Let $m,n,x,y,z$ be positive integers such that $y=m(z-1)+1$ and $yz-1=n(y^2-x^2)$.
If you fix $m$ and $n$ then this is a generalized Pell equation in $x$ and $z$ (i.e., a quadratic Diophantine equation of the sort that can be solved by this website).
I have 2 specific conjectures, which I have checked computationally for $m,n\leq100$, $z\leq10^7$.
Conjecture 1: If $n\geq2$ then $x,y,z$ are all odd.
Conjecture 2: If $(m,n)\neq(1,1)$ then $z$ is indivisible by $4$.
A proof or counterexample of either of these conjectures would be much appreciated.
The table below gives the first four $(x,y,z)$ solutions for fixed $(m,n)$:
$$\begin{array}{c|c|c|c}&n=1&n=2&n=3\\\hline m=1& \begin{array}{c}(1,1,1)\\(1,2,2)\\(1,3,3)\\(1,4,4)\end{array}& \begin{array}{c}(1,1,1)\\(5,7,7)\\(29,41,41)\\(169,239,239)\end{array}& \begin{array}{c}(1,1,1)\\(9,11,11)\\(89,109,109)\\(881,1079,1079)\end{array}\\\hline m=2& \begin{array}{c}(1,1,1)\\(2,3,2)\\(23,33,17)\\(64,91,46)\end{array}& \begin{array}{c}(1,1,1)\\(167,193,97)\\(32397,37409,18705)\\(6284851,7257121,3628561)\end{array}& \begin{array}{c}(1,1,1)\\(439,481,241)\\(211597,231793,115897)\\(101989315,111723697,55861849)\end{array}\\\hline m=3& \begin{array}{c}(1,1,1)\\(3,4,2)\\(69,85,29)\\(287,352,118)\end{array}& \begin{array}{c}(1,1,1)\\(417,457,153)\\(200993,220177,73393)\\(96878209,106124761,35374921)\end{array}& \begin{array}{c}(1,1,1)\\(1053,1117,373)\\(1215161,1288873,429625)\\(1402294741,1487358181,495786061)\end{array} \end{array}$$
In the comments, Will Jagy observed that if $n\geq2$ then the $x$ values satisfy a linear recurrence $x_{n+2}=Cx_{n+1}-x_n$ (and you can do something similar for $y$ and $z$). The table below gives the values of $C$:
$$\begin{array}{c|c|c|c|c|c|c|c|c|c}&n=2&n=3&n=4&n=5&n=6&n=7&n=8&n=9&n=10\\\hline m=1&6&10&14&18&22&26&30&34&38\\\hline m=2&194&482&898&1442&2114&2914&3842&4898&6082\\\hline m=3&482&1154&2114&3362&4898&6722&8834&11234&13922\\\hline m=4&898&2114&3842&6082&8834&12098&15874&20162&24962\\\hline m=5&1442&3362&6082&9602&13922&19042&24962&31682&39202\\\hline m=6&2114&4898&8834&13922&20162&27554&36098&45794&\\\hline m=7&2914&6722&12098&19042&27554&37634&49282&&\\\hline m=8&3842&8834&15874&24962&36098&49282&&&\\\hline m=9&4898&11234&20162&31682&45794&&&&\\\hline m=10&6082&13922&24962&39202&&&&&\end{array}$$
Notice the symmetry!
Gottfried Helms observed the formula $C=4(2mn-1)^2-2$ for $m,n\geq2$.
When $m=1$, it looks like $C=4n-2$ for $n\geq2$.
This answer proves the $m=1$ case of conjecture 2, using methods from Diophantine approximation.
Phew! Thanks to the help of Will Jagy and Gottfried Helms, I have a complete solution!
Fix positive integers $m$ and $n$. We will study the equation \begin{equation} \tag{1} mn(y-x)(y+x)=(y-1)(y+m). \end{equation} Classification of Small Solutions
We begin by classifying the integer solutions to (1) with small $y$ coordinate.
Case 1: $y>1$
Assume that $y>1$. Then the right hand side of (1) is positive, so the left hand side of (1) is also positive. Then $y^2-x^2$ is positive, so $y^2-x^2\geq2y-1$. This gives $$(y-1)(y+m)=mn(y^2-x^2)\geq mn(2y-1).$$ Dividing through by $2y-1$ gives $$\frac{(y-1)(y+m)}{2y-1}\geq mn.$$ Let $f(y)=(y-1)(y+m)/(2y-1)$. Note that $f$ is increasing on $(\frac{1}{2},\infty)$. Let $y_0=2mn-m$. Then $$f(y_0)=\frac{2mn(y_0-1)}{2y_0-1}<mn\leq f(y)$$ so $y_0<y$. Thus, $y\geq2mn-m+1$.
