What I would talk about is what else but this lexile system you can use to challenge her in reading. Why? IMO this program is good for emerging readers, those who are still learning to read. My experience (and that of my kids elementary school) is it's best for students reading till about 4th grade and at max this lexile level. The problem, is this system sets levels based on complexity of the words & sentences. This works well when a student is still learning to decode. But it doesn't really pay much attention to interest, subject matter and age appropriateness. I found when my son got to this level (in 2nd grade) it started to become harder to find books that he wanted to read & that I thought were of appropriate.
In addition somewhere about the 4th-5th grade, most 'reading' programs move from 'learning to read' to 'reading to learn'. Most of the excellent children literature for 8-12 yrs old are in the 700-1000L. And there is a lot to be gained from reading many of these well crafted books and talking about the themes in the book, the motivations of the characters, and how a well crafted story is written.
I 100% agree with all of this. Your daughter's results show that she is an excellent and fluent reader. I would not focus too much on numbers on this measure from this point on. Look for books that are interesting to her and thematically appropriate. You can assume she can read pretty much any children's book out there as far as difficulty goes. This is great--there is so much great stuff out there now! But don't spend a lot of time trying to find books at exactly this level or assume she has to keep "progressing" with harder books at this age, though--you probably will have trouble and it isn't worth it. There is a lot of great, complex children's literature in the range blackcat mentioned.
All this said--yes, she is well above grade level with that kind of a score.
