, an entity, that incorporated under the laws of Hong Kong China, is not subject to income tax if no revenue is generated in Hong Kong. Under the Enterprise Income Tax (“EIT”) Law of the PRC, domestic enterprises and Foreign Investment Enterprises (the “FIE”) are usually subject to a unified 25% EIT rate while preferential tax rates, tax holidays, and even tax exemption may be granted on case-by-case basis. The PRC tax authorities grant preferential tax treatment to High and New Technology Enterprises (“HNTEs”). Under this preferential tax treatment, HNTEs are entitled to an income tax rate of 15%, subject to a requirement that they re-apply for HNTE status every three years. Since Khingan Forasen was approved as an HNTE in November 2016, Khingan Forasen and its branch office, Biopower Plant, are entitled to a reduced income tax rate of 15% beginning November 2016. On December 16, 2021, Khingan Forasen successfully renewed its HNTE certificate and is able to enjoy the reduced income tax rate in the next three years. In addition, according to the national comprehensive utilization of resources program, 10% of the revenue generated from selling certain products is exempt from income tax, upon approval by the tax authority. In fiscal year 2021, the local tax authority notified the Company that its revenue generated from activated carbon did not qualify for the tax exemption from 2018 to 2020 because activated carbon was not included in the program, and the Company paid approximately $135,000 income tax as assessed by the tax authority (see the prior year true-up below). Starting January 1, 2021, activated carbon has been included in the program, and the Company expects to be able to enjoy the income tax exemption going forward. The following table reconciles the statutory rate to the Company’s effective tax rate: For the six months ended March 31, 2024 2023 China Statutory income tax rate 25.0 % 25.0 % Effect of PRC preferential tax rate and tax exemption 0.2 % - Research and development (“R&D”) tax credit 0.5 % 2 % Effect of non-taxable government subsidy income - 1.6 % Non-PRC entities not subject to PRC tax (6.2%) (10.5%) Change in valuation allowance 0.3 % 0.0 % Others (19.5%) (18.0%) Effective tax rate 0.3 % (0.0%) The income tax expenses consisted of the following: For the six months ended March 31, 2024 2023 (unaudited) (unaudited) Current income tax expenses $ 47 $ 4,141 Deferred income tax expenses (8,982 ) - Income tax expenses ($8,935) $ 4,141 Deferred tax liabilities and assets attributable to different tax jurisdictions are not offset. Components of deferred tax assets and liabilities were as follows: March 31, September 30, 2024 2023 Deferred tax assets: (unaudited) Net operating loss carryforwards $ 1,635,711 $ 6,152,427 Allowance on receivables 390,765 583,463 Allowance on inventory 292 344,474 Valuation allowance on net operating loss (2,026,768 ) (7,080,364 ) Total - - Deferred tax liabilities: Accelerated depreciation of equipment $ 25,547 $ 34,153 Total $ 25,547 $ 34,153 The Company’s PRC subsidiaries had cumulative net operating loss of approximately $6.9 million and $24.6 million as of March 31, 2024 and September 30, 2023, respectively, which may be available for reducing future taxable income. As of each reporting date, management considers evidence, both positive and negative, that could affect its view of the future realization of deferred tax assets. On the basis of this evaluation, valuation allowance of $2.1 million and $7.1 million was recorded against the gross deferred tax asset balance at March 31, 2024 and September 30, 2023, respectively. The amount of the deferred tax asset is considered unrealizable because it is more likely than not that the Company will not generate sufficient future taxable income to utilize this portion of the net operating loss. The net change in valuation allowance for the six months ended March 31, 2024 and 2023 was a decrease of $6.0 million and a decrease of $0.2 million, respectively.

Concentration of major customer

Concentration of major customers and suppliers	6 Months Ended
	Mar. 31, 2024
Concentration of major customers and suppliers
Concentration of major customers and suppliers	Note 1 7 – Concentration of major customers and suppliers For the six months ended March 31, 2024, three major customers accounted for approximately 27%, 16% and 10% of the Company’s total sales, respectively. For the six months ended March 31, 2023, two major customers accounted for approximately 32% and 14% of the Company’s total sales, respectively. Any decrease in sales to these major customers may negatively impact the Company’s operations and cash flows if the Company fails to increase its sales to other customers. As of March 31, 2024, three major customers accounted for 24%, 17%, and 11% of the Company’s accounts receivable balance, respectively. As of September 30, 2023, three major customers accounted for 21%, 20% and 10% of the Company’s accounts receivable balance, respectively. For the six months ended March 31, 2024, two major suppliers accounted for approximately 35% and 10% of the total purchases, respectively. For the six months ended March 31, 2023, three major suppliers accounted for approximately 34%, 22% and 12% of the total purchases, respectively. As of March 31, 2024, four suppliers accounted for approximately 20%, 18%, 15% and 14% of the Company’s advance to suppliers balance, respectively. As of September 30, 2023, five suppliers accounted for approximately 17%, 16%, 16%, 11% and 10% of the Company’s advance to suppliers balance, respectively.

Leases

Leases	6 Months Ended
	Mar. 31, 2024
Leases
Leases	Note 1 8 – Leases On October 8, 2021, Zhejiang New Material entered into a lease agreement with Hangzhou Forasen Energy Technology Co., Ltd., a PRC company controlled by Mr. Zhengyu Wang, spouse of Ms. Yefang Zhang, to lease approximately 27,147 square feet of office space in Hangzhou. The lease term is for five years with annual rent of RMB454,043 (equivalent of $71,624). The Company prepaid total rent of RMB2,270,214 (equivalent of $358,120) upon the starting date of the lease period. As of March 31, 2024 and September 30, 2023, the remaining average lease term was an average of 2.5 years and 1.5 years, respectively. The Company’s lease agreements do not provide a readily determinable implicit rate nor is it available to the Company from its lessors. Instead, the Company estimates its incremental borrowing rate based on actual incremental borrowing interest rates from financial institutions in order to discount lease payments to present value. The weighted average discount rate of the Company’s operating leases was 4.8% per annum and 4.7% per annum, as of March 31, 2024 and September 30, 2023, respectively. Supplemental balance sheet information related to operating leases was as follows: As of As of March 31, September 30, 2024 2023 (unaudited) Right-of-use assets under operating leases $ 149,277 $ 195,813 Operating lease liabilities, current - 31,602 Total operating lease liabilities - $ 31,602

Commitments and contingencies

Commitments and contingencies	6 Months Ended
	Mar. 31, 2024
Commitments And Contingencies Disclosure Abstract
Commitments and contingencies	Note 19 – Commitments and contingencies (a) Capital expenditure commitments As of March 31, 2024, the Company had contractual obligations of approximately $0.2 million for groundwork of the factory workshop as capital expenditure commitments. (b) Contingencies The requirement of employee benefit plans has not been implemented consistently by the local governments in China given the different levels of economic development in different locations. Biopower Plant has not paid adequate social insurance for all its employees, and the Company’s PRC subsidiaries have not made adequate housing provident fund payments for all their employees. The relevant PRC authorities may order the Company to make up the contributions to these plans. In addition, failure to make adequate social insurance payments on time may subject the Company to 0.05% late fees per day, starting from the date of underpayment, and fines equal to one to three times the underpaid amount. For failure to make adequate housing provident fund payments as required, the Company may be fined RMB10,000 to RMB50,000. If the Company is subject to late fees or fines in relation to underpaid employee benefits, the financial condition and results of operations may be adversely affected. However, the risk of regulatory penalty that the relevant authorities may impose on the Company’s PRC subsidiaries in relation to its failure to make adequate contributions to the employee benefit plans for all the Company’s employees as required is remote, because the relevant local authorities confirmed in writing that no records of violation were found on the Company’s PRC subsidiaries for social insurance plan and/or housing provident fund contributions.

Segment reporting

Segment reporting	6 Months Ended
	Mar. 31, 2024
Segment reporting
Segment reporting	Note 20 – Segment reporting ASC 280, Segment Reporting The following table presents revenue by major product categories for the six months ended March 31, 2024 and 2023, respectively: For the six months ended March 31, 2024 2023 Activated carbon $ 31,285,396 $ 22,655,110 Biomass electricity - 20,007 Total $ 31,285,396 $ 22,675,117 All of the Company’s long-lived assets are located in the PRC. All of the Company’s products are sold in the PRC.