Case 2: $-m<y<1$
Assume that $-m<y<1$. Then the right hand side of (1) is negative, so the left hand side of (1) is also negative. Then $y^2-x^2$ is negative, so $y^2-x^2\leq2y-1$. This gives $$(y-1)(y+m)=mn(y^2-x^2)\leq mn(2y-1).$$ Dividing through by $2y-1$ gives $$\frac{(y-1)(y+m)}{2y-1}\geq mn.$$ Let $f(y)=(y-1)(y+m)/(2y-1)$. Note that $f$ is increasing on $(-\infty,\frac{1}{2})$. Let $y_0=0$. Then $$f(y_0)=m\leq mn\leq f(y)$$ so $y_0\leq y$. Thus, $y=0$.
Case 3: $y<-m$
Assume that $y<-m$. Then the right hand side of (1) is positive, so the left hand side of (1) is also positive. Then $y^2-x^2$ is positive, so $y^2-x^2\geq-2y-1$. This gives $$(y-1)(y+m)=mn(y^2-x^2)\geq mn(-2y-1).$$ Dividing through by $-2y-1$ gives $$\frac{(y-1)(y+m)}{-2y-1}\geq mn.$$ Let $f(y)=(y-1)(y+m)/(-2y-1)$. Note that $f$ is decreasing on $(-\infty,-\frac{1}{2})$. Let $y_0=-2mn-m+2$. Then $$f(y_0)=\frac{(y_0-1)(y_0+m)}{-2y_0-1}\leq\frac{(y_0+1)(y_0+m-2)}{-2y_0-1}=\frac{-2mn(y_0+1)}{-2y_0-1}<mn\leq f(y)$$ so $y_0>y$. Thus, $y\leq-2mn-m+1$.
Completing the Classification
Theorem 1: If $(x,y)\in\mathbb{Z}^2$ satisfies (1) then exactly one of the following holds:
Proof: We have already shown that either $y\geq2mn-m+1$ or $y=1$ or $y=0$ or $y=-m$ or $y\leq-2mn-m+1$.
Mapping Solutions
We now define functions $f,g\colon\mathbb{R}^2\to\mathbb{R}^2$ that preserve integer solutions to (1). Our goal is to show that every integer solution to (1) can be obtained via $f$ and $g$ from one of the five solutions listed in Theorem 1.
Let $R=2mn-1$. Let $f,g\colon\mathbb{R}^2\to\mathbb{R}^2$ be defined by $$f\left(\begin{bmatrix}x\\y\end{bmatrix}\right)=\begin{bmatrix}(2R^2-1)x+2R(R-1)y-2(m-1)R\\(2R^2-1)y+2R(R+1)x-2(m-1)(R+1)\end{bmatrix},$$ $$g\left(\begin{bmatrix}x\\y\end{bmatrix}\right)=\begin{bmatrix}(2R^2-1)x-2R(R-1)y+2(m-1)R\\(2R^2-1)y-2R(R+1)x-2(m-1)(R+1)\end{bmatrix}.$$
Lemma 2: The functions $f$ and $g$ preserve solutions to (1).
Proof: The algebraic manipulations are rather involved, so I instead wrote up a proof in Lean 3.
You just need to check that I correctly copied (1) (sol.h), $f$ (sol.forward), and $g$ (sol.backward). $\blacksquare$
We now give a few lemmas describing the relationship between $f$ and $g$.
Lemma 3: Let $\overline{(x,y)}=(-x,y)$. Then $f(\overline{p})=\overline{g(p)}$ for all points $p\in\mathbb{R}^2$.
Proof: This is clear from the definitions of $f$ and $g$. $\blacksquare$
Lemma 4: The functions $f$ and $g$ are inverses to each other.
