UPDATE 1-FirstService results hit by commercial real estate

* Q2 adjusted shr $0.46 vs year-earlier $0.56

* Q2 net shr loss $0.07 vs year-earlier $0.47 profit

* Revenue falls 6.5 pct, hurt by commercial real estate (Adds details. In U.S. dollars unless noted)

TORONTO, July 29 (Reuters) - Property services company FirstService Corp (FSV.TO) reported a quarterly net loss on Wednesday, hurt by a drop in revenue in its commercial real estate unit and a deferred income tax charge.

The company posted a second-quarter net loss of $1.9 million, or 7 cents a share, compared with a profit of $24.6 million, or 47 cents a share, a year earlier.

The company recorded a non-cash valuation allowance related to deferred income tax assets, which reduced earnings per share by 8 cents.

Adjusted diluted net earnings per share from continuing operations slipped to 46 cents a share from 56 cents in the year before quarter.

Revenue fell 6.5 percent to $425.3 million. The company's commercial real estate unit posted a 32 percent drop in revenue to $142.6 million, pressured by the global economic slowdown, which has hit leasing activity. FirstService's residential property management and property services arms reported increases in revenue in the quarter.

Shares of FirstService were up almost 1 percent at C$14.78 on the Toronto Stock Exchange on Wednesday morning and are down about 8 percent in 2009. (Reporting by Ka Yan Ng; editing by Peter Galloway)