Shareholders equity

Shareholders equity	6 Months Ended
	Mar. 31, 2024
Shareholders equity
Shareholders' equity	Note 21 – Shareholders’ equity Ordinary shares CN Energy is a holding company established under the laws of the British Virgin Islands on November 23, 2018. The Company had an unlimited number of Class A ordinary shares of no par value and an unlimited number of Class B ordinary shares of no par value. Share consolidation or reverse share split On January 18, 2024, the Company consolidated its issued and outstanding ordinary shares from 70,449,781 Class A ordinary shares of no par value and 3,020,969 Class B ordinary shares of no par value to 2,348,326 Class A ordinary shares of no par value and 100,698 Class B ordinary shares of no par value, on a 30:1 basis. As a result of reverse share split, 250 Class A ordinary shares were acquired from the market and were cancelled accordingly. The Company believes the share consolidation should be accounted for on a retroactive basis pursuant to ASC 260. The Company has retroactively restated all shares and per share data for all periods presented. As of March 31, 2024 and September 30, 2023, the Company has 3,077,186 and 2,285,826 Class A ordinary shares issued and outstanding and 100,698 and 100,698 Class B ordinary shares issued and outstanding, respectively Public offering, warrants, and pre-funded warrants On January 30, 2023, CN Energy entered into an underwriting agreement (the “Underwriting Agreement”) with Aegis Capital Corp. (the “Underwriter”), pursuant to which CN Energy agreed to sell to the Underwriter in a firm commitment public offering (the “Offering”) (i) 10,396,974 units, each consisting of one Class A ordinary share, no par value (collectively, the “Class A ordinary shares”) and one warrant, each exercisable to purchase one Class A ordinary share at an exercise price of $0.55 per share (collectively, the “warrants”), at an offering price of $0.55 per unit; and (ii) 7,786,300 units, each consisting of one pre-funded warrant, each exercisable to purchase one Class A ordinary share at an exercise price of $0.0001 per share (collectively, the “Pre-funded Warrants”), and one warrant, at an offering price of $0.5499 per unit (together with the Class A ordinary shares and the warrants, the “Offered Securities”), to those purchasers whose purchase of Class A ordinary shares in the Offering would otherwise result in the purchaser, together with its affiliates and certain related parties, beneficially owning more than 4.99% (or, at the election of the holder, 9.99%) of CN Energy’s outstanding ordinary shares immediately following the consummation of the Offering. The components of the units were issued separately and are immediately separable upon issuance. The Company received approximately $7.8 million in net proceeds from the Offering, after deducting underwriting discounts and other related offering expenses. In connection with the Offering, 10,396,974 Class A ordinary shares were issued, 4,672,700 Pre-funded Warrants were exercised upon issuance which resulted in a total issuance of 15,069,674 Class A ordinary shares and 3,112,046 Pre-funded Warrants were exercised for 3,112,046 Class A ordinary shares in September 2023. The Pre-funded Warrants are exercisable immediately (subject to the beneficial ownership cap) and may be exercised at any time in perpetuity until all of the Pre-funded Warrants are exercised in full. The warrants are exercisable immediately and expire five years, i.e. January 29, 2028, after their issuance date on January 30, 2023. As a result of reverse share split on January 18, 2024, the exercise price was adjusted from $0.55 per share to $1.4529 per share and the warrants were adjusted from 18,183,274 warrants to 6,883,337 warrants. For the six months ended March 31, 2024 and 2023, 100,000 and nil warrants were exercised for 100,000 and nil Class A ordinary shares and for cash of $145,290 and nil, respectively. As of March 31, 2024 and September 30, 2023, 6,783,337 and 6,883,337 warrants and 1,554 and 1,554 pre-funded warrants were outstanding, respectively. Issuance of shares for repayment of convertible note On December 30, 2022, the Company entered into a securities purchase agreement (the “Purchase Agreement”) with Streeterville Capital, LLC, a Utah limited liability company (the “Investor”), pursuant to which the Company issued to the Investor an unsecured convertible note, on December 30, 2022, in the original principal amount of $3,230,000 (the “Note”, and together with the Purchase Agreement, the “Agreement”), convertible into Class A ordinary shares, no par value, of the Company (“Class A Ordinary Shares”). The Note bears an interest rate of 7% per annum. All outstanding principal and accrued interest on the Note will become due and payable 12 months after the purchase price of the Note is delivered by the Investor to the Company (the “Purchase Price Date,” and 12 months after the Purchase Price Date, the “Maturity Date”), unless earlier prepaid or converted. Under the Agreement, the Investor has the right to redeem the Note 60 days after the purchase price of the Note was delivered by the Investor to the Company, and redemptions may be satisfied in cash or Class A Ordinary Shares, at the Company’s election. However, the Company will be required to pay the redemption amount in cash, if there is an Equity Conditions Failure (as defined in the Note). If the Company elects to satisfy a redemption in Class A Ordinary Shares, such Class A Ordinary Shares shall be issued at a redemption conversion price of the lower of(i) $2.00 per share, subject to adjustment as provided in the Note, and (ii) 80% of the Nasdaq Minimum Price (as defined in the Note). The Note does not contain a floor price for the possible future redemption conversions into Class A Ordinary Shares, and a future conversion pursuant to the Agreement could potentially result in a substantial dilutive effect on the existing shareholders of the Company. Pursuant to the relevant Nasdaq Listing Rule guidance, the Nasdaq Staff has stated its position that, in determining whether the issuance of a future priced security raises public interest concerns, Nasdaq Staff will consider, among other things, whether a future priced security includes features to limit the potential dilutive effect of its conversion or exercise, including floors on the conversion or exercise price. To limit the potential dilutive effect of a redemption conversion on the existing shareholders of the Company, the board of directors of the Company approved on February 15, 2023 that the Company shall repay the Note in cash in the event any redemption conversions would result in the aggregate effective conversion price falling below $0.12. For the six months ended March 31, 2024 and 2023, 691,610 and nil Class A Ordinary Shares were issued for the redemption of $0.96 million and nil of the convertible note. Statutory reserves and restricted net assets CN Energy’s ability to pay dividends primarily depends on CN Energy receiving distributions of funds from its subsidiaries. Relevant PRC statutory laws and regulations permit payments of dividends by CN Energy’s subsidiaries incorporated in the PRC only out of their retained earnings, if any, as determined in accordance with PRC accounting standards and regulations. The results of operations reflected in the financial statements prepared in accordance with U.S. GAAP differ from those reflected in the statutory financial statements of CN Energy’s subsidiaries. CN Energy’s PRC subsidiaries are required to set aside at least 10% of their respective accumulated profits each year, if any, to fund certain reserve funds until the total amount set aside reaches 50% of their respective registered capital. CN Energy’s PRC subsidiaries may also allocate a portion of their after-tax profits based on PRC accounting standards to employee welfare and bonus funds at their discretion. These reserves, together with paid in capital of CN Energy’s PRC subsidiaries, are not distributable as cash dividends. As of March 31, 2024 and September 30, 2023, the balance of the required statutory reserves was $0.5 million and $0.5 million, respectively.

Subsequent events

Subsequent events	6 Months Ended
	Mar. 31, 2024
Subsequent events
Subsequent events	Note 22 – Subsequent events On September 12, 2024, the Company, through its wholly owned subsidiary CN Energy Development, entered into a Share Transfer Agreement (the “Agreement No. 1”) with Zhejiang Sentuo Industrial Holding Group., Ltd. (“Sentuo”). Pursuant to the Agreement No. 1, CN Energy Development agreed to transfer all of its equity interest in Hangzhou Forasen, which constituted 100% of the issued and outstanding equity of Hangzhou Forasen, to Sentuo in consideration of RMB 29,478, which shall be paid by Sentuo within five business days from the date of the Agreement. On September 25, 2024, the Company, through its wholly owned subsidiaries in China, Zhejiang CN Energy and Manzhouli CN Energy, entered into a Share Transfer Agreement (the “Agreement No. 2”) with Xinbaocheng Industrial Group Co., Ltd. (“Xinbaocheng”). Pursuant to the Agreement No. 2, Zhejiang CN Energy agreed to transfer 90% of its equity in CN Energy Development, and Manzhouli CN Energy agreed to transfer its 10% of equity in CN Energy Development to Shanghai Xinbaocheng Industrial Group Co., Ltd. (“Xinbaocheng”) for a total purchase price of RMB138,204,751 (approximately $19,690,929), which shall be paid by Xinbaocheng in installments according to the schedules set forth in the Agreement.