Proof: We can write $f$ in terms of matrix multiplication as $$f\left(\begin{bmatrix}x\\y\end{bmatrix}\right)=\begin{bmatrix}2R^2-1&2R(R-1)\\2R(R+1)&2R^2-1\end{bmatrix}\begin{bmatrix}x\\y\end{bmatrix}-2(m-1)\begin{bmatrix}R\\R+1\end{bmatrix}.$$ Note that the $2\times2$ matrix has determinant $(2R^2-1)^2-4R^2(R^2-1)=1$. Then the inverse function to $f$ is given by \begin{align*} f^{-1}\left(\begin{bmatrix}x\\y\end{bmatrix}\right)&=\begin{bmatrix}2R^2-1&2R(R-1)\\2R(R+1)&2R^2-1\end{bmatrix}^{-1}\left(\begin{bmatrix}x\\y\end{bmatrix}+2(m-1)\begin{bmatrix}R\\R+1\end{bmatrix}\right)\\ &=\begin{bmatrix}2R^2-1&-2R(R-1)\\-2R(R+1)&2R^2-1\end{bmatrix}\left(\begin{bmatrix}x\\y\end{bmatrix}+2(m-1)\begin{bmatrix}R\\R+1\end{bmatrix}\right)\\ &=\begin{bmatrix}2R^2-1&-2R(R-1)\\-2R(R+1)&2R^2-1\end{bmatrix}\begin{bmatrix}x\\y\end{bmatrix}+2(m-1)\begin{bmatrix}2R^2-1&-2R(R-1)\\-2R(R+1)&2R^2-1\end{bmatrix}\begin{bmatrix}R\\R+1\end{bmatrix}\\ &=\begin{bmatrix}2R^2-1&-2R(R-1)\\-2R(R+1)&2R^2-1\end{bmatrix}\begin{bmatrix}x\\y\end{bmatrix}+2(m-1)\begin{bmatrix}R\\-(R+1)\end{bmatrix}=g\left(\begin{bmatrix}x\\y\end{bmatrix}\right). \end{align*} Thus, $f$ and $g$ are inverses to each other. $\blacksquare$
By Lemma 4, fixed points of $f$ are fixed points of $g$, and vice versa.
Lemma 5: If $(x,y)$ is a fixed point of $f$ and $g$ then $x=0$.
Proof: Suppose that $(x,y)$ is a fixed point of $f$ and $g$. Then $$\begin{bmatrix}2R^2-1&2R(R-1)\\2R(R+1)&2R^2-1\end{bmatrix}\begin{bmatrix}x\\y\end{bmatrix}-2(m-1)\begin{bmatrix}R\\R+1\end{bmatrix}=f\left(\begin{bmatrix}x\\y\end{bmatrix}\right)=\begin{bmatrix}x\\y\end{bmatrix}=\begin{bmatrix}1&0\\0&1\end{bmatrix}\begin{bmatrix}x\\y\end{bmatrix}.$$ Rearranging terms and dividing through by 2 gives \begin{equation}\tag{2}\begin{bmatrix}R^2-1&R(R-1)\\R(R+1)&R^2-1\end{bmatrix}\begin{bmatrix}x\\y\end{bmatrix}=(m-1)\begin{bmatrix}R\\R+1\end{bmatrix}.\end{equation} Note that the $2\times2$ matrix has determinant $(R^2-1)^2-R^2(R^2-1)=1-R^2$. If $R=1$ then $(m,n)=(1,1)$, so (2) becomes $$\begin{bmatrix}0&0\\2&0\end{bmatrix}\begin{bmatrix}x\\y\end{bmatrix}=\begin{bmatrix}0\\0\end{bmatrix}.$$ This forces $x=0$. Now suppose that $R>1$. Then the $2\times2$ matrix in (2) is invertible, so (2) has a unique solution. In other words, $f$ and $g$ have a unique fixed point $p$. However, Lemma 3 shows that $\overline{p}$ is also a fixed point of $f$ and $g$. Then $p=\overline{p}$, so $x=0$. Alternatively, you can solve (2) explicitly and get $(x,y)=(0,(m-1)/(R-1))$. $\blacksquare$
Lemma 6: The functions $f,g\colon\mathbb{R}^2\to\mathbb{R}^2$ have no fixed points satisfying equation (1).
Proof: Let $(x,y)$ be a fixed point of $f$ and $g$. By Lemma 5, $x=0$. However, setting $x=0$ in (1) gives $$mny^2=(y-1)(y+m).$$ The quadratic $(mn-1)y^2-(m-1)y+m$ has discriminant $(m-1)^2-4m(mn-1)<0$. $\blacksquare$
We can now prove the main theorem.
Theorem 7: Any integer solution to (1) can be mapped via $f$ and $g$ to one of the five solutions listed in Theorem 1.
