Hi, I have bilateral profound high frequency hearing loss and moderate loss across other areas. This means I do not hear certain phonics. Despite this my primary school never stopped trying to teach me to read and write by using phonics. I needed to learn to read and write by memory. When I started high school I had the reading age of a six year old. I also had persistent glue ear until I was about 11.
What helped me was finding reading material that I actually enjoyed (initially this was Harry Potter) at some point my reading took off due to this, and by the time I left high school I had read every book in my school library's classic collection. I'm still an avid reader and read fiction most days as part of my bed time routine. If I'm on holiday I can consume serval books in a week. I managed to graduate with an undergraduate and postgraduate degrees and get qualifying diplomas in my area of specialism and I now work in a professional public services role where literacy and communication is really important.
What didn't help me were assumptions from teaching staff that I was a little bit dim, pressure from my parents when I struggled with my reading with punishments for not trying hard enough, being made by school to read those awful; Biff and Chip went to the shops shite.
On another note, by all means explore dyslexia. However, I can tell you that my school reports around my behaviour were very similar. I was often described as " away with the faries", some teachers considered me wilfully disobedient and I would spend large amounts of time sat facing a wall for not listening, and because I couldn't hear well I was left behind socially and my hearing gave me a pronounced speech impediment that I was horrendously bullied for by peers, some teachers would mimic me, and my siblings were also not discourage from bulling me for it. I experienced a lot of shame about this and that impacted my capacity to build friendships. As an adult I am actually very sociable and have many meaningful and enduring friendships. With the being away with the fairies, because of my very chronic deafness and social isolation caused by this, my environment be it school or home was not stimulating enough for me, so I did spend a vast amount of time in my own world, lost in my own imagination, this could give the impression that I was not "quite the full ticket" as one teacher described me. I've had a life long complex due to being perceived by others as a child and teenager as someone who lacked intelligence.
The best advice I can give is to try not to get frustrated, encourage reading things that interest her, and look at ways you can support her with friendships and social things. Also to give her lots of positive and affirmative messages to boost her self esteem. Subtitles on the tv will also help with reading as well as enhancing her enjoyment of tv in the long run. As an adult having digital hearing aids have also helped me tremendously, even if I don't like wearing them.