Significant accounting policies

Significant accounting policies (Policies)	6 Months Ended
	Mar. 31, 2024
Summary of significant accounting policies
Basis of presentation and principles of consolidation	The accompanying unaudited condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”) and have been consistently applied. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. These financial statements should be read in conjunction with the audited financial statements and notes thereto for the fiscal years ended September 30, 2023 and 2022. Operating results for the six months ended March 31, 2024 are not necessarily indicative of the results that may be expected for the year ending September 30, 2024. The unaudited condensed consolidated financial statements of the Company reflect the principal activities of CN Energy and its subsidiaries. All significant intercompany balances and transactions are eliminated upon consolidation.
Use of estimates	In preparing the unaudited condensed consolidated financial statements in conformity with U.S. GAAP, management makes estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the dates of the unaudited condensed consolidated financial statements, as well as the reported amounts of revenue and expenses during the reporting periods. Significant items subject to such estimates and assumptions include, but are not limited to, the valuation of inventory, accounts receivable, advances to suppliers, notes receivable, other receivables, useful lives of property, plant and equipment and intangible assets, the recoverability of long-lived assets, provision necessary for contingent liabilities, revenue recognition, and realization of deferred tax assets. Actual results could differ from those estimates.
Accounts receivable	Accounts receivable are presented net of an allowance for doubtful accounts. The Company maintains an allowance for doubtful accounts for estimated losses. The Company reviews its accounts receivable on a periodic basis and makes general and specific allowances when there is doubt as to the collectability of individual balances. In evaluating the collectability of individual receivable balances, the Company considers many factors, including the age of the balance, customer payment history, customer’s current credit-worthiness, and current economic trends. Accounts are written off against the allowance after efforts at collection prove unsuccessful.
Inventories	The Company values its inventory at the lower of cost, determined on a weighted average basis, or net realizable value. Costs include the cost of raw materials, freight, direct labor, and related production overhead. Net realizable value is estimated using selling price in the normal course of business less any costs to complete and sell products. The Company reviews its inventory periodically to determine if any reserves are necessary for potential obsolescence or if the carrying value exceeds net realizable value. The costs of forestry inventories are transferred from biological assets at their costs at the point of harvest. The cost of inventories also includes capitalized production costs, including labor, materials, post-harvest costs, and depreciation. Inventoried costs are transferred to cost of goods sold in the same period as when the products are sold. Forestry inventories, capitalized production costs, and biological asset adjustments are measured at the lower of cost or net realizable value. The amount of any write-down of inventories to net realizable value and all losses of inventories are recognized as an expense in the period when the write-down or loss occurs.
Advances to suppliers	Advances to suppliers consist of balances paid to suppliers for services and materials that have not been provided or received. The Company reviews its advances to suppliers on a periodic basis and makes general and specific allowances when there is doubt as to the ability of a supplier to provide supplies to the Company or refund an advance.
Biological assets	The Company’s biological assets consist of forests which are not yet harvested. Biological assets are initially measured at cost and subsequently depreciated on a straight-line basis over its estimated useful lives. The Company capitalizes all related direct and indirect costs of production to the biological assets at costs at each reporting date. At the point of harvest, the biological assets are transferred to inventory at their costs.
Property, plant and equipment	Property, plant, and equipment are stated at cost less accumulated depreciation. The cost of an asset comprises its purchase price and any directly attributable costs of bringing the asset to its present working condition and location for its intended use. Depreciation is computed on a straight-line basis over the estimated useful lives of the related assets. The estimated useful lives for significant property and equipment are as follows: Useful life Property and buildings 20 years Machinery and equipment 10 years Vehicles 4 years Office equipment 3 - 5 years Expenditures for maintenance and repair, which do not materially extend the useful lives of the assets, are charged to expense as incurred. Expenditures for major renewals and betterments, which substantially extend the useful life of assets, are capitalized. The cost and related accumulated depreciation of assets retired or sold are removed from the respective accounts, and any gain or loss is recognized in income from operations in the consolidated statements of income and comprehensive income. Construction-in-progress represents property and buildings under construction and consists of construction expenditures, equipment procurement, and other direct costs attributable to the construction. Construction-in-progress is not depreciated. Upon completion and ready for intended use, construction-in-progress is reclassified to the appropriate category within property, plant, and equipment. Prepayment for property and equipment represents payment made for production line equipment to be installed in the new production plant in Manzhouli City. Prepayment for property and equipment is not depreciated. Upon readiness for intended use, prepayment for property and equipment is reclassified to the appropriate category within property, plant, and equipment.
Land use right	Land use right is recorded at cost less accumulated amortization. Amortization is provided on a straight-line basis over the estimated useful life which is 50 years and represents the shorter of the estimated usage period or the terms of the agreement.
Intangible assets	Intangible assets consist primarily of patents and software. Intangible assets are stated at cost less accumulated amortization, which are amortized using the straight-line method with the following estimated useful lives: Useful life Purchased patents 10 years Software 10 years
Goodwill	In accordance with ASC 350, Intangibles - Goodwill and Other, the Company assesses goodwill for impairment annually as of September 30, and more frequently if events and circumstances indicate that goodwill might be impaired. Goodwill impairment testing is performed at the reporting unit level. Goodwill is assigned to reporting units at the date the goodwill is initially recorded. Once goodwill has been assigned to reporting units, it no longer retains its association with a particular acquisition, and all of the activities within a reporting unit, whether acquired or internally generated, are available to support the value of the goodwill. Traditionally, goodwill impairment testing is a two-step process. Step one involves comparing the fair value of the reporting units to its carrying amount. If the carrying amount of a reporting unit is greater than zero and its fair value is greater than its carrying amount, there is no impairment. If the reporting unit’s carrying amount is greater than the fair value, the second step must be completed to measure the amount of impairment, if any. Step two involves calculating an implied fair value of goodwill. The Company determines the fair value of its reporting units using an income approach. Under the income approach, the Company determined fair value based on estimated discounted future cash flows of each reporting unit. Determining the fair value of a reporting unit is judgmental in nature and requires the use of significant estimates and assumptions, including revenue growth rates and EBITDA margins, discount rates and future market conditions, among others. If the initial accounting for a business combination is incomplete by the end of the reporting period in which the combination occurs, the Company reports provisional amounts for the items for which the accounting is incomplete. Those provisional amounts are adjusted during the measurement period (see below), or additional assets or liabilities are recognized, to reflect new information obtained about facts and circumstances that existed as of the acquisition date that, if known, would have affected the amounts recognized as of that date. The measurement period is the period from the date of acquisition to the date the Company obtains complete information about facts and circumstances that existed as of the acquisition date and is subject to a maximum of one year from acquisition date.
Impairment of long-lived assets	The Company reviews long-lived assets, including definitive-lived intangible assets, for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If the estimated cash flows from the use of the asset and its eventual disposition are below the asset’s carrying value, then the asset is deemed to be impaired and written down to its fair value. There were no impairments of these assets as of March 31, 2024 and September 30, 2023.
Leases	The Company accounts for leases following ASC 842, Leases The Company determines if an arrangement is a lease at inception. Operating leases are included in operating lease right-of-use (“ROU”) assets, current portion of obligations under operating leases, and obligations under operating leases, non-current on the Company’s consolidated balance sheets. Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most of the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. The operating lease ROU asset also includes any lease payments made and excludes lease incentives and includes initial direct costs incurred. The Company’s lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. Lease expenses for minimum lease payments are recognized on a straight-line basis over the lease term. See Note 18 for further discussion.
Fair value of financial instruments	The Company applies ASC 820, Fair Value Measurements and Disclosures ASC 820 establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: · Level 1 - Inputs are unadjusted quoted prices in active markets for identical assets or liabilities available at the measurement date. · Level 2 - Inputs are unadjusted quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, inputs other than quoted prices that are observable, and inputs derived from or corroborated by observable market data. · Level 3 - Inputs are unobservable inputs which reflect the reporting entity’s own assumptions about what assumptions market participants would use in pricing the asset or liability based on the best available information. Any transfers of assets or liabilities between Level 1, Level 2, and Level 3 of the fair value hierarchy will be recognized at the end of the reporting period in which the transfer occurs. There were no transfers between fair value levels in any of the periods presented herein. Unless otherwise disclosed, the fair value of the Company’s financial instruments including cash, term deposit, notes receivable, accounts receivable, advances to suppliers, other receivables, prepaid expenses and other current assets, short-term bank loans, long-term bank loans, current accounts payable, deferred revenue, current, due to related parties, taxes payable, and accrued expenses and other current liabilities approximate their recorded values due to their short-term maturities. The fair value of long-term bank loan and operating lease liabilities approximate their recorded values as their stated interest rates approximate the rates currently available.
Revenue recognition	The Company accounts for revenue recognition under Accounting Standards Codification 606, Revenue from Contracts with Customers The Company also provides technical service to customers who purchase activated carbon from the Company. The revenue of technical service is recognized on a straight-line basis over the service period as earned. The transaction price of activated carbon and technical services is determined based on fixed consideration in the Company’s customer contracts. Pursuant to the power purchase agreements entered into between the Company and the respective provincial power grid company, the Company’s sales of biomass electricity were made to the power grid company at the tariff rates agreed upon with the provincial power grid company as approved by the relevant government authorities in the PRC. In determining the transaction price, no significant financing components exist since the timing from when the Company invoices its customers to when payment is received is less than one year. Revenue is reported net of all value added taxes. The Company generally does not permit customers to return products and historically, customer returns have been immaterial. In the event the Company receives an advance from a customer, such advance is recorded as a liability to the Company. The Company reduces the liability and recognizes revenue after the delivery of goods occurs. The core principle underlying ASC 606 is that the Company recognizes revenue to represent the transfer of goods and services to customers in an amount that reflects the consideration to which the Company expects to be entitled in such exchange. This requires the Company to identify contractual performance obligations and determine whether revenue should be recognized at a point in time or over time, based on when control of goods and services transfers to a customer. The Company’s sales contracts of activated carbon have one single performance obligation as the promise to transfer the individual goods is not separately identifiable from other promises in the contracts and is, therefore, not distinct. Therefore, the sale of activated carbon is recognized at a point in time. The Company’s sales contracts of biomass electricity have a single performance obligation that represents a promise to transfer to the customer a series of distinct goods that are substantially the same and that have the same pattern of transfer to the customer. The Company’s performance obligation is satisfied over time as biomass electricity is delivered. There were no contract assets as of March 31, 2024 and September 30, 2023. For the six months ended March 31, 2024 and 2023, revenue recognized from performance obligations related to prior periods was insignificant. Revenue expected to be recognized in any future periods related to remaining performance obligations is insignificant. The Company has elected the following practical expedients in applying ASC 606: · Unsatisfied Performance Obligations – for all performance obligations related to contracts with a duration of less than one year, the Company has elected to apply the optional exemption provided in ASC 606, and therefore is not required to disclose the aggregate amount of the transaction price allocated to performance obligations that are unsatisfied or partially unsatisfied at the end of the reporting period. · Contract Costs - all incremental customer contract acquisition costs are expensed as they are incurred as the amortization period of the asset that the Company otherwise would have recognized is one year or less in duration. · Significant Financing Component - the Company does not adjust the promised amount of consideration for the effects of a significant financing component as the Company expects, at contract inception, that the period between when the Company transfers a promised good or service to a customer and when the customer pays for that good or service will be one year or less. · Sales Tax Exclusion from the Transaction Price - the Company excludes from the measurement of the transaction price all taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction and collected by the Company from the customer. · Shipping and Handling Activities - the Company elected to account for shipping and handling activities as a fulfillment cost rather than as a separate performance obligation. Refer to Note 20—Segment reporting for details of revenue disaggregation.
Cost of revenue	Cost of revenue includes cost of raw materials purchased, inbound freight cost, cost of direct labor, depreciation expense, and other overhead. Write-down of inventory for lower of cost or net realizable value adjustments is also recorded in cost of revenue.
Research and development expenses	Research and development expenses include costs directly attributable to the conduct of research and development projects, including the cost of salaries and other employee benefits. All costs associated with research and development are expensed as incurred.
Shipping and handling	All shipping and handling costs are expensed as incurred and included in selling expenses. Total shipping and handling expenses were nil and $15,725 for the six months ended March 31, 2024 and 2023, respectively.
Government subsidy income	The Company receives various government grants from time to time. There is no guarantee that the Company will continue to receive such grants in the future. For the six months ended March 31, 2024 and 2023, the Company had subsidy income of $40,936 and $426,629, including $40,936 and $121,142 for equipment of energy projects grants, and nil and $305,487 of value-added tax refund, respectively. In January 2014, April 2014, and December 2019, the Company received government subsidies of approximately $840,000, $140,000 and $140,000 for equipment of energy projects, respectively. These subsidies were one-time grants, and the Company recognizes the income over the useful lives of the equipment. As of March 31, 2024 and September 30, 2023, the balance of unrecognized government grants was $220,212 and $202,165, respectively, which was recorded in deferred revenue.
Income taxes	CN Energy’s subsidiaries in the USA, PRC and Hong Kong are subject to the income tax laws of the USA, PRC and Hong Kong, respectively. No taxable income was generated outside the PRC for the six months ended March 31, 2024 and 2023. The Company accounts for income taxes in accordance with ASC 740, Income Taxes ASC 740-10-25 prescribes a more-likely-than-not threshold for financial statement recognition and measurement of a tax position taken (or expected to be taken) in a tax return. It also provides guidance on the recognition of income tax assets and liabilities, classification accounting for interest and penalties associated with tax positions, years open for tax examination, accounting for income taxes in interim periods and income tax disclosures. There were no material uncertain tax positions as of March 31, 2024 and September 30, 2023. As of March 31, 2024, the tax returns for the calendar years ended December 31, 2016 through December 31, 2023 for CN Energy’s PRC subsidiaries remain open for statutory examination by PRC tax authorities.
Value added tax ("VAT")	Sales revenue represents the invoiced value of goods, net of VAT. The VAT is based on gross sales price and VAT rates range up to 13%, depending on the type of products sold. The VAT may be offset by VAT paid by the Company on raw materials and other materials included in the cost of producing or acquiring its finished products. The Company recorded a VAT payable or receivable net of payments in the accompanying unaudited condensed consolidated financial statements. All of the VAT returns filed by CN Energy’s subsidiaries in the PRC, have been and remain subject to examination by the tax authorities for five years from the date of filing. Each local tax authority at times may grant tax holidays to local enterprises as a way to encourage entrepreneurship and stimulate local economy. Khingan Forasen and its branch office, Greater Khingan Range Forasen Energy Technology Co., Ltd. Tahe Biopower Plant (“Biopower Plant”), are entitled to 70% VAT refund as they meet the requirement of national comprehensive utilization of resources program. For the six months ended March 31, 2024 and 2023, the amount of nil and $0.3 million VAT refund was recorded in government subsidy income, respectively.
Concentrations of credit risk	Financial instruments which potentially subject the Company to concentrations of credit risk consist principally of cash, term deposit, notes receivable, accounts receivable, advances to suppliers, and other receivables. All of the Company’s cash is maintained with banks within the PRC. Cash maintained in banks within the PRC of less than RMB0.5 million ($69,383) per bank are covered by “deposit insurance regulation” promulgated by the State Council of the PRC. While management believes that these financial institutions are of high credit quality, it also continually monitors their credit worthiness. The Company has not experienced any losses in such accounts. A significant portion of the Company’s sales are credit sales which are primarily to customers whose ability to pay is dependent upon the industry economics prevailing in these areas. The Company also makes cash advances to certain suppliers to ensure the stable supply of key raw materials. The Company performs ongoing credit evaluations of its customers and key suppliers to help further reduce credit risk.
Comprehensive income	Comprehensive income consists of two components, net income and other comprehensive income (loss). Other comprehensive income (loss) refers to revenue, expenses, gains, and losses that under U.S. GAAP are recorded as elements of shareholders’ equity but are excluded from net income. Other comprehensive income (loss) consists of foreign currency translation adjustment from the Company not using U.S. dollar as its functional currency.
Foreign currency translation	The Company’s financial information is presented in U.S. dollars. The functional currency of the Company is the Renminbi (“RMB”), the currency of the PRC. Any transactions denominated in currencies other than RMB are translated into RMB at the exchange rate quoted by the People’s Bank of China prevailing at the dates of the transactions, and exchange gains and losses are included in the statements of income as foreign currency transaction gain or loss. The consolidated financial statements of the Company have been translated into U.S. dollars in accordance with ASC 830, Foreign Currency Matters The exchange rate in effect as of March 31, 2024 and September 30, 2023 was US$1 for RMB7.2203 and US$1 for RMB7.2960, respectively. The average exchange rate for the six months ended March 31, 2024 and 2023 was US$1 for RMB7.2064 and US$1 for RMB6.9718, respectively.
Earnings Per Share	The Company computes earnings per share (“EPS”) in accordance with ASC 260, Earnings per Share
Statement of cash flows	In accordance with ASC 230, Statement of Cash Flows
Risks and uncertainties	The operations of the Company are located in the PRC. Accordingly, the Company’s business, financial condition, and results of operations may be influenced by the political, economic, and legal environments in the PRC, in addition to the general state of the PRC economy. The Company’s results may be adversely affected by changes in the political and social conditions in the PRC, and by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion and remittance abroad, and rates and methods of taxation, among other things. The Company’s sales, purchases, and expense transactions are denominated in RMB, and all of the Company’s assets and liabilities are also denominated in RMB. RMB is not freely convertible into foreign currencies under the current law. In the PRC, foreign exchange transactions are required by law to be transacted only by authorized financial institutions at exchange rates set by the People’s Bank of China, the central bank of the PRC. Remittances in currencies other than RMB may require certain supporting documentation in order to effect the remittance. The Company does not carry any business interruption insurance, product liability insurance, or any other insurance policy except for a limited property insurance policy. As a result, the Company may incur uninsured losses, increasing the possibility that investors would lose their entire investment in the Company.
Recent accounting pronouncements	The Company considers the applicability and impact of all ASUs. Management periodically reviews new accounting standards that are issued. In September 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. The FASB is issuing the amendments to enhance the transparency and decision usefulness of income tax disclosures. Investors currently rely on the rate reconciliation table and other disclosures, including total income taxes paid, to evaluate income tax risks and opportunities. While investors find these disclosures helpful, they suggested possible enhancements to better (1) understand an entity’s exposure to potential changes in jurisdictional tax legislation and the ensuing risks and opportunities, (2) assess income tax information that affects cash flow forecasts and capital allocation decisions, and (3) identify potential opportunities to increase future cash flows. The FASB decided that the amendments should be effective for public business entities for annual periods beginning after December 15, 2024. Early adoption is permitted. The adoption of this guidance did not have a material impact on its financial position, results of operations and cash flows. In July 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. The amendments in ASU 2023-07 improve reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. The amendments in ASU 2023-07 improve financial reporting by requiring disclosure of incremental segment information on an annual and interim basis for all public entities to enable investors to develop more decision-useful financial analyses. The amendments are effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. The adoption of this guidance did not have a material impact on its financial position, results of operations and cash flows. The Company does not believe other recently issued but not yet effective accounting standards, if currently adopted, would have a material effect on the Company’s consolidated financial position, statements of operations, cash flows, and disclosures.

