Company: CNEY
Filing Date: 2025-10-29
Form Type: F-1/A
Source: 0001477932-25-007791
Chunk: 83

Company: CN ENERGY GROUP. INC.
Filing Date: 2025-10-29
Form: F-1/A
Chunk 83
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, the operating entities adopted a sales strategy of price discounts. Therefore, the average selling price had decreased. Average selling price of activated carbon increased by $57, or 4.1%, to $1,438 per ton for fiscal 2023, compared to $1,381 per ton for fiscal 2022. This increase in price resulted in an increase of approximately $1.7 million in revenue.

Biomass electricity

Revenue from biomass electricity for fiscal year 2023 decreased by $0.1 million, or 86.9%, to $19,776 from $150,716 for fiscal year 2021. The biomass electricity was generated in the process of producing activated carbon and supplied to State Grid Heilongjiang pursuant to a biomass electricity sales agreement, which is renewed annually. Biomass electricity generated during our production decreased by 2.3 million KWh, or 84.5%, to 0.4 million KWh in fiscal 2023 from 2.7 million KWh for the same period of last year, and therefore we recorded less revenue from biomass electricity in fiscal 2023. This was mainly attributable to the fact that operating entities’ newly commissioned equipment produces more activated carbon with less gas, which, in turn, reduces the amount of electricity generated.

Technical services

For the fiscal year ended September 30, 2023, revenue from technical services decreased by $0.1 million, or 100.0%, to nil from $129,177 for fiscal year 2022. Our technical services are provided on an as-needed basis. We did not record any revenue in fiscal 2023 as there was no customer demand for technical services in fiscal 2023.

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Cost of Revenue

The following table sets forth the breakdown of our cost of revenue for the fiscal years ended September 30, 2023 and 2022, respectively:

| Product/service type |     | Total cost of revenue for fiscal years ended September 30, 
 Amount                                                     |       2023 |     | % |       |     | Amount |       2022 |     | % |       |     | Amount |   Variance |   |     | % |       |   |     | 2023 | Average unit cost |     | 2022 |          |     | Unit cost | Variance |     | % |      |
|:---------------------|:----|:-----------------------------------------------------------|-----------:|:----|:--|------:|: