The wandering off from class would concern me, is it possible there is something going on medically causing her to not pay attention? I'm sure the school will make recommendations if they think that.
My son did ok on his grades in 1st but his teacher told me that he didn't grasp concepts as quickly as she liked. She ended up teaching him the lesson the day before the rest of the class because during regular class teaching he would just fiddle. One on one he was great which is why we didn't see a issue at home. We also had issues w/ behavior, I even offered to pay him $3 if he would come home w/o a bad behavior mark for the week...I think he only did that once! He made A's and B's but based on the teacher and counselor recommendations (due to behavior and lack of grasping concepts) we held him back a year. Last year he repeated 1st grade and got straight A's and had very few behavior problems. It could be that she just needs another year of growing up. It was a very hard decision to hold him back since grades weren't a factor, however it was the right decision. I have also wondered if we had changed teachers would it have been different. Now is the time to nip it in the bud so call a meeting with the teacher and counselor to see what they think. They see her in settings that you will not and they know a different side of her. Hang in there, parenting is not easy but the end goal is worth gold!