Organization and nature of bu_2

Organization and nature of business (Tables)	6 Months Ended
	Mar. 31, 2024
Organization and nature of business
Schedule of major subsidiaries	Date of Place of % of Name of Entity Incorporation Incorporation Ownership Principal Activities CN Energy November 23, 2018 British Virgin Islands Parent Holding company Energy Holdings August 29, 2013 Hong Kong, China 100% Holding company Zhejiang CN Energy January 14, 2019 Zhejiang, China 100% Holding company Manzhouli CN Energy January 24, 2019 Inner Mongolia, China 100% Holding company Manzhouli CN Technology June 10, 2019 Inner Mongolia, China 100% Holding company CN Energy Development April 18, 2019 Zhejiang, China 100% Holding company Khingan Forasen March 5, 2009 Heilongjiang, China 100% Produces and distributes activated carbon and biomass electricity Hangzhou Forasen March 16, 2006 Zhejiang, China 100% Distributes activated carbon products Zhongxing Energy May 21, 2018 Inner Mongolia, China 100% Produce activated carbon and steam for heating Zhejiang New Material May 24, 2021 Zhejiang, China 100% Produce and sell wading activated carbon in the future CN Energy USA March 31, 2022 Delaware, U.S. 100% Investment, consultation and trading, inactive. Zhoushan Trading April 8, 2022 Zhejiang, China 100% Trading. Ningbo Trading April 13, 2022 Zhejiang, China 100% Trading. Zhejiang Yongfeng New Material October 11, 2022 Zhejiang, China 100% Trading. MZ HK December 6, 2018 Hong Kong, China 100% Holding company MZ Pintai January 22, 2019 Zhejiang, China 100% Holding company Yunnan Yuemu September 2, 2022 Yunnan, China 100% Holding company Yunnan Honghao May 6, 2013 Yunnan, China 100% Forestry project investment and development Zhejiang Yongfeng October 11, 2022 Zhejiang, China 100% Holding company

Summary of significant accoun_2

Summary of significant accounting policies (Tables)	6 Months Ended
	Mar. 31, 2024
Summary of significant accounting policies
Schedule of property plant and equipment useful life	Useful life Property and buildings 20 years Machinery and equipment 10 years Vehicles 4 years Office equipment 3 - 5 years
Schedule of finite-lived intangible assets, useful life	Useful life Purchased patents 10 years Software 10 years

Accounts receivable net (Tables

Accounts receivable net (Tables)	6 Months Ended
	Mar. 31, 2024
Accounts receivable net
Schedule of components of accounts receivable	March 31, September 30, 2024 2023 (unaudited) Accounts receivable $ 33,559,596 $ 29,509,165 Less: allowance for doubtful accounts (184,882 ) (496,299 ) Accounts receivable, net $ 33,374,714 $ 29,012,866
Schedule of allowance for doubtful accounts	March 31, September 30, 2024 2023 (unaudited) Balance as of beginning of period $ 496,299 $ 330,990 Addition - 179,562 Reversal (317,232 ) - Translation adjustments 5,815 (14,253 ) Balance as of end of period $ 184,882 $ 496,299

Inventory (Tables)

Inventory (Tables)	6 Months Ended
	Mar. 31, 2024
Inventory
Schedule of Inventory	March 31, September 30, 2024 2023 (unaudited) Raw materials $ 2,633,372 $ 1,619,534 Finished goods 1,402,063 1,224,555 Sub-total 4,035,435 2,844,089 Less: allowance for inventory (4,690 ) (188,856 ) Total $ 4,030,745 $ 2,655,233
Schedule of allowance for inventory	March 31, September 30, 2024 2023 (unaudited) Balance as of beginning of period $ 188,856 - Addition - 195,355 Reversal (186,505 ) - Translation adjustments 2,339 6,499 Balance as of end of period $ 4,690 $ 188,856

Advances to suppliers net (Tabl

Advances to suppliers net (Tables)	6 Months Ended
	Mar. 31, 2024
Advances to suppliers net
Schedule of advances to suppliers	March 31, September 30, 2024 2023 (unaudited) Advances for raw materials purchase $ 30,646,304 $ 39,098,283 Less: allowance for doubtful accounts (1,402,103 ) (54,217 ) Advances to suppliers, net $ 29,244,201 $ 39,044,066
Schedule of movement of allowance for doubtful accounts	March 31, September 30, 2024 2023 (unaudited) Balance as of beginning of period $ 54,217 $ 261,518 Addition 1,349,917 - Reversal - (207,668 ) Translation adjustments (2,031 ) 367 Balance as of end of period $ 1,402,103 $ 54,217

Biological assets (Tables)

Biological assets (Tables)	6 Months Ended
	Mar. 31, 2024
Biological assets
Schedule of biological assets	March 31, September 30, 2024 2023 (unaudited) Biological assets $ 29,506,036 $ 29,199,895 Less: accumulated depreciation (1,318,516 ) (844,306 ) Biological assets, net $ 28,187,520 $ 28,355,589

Property plant and equipment _2

Property plant and equipment net (Tables)	6 Months Ended
	Mar. 31, 2024
Property plant and equipment net
Schedule of property, plant and equipment, stated at cost less accumulated depreciation	March 31, September 30, 2024 2023 (unaudited) Machinery and equipment $ 9,598,017 $ 9,498,312 Property and buildings 7,701,474 7,621,567 Vehicles 217,454 215,198 Office equipment 87,196 86,291 Subtotal 17,604,141 17,421,368 Construction in progress 5,216,649 5,162,523 Less: accumulated depreciation (9,558,708 ) (8,749,498 ) Property, plant and equipment, net $ 13,262,082 $ 13,834,393

Land use right net (Tables)

Land use right net (Tables)	6 Months Ended
	Mar. 31, 2024
Land use right net
Schedule of right to use land	March 31, September 30, 2024 2023 (unaudited) Land use right $ 6,959,643 $ 6,887,433 Less: accumulated amortization (341,761 ) (233,767 ) Land use right, net $ 6,617,882 $ 6,653,666
Schedule of future amortization expenses	Amortization expense Remainder of fiscal 2024 $ 154,405 Fiscal 2025 308,809 Fiscal 2026 308,809 Fiscal 2027 308,809 Fiscal 2028 308,809 Thereafter 5,228,241 Total $ 6,617,882

Longterm deposits (Tables)

Longterm deposits (Tables)	6 Months Ended
	Mar. 31, 2024
Longterm deposits
Schedule of long-term deposits	March 31, September 30, 2024 2023 (unaudited) Construction deposit (a) $ 831,129 $ 822,505 Deposit for acquisition of land use rights (b) 276,997 274,123 Long-term deposits $ 1,108,126 $ 1,096,628

Intangible assets net (Tables)

Intangible assets net (Tables)	6 Months Ended
	Mar. 31, 2024
Intangible assets net
Schedule of Intangible assets, net	March 31, September 30, 2024 2023 (unaudited) Software $ 14,196 $ 14,049 Purchased patents 987,533 977,287 Subtotal 1,001,729 991,336 Less: accumulated amortization (998,788 ) (988,276 ) Intangible assets, net $ 2,941 $ 3,060
Schedule of estimated future amortization expense	Amortization expense Remainder of fiscal 2024 $ 226 Fiscal 2025 452 Fiscal 2026 452 Fiscal 2027 452 Fiscal 2028 452 Thereafter 907 Total $ 2,941

Short-term and long-term bank_2

Short-term and long-term bank loans (Tables)	6 Months Ended
	Mar. 31, 2024
Short-term and long-term bank loans
Schedule of Short-term and long-term loans	March 31, September 30, 2024 2023 (unaudited) Short-term loans Industrial and Commercial Bank of China $ 1,731,231 $ 1,713,267 Bank of Beijing 1,177,236 1,165,022 China Resources Shenzhen Guotou Trust Co., Ltd 692,492 685,307 China Zheshang Bank Co., Ltd. 678,642 671,601 Pingan Bank Co., Ltd. 415,495 411,185 Total short-term loans $ 4,695,096 $ 4,646,382 Long-term loans Long-term loans, current portion Xiaoshan Rural Commercial Bank $ 415,495 $ 411,184 Kincheng Bank Co., Ltd. 150,040 137,061 Total long-term loans, current portion $ 565,535 $ 548,245 Long-term loans, non-current portion Kincheng Bank Co., Ltd. - $ 34,266 Total long-term loans, non-current portion - $ 34,266 Total long-term loans $ 565,535 $ 582,511 Total short-term and long-term loans $ 5,260,631 $ 5,228,893 Loan Loan Loan Loan Effective commencement maturity amount amount interest As of March 31, 2024 date date in RMB in USD rate Note Secured short-term loans Industrial and Commercial Bank of China May 25, 2022 April 19, 2024 4,500,000 $ 623,243 3.75 % 1,8 Industrial and Commercial Bank of China June 24, 2022 May 28, 2024 5,000,000 692,492 4.35 % 2,8 Bank of Beijing December 9, 2022 December 8, 2023 5,000,000 692,492 4.50 % 3,8 Bank of Beijing May 31, 2023 May 30, 2024 3,500,000 484,744 4.00 % 3,8 China Zheshang Bank Co., Ltd. June 29, 2023 June 28, 2024 4,900,000 678,642 5.50 % 4,8 Pingan Bank Co., Ltd. December 7, 2022 December 5, 2023 3,000,000 415,495 6.00 % 5,8 Total secured short-term loans 25,900,000 $ 3,587,108 Unsecured short-term loans China Resources Shenzhen Guotou Trust Co., Ltd July 3, 2023 June 13, 2024 5,000,000 $ 692,492 3.40 % 8 Industrial and Commercial Bank of China December 7, 2022 November 22, 2023 1,500,000 207,748 4.45 % 8 Industrial and Commercial Bank of China December 8, 2022 November 22, 2023 1,500,000 207,748 4.45 % 8 Total unsecured short-term loans 8,000,000 $ 1,107,988 Total short-term loans 33,900,000 $ 4,695,096 Secured long-term loans Kincheng Bank Co., Ltd. November 30, 2022 December 1, 2024 1,083,333 150,040 18.00 % 6,8 Xiaoshan Rural Commercial Bank July 19, 2022 July 17, 2025 3,000,000 415,495 6.16 % 7,8 Total long-term loans 4,083,333 $ 565,535 Total short-term and long-term loans 37,983,333 $ 5,260,631 Loan Loan Loan Loan Effective commencement maturity amount amount interest As of September 30, 2023 date date in RMB in USD rate Note Secured short-term loans Industrial and Commercial Bank of China May 25, 2022 April 19, 2024 4,500,000 $ 616,776 3.75 % 1 Industrial and Commercial Bank of China June 24, 2022 May 28, 2024 5,000,000 685,307 4.35 % 2 Bank of Beijing December 9, 2022 December 8, 2023 5,000,000 685,307 4.50 % 3 Bank of Beijing May 31, 2023 May 30, 2024 3,500,000 479,715 4.0 % 3 China Zheshang Bank Co., Ltd. June 29, 2023 June 28, 2024 4,900,000 671,601 5.5 % 4 Pingan Bank Co., Ltd. December 7, 2022 December 5, 2023 3,000,000 411,185 6.0 % 5 Total secured short-term loans 25,900,000 $ 3,549,891 Unsecured short-term loans China Resources Shenzhen Guotou Trust Co., Ltd July 3, 2023 June 13, 2024 5,000,000 $ 685,307 3.40 % Industrial and Commercial Bank of China December 7, 2022 November 22, 2023 1,500,000 205,592 4.45 % 8 Industrial and Commercial Bank of China December 8, 2022 November 22, 2023 1,500,000 205,592 4.45 % 8 Total unsecured short-term loans 8,000,000 $ 1,096,491 Total short-term loans 33,900,000 $ 4,646,382 Secured long-term loans Kincheng Bank Co., Ltd. November 30, 2022 December 1, 2024 1,250,000 171,327 18.00 % 6 Xiaoshan Rural Commercial Bank July 19, 2022 July 17, 2025 3,000,000 411,184 6.16 % 7 Total long-term loans 4,250,000 $ 582,511 Total short-term and long-term loans 38,150,000 $ 5,228,893

Accrued expenses and other cu_2

Accrued expenses and other current liabilities (Tables)	6 Months Ended
	Mar. 31, 2024
Accrued expenses and other current liabilities
Schedule of accrued expenses and other current liabilities	March 31, September 30, 2024 2023 (unaudited) Advances from third parties $ 1,459,773 $ - Payroll payable 411,381 528,902 Interest payable 269,787 157,801 Accrued expenses 157,570 473,837 Accrued expenses and other current liabilities $ 2,298,511 $ 1,160,540

Taxes (Tables)

Taxes (Tables)	6 Months Ended
	Mar. 31, 2024
Taxes
Summary of reconciliation of statutory rate to the Company's effective tax rate	For the six months ended March 31, 2024 2023 China Statutory income tax rate 25.0 % 25.0 % Effect of PRC preferential tax rate and tax exemption 0.2 % - Research and development (“R&D”) tax credit 0.5 % 2 % Effect of non-taxable government subsidy income - 1.6 % Non-PRC entities not subject to PRC tax (6.2%) (10.5%) Change in valuation allowance 0.3 % 0.0 % Others (19.5%) (18.0%) Effective tax rate 0.3 % (0.0%)
Summary of provision for income tax	For the six months ended March 31, 2024 2023 (unaudited) (unaudited) Current income tax expenses $ 47 $ 4,141 Deferred income tax expenses (8,982 ) - Income tax expenses ($8,935) $ 4,141
Summary of components of deferred tax liabilities and assets	March 31, September 30, 2024 2023 Deferred tax assets: (unaudited) Net operating loss carryforwards $ 1,635,711 $ 6,152,427 Allowance on receivables 390,765 583,463 Allowance on inventory 292 344,474 Valuation allowance on net operating loss (2,026,768 ) (7,080,364 ) Total - - Deferred tax liabilities: Accelerated depreciation of equipment $ 25,547 $ 34,153 Total $ 25,547 $ 34,153

