CyberAgent, the parent company of Cygames (developer of Umamusume: Pretty Derby), announced it will record a loss of 727 million yen (approximately $4.7 million USD) during the current fiscal year due to a recently settled patent lawsuit with Konami. The company shared this information in an annual financial briefing published on November 14.

The legal dispute began in May 2023, when Konami filed a lawsuit claiming that Umamusume: Pretty Derby infringed on several of its game-related patents. Konami initially sought 4 billion yen (over $26 million USD) in damages and requested an injunction to halt the game’s production.

Cygames initially contested the claims and did not admit to any infringement. The developer launched invalidation trials to challenge the Konami patent. However, the company ultimately chose to settle the case out of court to ensure the game could continue operating long-term.

The two companies announced their settlement on November 7, 2025. The specific terms of the agreement remain confidential. According to CyberAgent, the $4.7 million figure covers expenses related to the case, though no detailed breakdown was provided. This amount likely includes various legal costs accumulated during the proceedings, not just damages paid to Konami.

Despite the legal setback, CyberAgent also shared positive news in its financial briefing. The company’s overseas revenue has grown nearly six times compared to the previous year, driven largely by the strong global launch of Umamusume: Pretty Derby.