Proof: Since the quadratic $(mn-1)y^2-(m-1)y+m$ has negative discriminant, the graph of (1) consists of the two curves $x=\pm\sqrt{y^2-((y-1)(y+m)/(mn))}$. Since $f(-1,1)=(1-2mR,1-2m(R+1))$ has negative $x$-coordinate, $f$ and $g$ do not swap the two curves. By Lemma 6, $f$ and $g$ do not flip either of the two curves, and each shift each curve either up or down. Since $f(-1,1)=(1-2mR,1-2m(R+1))$ has negative $y$-coordinate, $f$ shifts the left curve downward. Then by Lemma 4, $g$ shifts the left curve upward. Then by Lemma 3, $f$ shifts the right curve upward and $g$ shifts the right curve downward.
It remains to show that $f$ and $g$ can't jump over the gap $-2mn-m+1\leq y\leq2mn-m+1$. By Lemmas 3 and 4, it suffices to show that if $y_0=2mn-m+1$ and $x_0=\sqrt{y_0^2-((y_0-1)(y_0+m)/(mn))}$ then the $y$-coordinate of $g(x_0,y_0)$ is at least $-2mn-m+1$. In other words, we need to prove the inequality $$(2R^2-1)y_0-2R(R+1)x_0-2(m-1)(R+1)\geq-2mn-m+1.$$ Rearranging terms gives the equivalent inequality $$x_0\leq\frac{(2R^2-1)y_0-2(m-1)(R+1)+2mn+m-1}{2R(R+1)}.$$ Simplifying the right hand side gives the equivalent inequality $$x_0\leq2mn-m.$$ To prove this, we directly compute $$y_0^2-x_0^2=\frac{(y_0-1)(y_0+m)}{mn}=\frac{(2mn-m)(2mn+1)}{mn}=4mn-2m+2-\frac{1}{n}\geq4mn-2m+1=y_0^2-(y_0-1)^2.$$ Then $x_0\leq y_0-1$ as desired. $\blacksquare$
Consequences
We can combine Theorems 1 and 7 to make conclusions about all integer solutions to (1).
Theorem 8: Let $(x,y)\in\mathbb{Z}^2$ satisfy (1).
Proof: Theorem 7 states that any integer solution to (1) can be mapped via $f$ and $g$ to one of the five solutions listed in Theorem 1. Note that $f$ and $g$ preserve the value of $y\pmod{m}$, $x\pmod{2}$, and $y\pmod{2}$. Since each of the five solutions listed in Theorem 1 satisfy the theorem statement, all integer solutions to (1) satisfy the theorem statement. $\blacksquare$
Theorem 9: Let $m,n,x,y,z$ be positive integers such that $y=m(z-1)+1$ and $yz-1=n(y^2-x^2)$.
Proof: Note that $$mn(y^2-x^2)=m(yz-1)=y(mz)-m=y(y+m-1)-m=(y-1)(y+m)$$ so our previous work applies. Furthermore, we are in the $y\equiv1\pmod{m}$ case. By Theorem 8, if $n\geq2$ then $x\equiv y\equiv1\pmod{2}$. Then the equation $yz-1=n(y^2-x^2)$ forces $z\equiv1\pmod{2}$.
It remains to show that if $m\geq2$ and $n=1$ then $z$ is indivisible by 4. We know that $(x,y)$ can be mapped via $f$ and $g$ to one of the five solutions listed in Theorem 1. Since we are in the $y\equiv1\pmod{m}$ case, and since $m\geq2$, we know that $(x,y)$ can be mapped via $f$ and $g$ to $(\pm m,m+1)$ or $(\pm1,1)$ or $(\pm(3m-2),-3m+1)$. Since $(x,y)$ is in the first quadrant, we know that $(x,y)$ can be obtained from $(1,1)$ or $(m,m+1)$ via repeated application of $f$ (we can discard $(3m-2,-3m+1)$ since $g(m,m+1)=(3m-2,-3m+1)$). The solution $(1,1)$ has $z=1$. The solution $(m,m+1)$ has $z=2$.
We now check how applying $f$ changes $z$. Applying $f$ has the effect $$y\mapsto(2R^2-1)y+2R(R+1)x-2(m-1)(R+1).$$ In terms of $z$, this is $$z\mapsto\frac{(2R^2-1)(m(z-1)+1)+2R(R+1)x-2(m-1)(R+1)-1}{m}+1$$ which simplifies to $$z\mapsto(2R^2-1)z+4nRx-4(m-1)nR.$$ In particular, the value of $z\pmod{4}$ does not change. $\blacksquare$