Leases (Tables)

Leases (Tables)	6 Months Ended
	Mar. 31, 2024
Leases
Schedule of operating lease liabilities	As of As of March 31, September 30, 2024 2023 (unaudited) Right-of-use assets under operating leases $ 149,277 $ 195,813 Operating lease liabilities, current - 31,602 Total operating lease liabilities - $ 31,602

Segment reporting (Tables)

Segment reporting (Tables)	6 Months Ended
	Mar. 31, 2024
Segment reporting
Summary of revenue from major product categories	For the six months ended March 31, 2024 2023 Activated carbon $ 31,285,396 $ 22,655,110 Biomass electricity - 20,007 Total $ 31,285,396 $ 22,675,117

Organization and nature of bu_3

Organization and nature of business (Details)	6 Months Ended
	Mar. 31, 2024
Subsidiary One [Member]
Name of Entity	CN Energy
Date of Incoporation	Nov. 23, 2018
Percentage of Ownership	Parent
Place of Incorporation	British Virgin Islands
Principal Activities	Holding company
Subsidiary Two [Member]
Name of Entity	Energy Holdings
Date of Incoporation	Aug. 29, 2013
Percentage of Ownership	100%
Place of Incorporation	Hong Kong, China
Principal Activities	Holding company
Subsidiary Three [Member]
Name of Entity	Zhejiang CN Energy
Date of Incoporation	Jan. 14, 2019
Percentage of Ownership	100%
Place of Incorporation	Zhejiang, China
Principal Activities	Holding company
Subsidiary Four [Member]
Name of Entity	Manzhouli CN Energy
Date of Incoporation	Jan. 24, 2019
Percentage of Ownership	100%
Place of Incorporation	Inner Mongolia, China
Principal Activities	Holding company
Subsidiary Five [Member]
Name of Entity	Manzhouli CN Technology
Date of Incoporation	Jun. 10, 2019
Percentage of Ownership	100%
Place of Incorporation	Inner Mongolia, China
Principal Activities	Holding company
Subsidiary Six [Member]
Name of Entity	CN Energy Development
Date of Incoporation	Apr. 18, 2019
Percentage of Ownership	100%
Place of Incorporation	Zhejiang, China
Principal Activities	Holding company
Subsidiary Seven [Member]
Name of Entity	Khingan Forasen
Date of Incoporation	Mar. 05, 2009
Percentage of Ownership	100%
Place of Incorporation	Heilongjiang, China
Principal Activities	Produces and distributes activated carbon and biomass electricity
Subsidiary Eight [Member]
Name of Entity	Hangzhou Forasen
Date of Incoporation	Mar. 16, 2006
Percentage of Ownership	100%
Place of Incorporation	Zhejiang, China
Principal Activities	Distributes activated carbon products
Subsidiary Nine [Member]
Name of Entity	Zhongxing Energy
Date of Incoporation	May 21, 2018
Percentage of Ownership	100%
Place of Incorporation	Inner Mongolia, China
Principal Activities	Produce activated carbon and steam for heating
Subsidiary Ten [Member]
Name of Entity	Zhejiang New Material
Date of Incoporation	May 24, 2021
Percentage of Ownership	100%
Place of Incorporation	Zhejiang, China
Principal Activities	Produce and sell wading activated carbon in the future
Subsidiary Eleven [Member]
Name of Entity	CN Energy USA
Date of Incoporation	Mar. 31, 2022
Percentage of Ownership	100%
Place of Incorporation	Delaware, U.S.
Principal Activities	Investment, consultation and trading, inactive
Subsidiary Twelve [Member]
Name of Entity	Zhoushan Trading
Date of Incoporation	Apr. 08, 2022
Percentage of Ownership	100%
Place of Incorporation	Zhejiang, China
Principal Activities	Trading
Subsidiary Thirteen [Member]
Name of Entity	Ningbo Trading
Date of Incoporation	Apr. 13, 2022
Percentage of Ownership	100%
Place of Incorporation	Zhejiang, China
Principal Activities	Trading
Subsidiary Fourteen [Member]
Name of Entity	Zhejiang Yongfeng New Material
Date of Incoporation	Oct. 11, 2022
Percentage of Ownership	100%
Place of Incorporation	Zhejiang, China
Principal Activities	Trading
Subsidiary Fifteen [Member]
Name of Entity	MZ HK
Date of Incoporation	Dec. 06, 2018
Percentage of Ownership	100%
Place of Incorporation	Hong Kong, China
Principal Activities	Holding company
Subsidiary Sixteen [Member]
Name of Entity	MZ Pintai
Date of Incoporation	Jan. 22, 2019
Percentage of Ownership	100%
Place of Incorporation	Zhejiang, China
Principal Activities	Holding company
Subsidiary Seventeen [Member]
Name of Entity	Yunnan Yuemu
Date of Incoporation	Sep. 02, 2022
Percentage of Ownership	100%
Place of Incorporation	Yunnan, China
Principal Activities	Holding company
Subsidiary Eighteen [Member]
Name of Entity	Yunnan Honghao
Date of Incoporation	May 06, 2013
Percentage of Ownership	100%
Place of Incorporation	Yunnan, China
Principal Activities	Forestry project investment and development
Subsidiary Nineteen [Member]
Name of Entity	Zhejiang Yongfeng
Date of Incoporation	Oct. 11, 2022
Percentage of Ownership	100%
Place of Incorporation	Zhejiang, China
Principal Activities	Holding company

Organization and nature of bu_4

Organization and nature of business (Details Narrative) - USD ($)	2 Months Ended	6 Months Ended
	Jun. 30, 2021	Mar. 31, 2024
Represents the information pertaining to Manzhouli Zhongxing Energy Technology Co., Ltd. [Member]
Transfer of equity interest in subsidiaries	100%
Zhejiang CN Energy. [Member]
Ownership interest (as a percent)		10%
Ownership interest held by non controlling owners		30%
Consideration Amount		$ 17,706,575
Issuance of ordinary shares for acquisition, amount		$ 18,373,771
Issuance of ordinary shares for acquisition, shares		8,819,520
Zhejiang CN Energy. [Member] | Represents the information pertaining to Hangzhou Forasen Technology Co., Ltd. [Member]
Transfer of equity interest in subsidiaries		100%
Represents the information pertaining to Manzhouli CN Energy. [Member]
Ownership interest (as a percent)		90%
Ownership interest held by non controlling owners		70%
CnEnergy Development [Member]
Ownership interest held by non controlling owners		100%
Issuance of Ordinary Shares, net of offering expenses (in shares)		10,000,000
CnEnergy Development [Member] | Represents the information pertaining to Hangzhou Forasen Technology Co., Ltd. [Member]
Transfer of equity interest in subsidiaries	100%
CnEnergy Development One [Member]
Transfer of equity interest in subsidiaries	60%

Summary of significant accoun_3

Summary of significant accounting policies (Details)	6 Months Ended
	Mar. 31, 2024
Property plant and equipment useful life [Member]
Property plant and equipment useful life	20 years
Machinery and Equipment [Member]
Property plant and equipment useful life	10 years
Vehicles [Member]
Property plant and equipment useful life	4 years
Office Equipment [Member] | Minimum [Member]
Property plant and equipment useful life	3 years
Office Equipment [Member] | Maximum [Member]
Property plant and equipment useful life	5 years

Summary of significant accoun_4

Summary of significant accounting policies (Details 1)	6 Months Ended
	Mar. 31, 2024
Purchased patents [Member]
Estimated useful lives of intangible assets	10 years
Software [Member]
Estimated useful lives of intangible assets	10 years

Summary of significant accoun_5

Summary of significant accounting policies (Details Narrative)	6 Months Ended
	Mar. 31, 2024 USD ($)	Mar. 31, 2023 USD ($)	Sep. 30, 2023 USD ($)	Dec. 31, 2019 USD ($)	Apr. 30, 2014 USD ($)	Jan. 31, 2014 USD ($)
Summary of significant accounting policies
VAT refund	$ 0		$ 300,000
Estimated useful life of land use right	50 years
Shipping and handling expenses	$ 15,725	$ 15,725
Government subsidy income tax	40,936	121,142
Government subsidy income	40,936	$ 426,629
Government subsidies received, equipment of energy projects	0		305,487	$ 140,000	$ 140,000	$ 840,000
Unrecognized government grants	$ 220,212		$ 202,165
Maximum rate of VAT	13%
Percentage of VAT refund	70%
Effect of exchange rate on foreign currency translation	7.2203		7.2960
Maximum insured amount deposit in bank	$ 69,383
Average exchange rates	2,064		6.9718

Accounts receivable net (Detail

Accounts receivable net (Details) - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Accounts receivable net
Trade accounts receivable	$ 33,559,596	$ 29,509,165
Less: allowance for doubtful accounts	(184,882)	(496,299)
Accounts receivable, net	$ 33,374,714	$ 29,012,866

Accounts receivable net (Deta_2

Accounts receivable net (Details 1) - USD ($)	6 Months Ended	12 Months Ended
	Mar. 31, 2024	Sep. 30, 2023
Accounts receivable net
Balance at beginning of year	$ 496,299	$ 330,990
Addition	0	179,562
Reversal	(317,232)	0
Translation adjustments	5,815	(14,253)
Balance at end of year	$ 184,882	$ 496,299

Inventories (Details)

Inventories (Details) - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Inventory
Raw materials	$ 2,633,372	$ 1,619,534
Finished goods	1,402,063	1,224,555
Sub-total	4,035,435	2,844,089
Less: allowance for inventories	(4,690)	(188,856)
Total	$ 4,030,745	$ 2,655,233

Inventories (Details 1)

Inventories (Details 1) - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Inventory
Balance as of beginning of period	$ 188,856	$ 0
Addition	0	195,355
Reversal	(186,505)	0
Translation adjustments inventory	2,339	6,499
Balance as of end of period	$ 4,690	$ 188,856

Advances to suppliers net (Deta

Advances to suppliers net (Details) - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Advances to suppliers net
Advances for raw materials purchase	$ 30,646,304	$ 39,098,283
Less: allowance for doubtful accounts	(1,402,103)	(54,217)
Total	$ 29,244,201	$ 39,044,066

Advances to suppliers net (De_2

Advances to suppliers net (Details 1) - USD ($)	6 Months Ended	12 Months Ended
	Mar. 31, 2024	Sep. 30, 2023
Advances to suppliers net
Balance at beginning of year	$ 54,217	$ 261,518
Addition	1,349,917	0
Reversal	0	(207,668)
Translation adjustments	(2,031)	367
Balance at end of year	$ 1,402,103	$ 54,217

Biological assets (Details)

Biological assets (Details) - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Biological assets
Biological assets	$ 29,506,036	$ 29,199,895
Less: accumulated depreciation	(1,318,516)	(844,306)
Biological assets, net	$ 28,187,520	$ 28,355,589

Biological assets (Details Narr

Biological assets (Details Narrative) - USD ($)	6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Biological assets
Amortization of biological assets	$ 466,256	$ 401,621
Biological assets description	Company owned 29 forest right certificates with expiry dates ranging from August 2053 to December 2076 and with an aggregate area of 14.5 square miles

Property plant and equipment _3

Property plant and equipment net (Details) - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Subtotal	$ 17,604,141	$ 17,421,368
Construction in progress	5,216,649	5,162,523
Less: accumulated depreciation	(9,558,708)	(8,749,498)
Property, plant and equipment, net	13,262,082	13,834,393
Machinery and Equipment [Member]
Subtotal	9,598,017	9,498,312
Vehicles [Member]
Subtotal	217,454	215,198
Property and Building [Member]
Subtotal	7,701,474	7,621,567
Office Equipment [Member]
Subtotal	$ 87,196	$ 86,291

Property plant and equipment _4

Property plant and equipment net (Details Narrative) - USD ($) $ in Millions	6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Property plant and equipment net
Depreciation expenses	$ 71,886.2	$ 78,290.6

Land use right net (Details)

Land use right net (Details) - Land use right [Member] - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Land use right	$ 6,959,643	$ 6,887,433
Less: accumulated amortization	(341,761)	(233,767)
Intangible assets, net	$ 6,617,882	$ 6,653,666

Land use right net (Details 1)

Land use right net (Details 1) - Land use right [Member] - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Remainder of fiscal 2024	$ 154,405
Fiscal 2025	308,809
Fiscal 2026	308,809
Fiscal 2027	308,809
Fiscal 2028	308,809
Thereafter	5,228,241
Intangible assets, net	$ 6,617,882	$ 6,653,666

Land use right net (Details Nar

Land use right net (Details Narrative) - USD ($)	6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Land use right net
Amortization expense	$ 105,747	$ 91,796

Longterm deposits (Details)

Longterm deposits (Details) - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Longterm deposits
Construction deposit	$ 831,129	$ 822,505
Deposit for acquisition of land use rights	276,997	274,123
Long-term deposits	$ 1,108,126	$ 1,096,628

Longterm deposits (Details Narr

Longterm deposits (Details Narrative) ¥ in Millions	6 Months Ended
	Mar. 31, 2024 CNY (¥)
Longterm deposits
Payment of construction deposit	¥ 6
Payment of deposit for acquisition of land use rights	¥ 2

Prepayment for property plant_2

Prepayment for property plant and equipment (Details Narrative) $ in Millions	6 Months Ended
	Mar. 31, 2024 USD ($)
Prepayment for property plant and equipment
Prepayment for property, plant and equipment	$ 0.9
Contractual obligations Remaining	0.2
Contractual obligations paid	$ 1.1

Intangible assets net (Details)

Intangible assets net (Details) - Intangible Assets [Member] - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Subtotal	$ 1,001,729	$ 991,336
Less: accumulated amortization	(998,788)	(988,276)
Intangible assets, net	2,941	3,060
Software[Member]
Subtotal	14,196	14,049
Patents [Member]
Subtotal	$ 987,533	$ 977,287

Intangible assets net (Details

Intangible assets net (Details 1) - Intangible Assets [Member] - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Remainder of fiscal 2024	$ 226
Fiscal 2025	452
Fiscal 2026	452
Fiscal 2027	452
Fiscal 2028	452
Thereafter	907
Intangible assets, net	$ 2,941	$ 3,060

Intangible assets net (Detail_2

Intangible assets net (Details Narrative) - USD ($)	6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Intangible assets net
Amortization expenses	$ 151	$ 8,718

Shortterm and longterm loans (D

Shortterm and longterm loans (Details) - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Total short-term bank loans	$ 4,695,096	$ 4,646,382
Long-term bank loans, current portion	565,535	548,245
Long-term bank loans, non-current portion	0	34,266
Total long-term bank loans	565,535	582,511
Total short-term and long-term bank loans	5,260,631	5,228,893
Industrial And Commercial Bank of China [Member]
Total short-term bank loans	1,731,231	1,713,267
Bank of Beijing [Member]
Total short-term bank loans	1,177,236	1,165,022
China Resources Shenzhen Guotou Trust Co Ltd [Member]
Total short-term bank loans	692,492	685,307
China Zheshang Bank Co Ltd [Member]
Total short-term bank loans	678,642	671,601
Pingan Bank Co Ltd [Member]
Total short-term bank loans	415,495	411,185
Xiaoshan Rural Commercial Bank [Member]
Long-term bank loans, current portion	415,495	411,184
Kincheng Bank Co Ltd [Member]
Long-term bank loans, current portion	150,040	137,061
Long-term bank loans, non-current portion	$ 0	$ 34,266

Shortterm and longterm loans _2

Shortterm and longterm loans (Details 1) - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Total short-term bank loans	$ 4,695,096	$ 4,646,382
Long-term bank loans, current portion	565,535	548,245
Long-term bank loans, non-current portion	0	34,266
Total long-term bank loans	565,535	582,511
Total short-term and long-term bank loans	5,260,631	5,228,893
Represents information pertaining to Secured short-term bank loans with Pingan Bank Co., Ltd, Due December 05 2023 [Member]
Total short-term bank loans	$ 415,495	$ 411,185
Effective interest rate	6%	6%
Represents information pertaining to China Resources Shenzhen Guotou Trust Co Ltd Due on June 13 2024 [Member]
Total short-term bank loans	$ 692,492	$ 685,307
Effective interest rate	3.40%	3.40%
Represents information pertaining to Kincheng Bank Co Ltd Due on December 1 2024 [Member]
Long-term bank loans, current portion	$ 150,040	$ 171,327
Effective interest rate	18%	18%
Represents information pertaining to Secured short-term bank loans with Bank of Beijing (Yangzhou Branch), Due May 30, 2024. [Member]
Total short-term bank loans	$ 484,744	$ 479,715
Effective interest rate	4%	4%
Represents information pertaining to Secured short-term bank loans with Industrial and Commercial Bank of China (Tahe Branch), Due April 19 2024 [Member]
Total short-term bank loans	$ 623,243	$ 616,776
Effective interest rate	3.75%	3.75%
Represents information pertaining to Secured short-term bank loans with Industrial and Commercial Bank of China (Tahe Branch), Due June 24, 2023. [Member]
Total short-term bank loans	$ 692,492	$ 685,307
Effective interest rate	4.35%	4.35%
Represents information pertaining to Secured short-term bank loans with Bank of Beijing (Yangzhou Branch), Due December 8 2023 [Member]
Total short-term bank loans	$ 692,492	$ 685,307
Effective interest rate	4.50%	4.50%
Represents information pertaining to Secured short-term bank loans with China Zheshang Bank Co Ltd Due June 28 2024 [Member]
Total short-term bank loans	$ 678,642	$ 671,601
Effective interest rate	5.50%	5.50%
Represents information pertaining to Secured short-term bank loans. [Member]
Total short-term bank loans	$ 3,587,108	$ 3,549,891
Represents information pertaining to Unsecured short-term bank loans with Industrial and Commercial Bank of China (Tahe Branch), Due November 22 2023 [Member]
Total short-term bank loans	$ 207,748	$ 205,592
Effective interest rate	4.45%	4.45%
Represents information pertaining to Unsecured short-term bank loans with Industrial and Commercial Bank of China (Tahe Branch), Due November 22 2023 1 [Member]
Total short-term bank loans	$ 207,748	$ 205,592
Effective interest rate	4.45%	4.45%
Represents information pertaining to Unsecured short-term bank loans. [Member]
Total short-term bank loans	$ 1,107,988	$ 1,096,491
Represents information pertaining to Secured long-term bank loans with Xiaoshan Rural Commercial Bank, Due July 17 2025 [Member]
Long-term bank loans, non-current portion	$ 415,495	$ 411,184
Effective interest rate	6.16%	6.16%

Shortterm and longterm loans _3

Shortterm and longterm loans (Details Narrative) - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Property, plant and equipment, net	$ 13,262,082	$ 13,834,393
Asset Pledged as Collateral [Member]
Property, plant and equipment, net		$ 100,000
Heilongjiang Xinzheng Financing Guarantee Group Co Ltd 3 [Member]
Maximum percentage of outstanding principal and normal interest balance guaranteed	100%
Mr. Wenhua Liu [Member]
Outstanding principal and normal interest balance	$ 900,000
Mr. Wenhua Liu One [Member]
Outstanding principal and normal interest balance	$ 900,000
Heilongjiang Xinzheng Financing Guarantee Group Co Ltd [Member]
Maximum percentage of outstanding principal and normal interest balance guaranteed	80%

Convertible note (Details Narra

Convertible note (Details Narrative) - USD ($)		6 Months Ended		12 Months Ended
	Dec. 01, 2023	Mar. 31, 2024	Mar. 31, 2023	Sep. 30, 2023	Dec. 30, 2022
Convertible note
Unsecured convertible note principal amount					$ 3,230,000
Interest rate					7%
Note mature date				Dec. 30, 2023
Common share conversion price				$ 2
Conversion of convertible note into number of ordinary share				8,996,865
Conversion of convertible note into number of ordinary share conversion rate per share				$ 0.12
Interest payable		$ 269,787		$ 157,801
Convertible note redemption				1,250,000
Outstanding principal of convertible				$ 2,000,000
Ordinary shares issued	1,875,000	691,610	0
Redemption of convertible notes	$ 225,000	$ 960,000	$ 0
Adjusted for the reversed stock split, shares	62,500

Accrued expenses and other cu_3

Accrued expenses and other current liabilities (Details) - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Accrued expenses and other current liabilities
Advances from third parties	$ 1,459,773	$ 0
Payroll payable	411,381	528,902
Interest payable	269,787	157,801
Accrued expenses	157,570	473,837
Accrued expenses and other current liabilities	$ 2,298,511	$ 1,160,540

Related party transactions (Det

Related party transactions (Details Narrative)	Oct. 08, 2021 USD ($) ft²	Oct. 08, 2021 CNY (¥) ft²	Mar. 31, 2024 USD ($)	Sep. 30, 2023 USD ($)
Jinwu Huang [Member]
Due to a related party			$ 40,878	$ 38,105
Yefang Zhang. [Member]
Due to a related party			$ 471,653	$ 114,451
Represents the information pertaining to Hangzhou Forasen Technology Co., Ltd. [Member]
Area of office space leased | ft²	27,147	27,147
Annual rent	$ 59,890	¥ 432,043
Term of the lease	five years

Taxes (Details)

Taxes (Details)	6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Statutory rate to the Company's effective tax rate
China Statutory income tax rate	25%	25%
Effect of PRC preferential tax rate and tax exemption	0.20%	0%
Research and development ("R&D") tax credit	0.50%	2%
Effect of non-taxable government subsidy income	0%	1.60%
Non-PRC entities not subject to PRC tax	(6.20%)	(10.50%)
Change in valuation allowance	0.30%	0%
Others	(19.50%)	18%
Effective tax rate	0.30%	0%

Taxes (Details 1)

Taxes (Details 1) - USD ($)	6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Provision for income tax
Deferred income tax expenses	$ (8,982)	$ 0
Income tax expenses	8,935	(4,141)
Provision for Income Tax [Member]
Provision for income tax
Current income tax expenses	47	4,141
Deferred income tax expenses	(8,982)	0
Income tax expenses	$ (8,935)	$ 4,141

Taxes (Details 2)

Taxes (Details 2) - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Components of deferred tax assets
Net operating loss carryforwards	$ 1,635,711	$ 6,152,427
Allowance on receivables	390,765	583,463
Allowance on inventory	292	344,474
Valuation allowance on net operating loss	(2,026,768)	(7,080,364)
Total	0	0
Deferred tax liabilities:
Accelerated depreciation of equipment	25,547	34,153
Total	$ 25,547	$ 34,153

Taxes (Details Narrative)

Taxes (Details Narrative) - USD ($)	6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Sep. 30, 2023
Taxes
Cumulative net operating loss	$ 6,900,000		$ 24,600,000
Enterprise Income Tax	25%
Valuation allowance	$ 2,100,000		$ 7,100,000
Preferential tax rate	15%
Recovery in valuation allowance	$ (6,000,000)	$ (200,000)
Revenue of from selling activated carbon exempt from income tax (as a percent)	10%
Income tax paid as assessed by Tax Authority	$ 135,000

Concentration of major custom_2

Concentration of major customers and suppliers (Details Narrative) - integer	6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Supplier One [Member]
Number of customers	2	3
Concentration risk percentage	35%	34%
Supplier One [Member] | Accounts Receivable [Member]
Number of customers	4	5
Concentration risk percentage	20%	17%
Customer one [Member]
Number of customers	3	2
Concentration risk percentage	27%	32%
Customer one [Member] | Accounts Receivable [Member]
Number of customers	3	3
Concentration risk percentage	24%	21%
Customer Two [Member]
Concentration risk percentage	16%	14%
Customer Two [Member] | Accounts Receivable [Member]
Concentration risk percentage	17%	20%
Customer Three [Member]
Concentration risk percentage	10%
Customer Three [Member] | Accounts Receivable [Member]
Concentration risk percentage	11%	10%
Supplier Two [Member]
Concentration risk percentage	10%	22%
Supplier Two [Member] | Accounts Receivable [Member]
Concentration risk percentage	18%	16%
Supplier Three [Member]
Concentration risk percentage		12%
Supplier Three [Member] | Accounts Receivable [Member]
Concentration risk percentage	15%	16%
Supplier Four [Member] | Accounts Receivable [Member]
Concentration risk percentage	14%	11%
Supplier Five [Member] | Accounts Receivable [Member]
Concentration risk percentage		10%

Leases (Details)

Leases (Details) - USD ($)	Mar. 31, 2024	Sep. 30, 2023
Leases
Right-of-use assets under operating leases	$ 149,277	$ 195,813
Operating lease liabilities, current	0	31,602
Total operating lease liabilities	$ 0	$ 31,602

Leases (Details Narrative)

Leases (Details Narrative)		6 Months Ended
	Oct. 08, 2021 USD ($) ft²	Mar. 31, 2024	Mar. 31, 2023	Sep. 30, 2023
Weighted-average remaining lease term		2 years 6 months	1 year 6 months
Weighted-average discount rate		4.80%		4.70%
Represents the information pertaining to Hangzhou Forasen Technology Co., Ltd. [Member]
Annual rent	$ 71,624
Area of office space leased | ft²	27,147
Prepaid total rent	$ 358,120

Commitments and contingencies (

Commitments and contingencies (Details Narrative) - 6 months ended Mar. 31, 2024 $ in Millions	USD ($)	CNY (¥)
Contractual obligations Remaining | $	$ 0.2
Late fees per day (as a percent)	0.05%
Minimum [Member]
Amount of fine		¥ 10,000
Maximum [Member]
Amount of fine		¥ 50,000

Segment reporting (Details)

Segment reporting (Details) - USD ($)	6 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Total	$ 31,285,396	$ 22,675,117
Activated Carbon [Member]
Total	31,285,396	22,655,110
Biomass Electricity [Member]
Total	$ 0	$ 20,007

Shareholders equity (Details Na

Shareholders equity (Details Narrative) - USD ($)	1 Months Ended		6 Months Ended	12 Months Ended
	Jan. 18, 2024	Jan. 31, 2023	Mar. 31, 2024	Sep. 30, 2023	Jan. 30, 2023
Description of share consolidation	the Company consolidated its issued and outstanding ordinary shares from 70,449,781 Class A ordinary shares of no par value and 3,020,969 Class B ordinary shares of no par value to 2,348,326 Class A ordinary shares of no par value and 100,698 Class B ordinary shares of no par value, on a 30:1 basis
Proceeds from the Offering			$ 3,230,000
Minimum number of ordinary shares issued			18,183,274
Maximum number of ordinary shares issued			6,883,337
Convertible note redemption				$ 1,250,000
Class A Number of ordinary shares issued			100,000	0
Restricted stock issued			100,000	0
Statutory reserves			$ 500,000	$ 500,000
Cash			$ 126,416	$ 195,502
CN Energy [Member]
Underwriting agreement, Description		public offering (the “Offering”) (i) 10,396,974 units, each consisting of one Class A ordinary share, no par value (collectively, the “Class A ordinary shares”) and one warrant, each exercisable to purchase one Class A ordinary share at an exercise price of $0.55 per share (collectively, the “warrants”), at an offering price of $0.55 per unit; and (ii) 7,786,300 units, each consisting of one pre-funded warrant, each exercisable to purchase one Class A ordinary share at an exercise price of $0.0001 per share (collectively, the “Pre-funded Warrants”), and one warrant, at an offering price of $0.5499 per unit (together with the Class A ordinary shares and the warrants, the “Offered Securities”), to those purchasers whose purchase of Class A ordinary shares in the Offering would otherwise result in the purchaser, together with its affiliates and certain related parties, beneficially owning more than 4.99% (or, at the election of the holder, 9.99%) of CN Energy’s outstanding ordinary shares immediately following the consummation of the Offering. The components of the units were issued separately and are immediately separable upon issuance
Proceeds from the Offering		$ 7,800,000
Common Class A [Member]
Number of ordinary shares issued			3,077,186	2,285,826
Number of ordinary shares outstanding			3,077,186	2,285,826
Restricted stock issued			6,783,337	6,883,337
Conversion of ordinary shares			3,112,046
Cash			$ 145,290	$ 0
Pre-funded Warrants exercised			3,112,046		4,672,700
Pre-funded Warrants outstanding			1,554	1,554
Issuance of stock					15,069,674
Common Class A [Member] | Parent Company [Member]
Convertible note redemption			$ 960,000
Number of ordinary shares issued			691,610
Conversion price	$ 0.55		$ 0.12
Purchase price of ordinary shares			$ 1.4529
Common Class A [Member] | Issuance of Ordinary Shares for Acquisition [Member]
Acquisition			10%
Common Class B [Member]
Number of ordinary shares issued			100,698	100,698
Number of ordinary shares outstanding			100,698	100,698

Subsequent events (Details Narr

Subsequent events (Details Narrative) - CN Energy [Member] - Subsequent Event Member	1 Months Ended
	Sep. 25, 2024 USD ($)	Sep. 12, 2024 CNY (¥)
Ownership interest (as a percent)	10%	100%
Total purchase price | $	$ 19,690,929
Consideration amount paid | ¥		¥ 29,478