Formal:
* Elle parle français. (This is the most common and neutral way to say it.)
Informal:
* Elle parle français. (This is also acceptable in informal contexts.)
* Elle cause français. (This is a more colloquial way to say it, similar to saying "she speaks French" in English.)
You can also use other verbs to express the idea of speaking a language, such as:
* Elle maîtrise le français. (She masters French)
* Elle est bilingue en français. (She is bilingual in French)
The best way to choose the right phrase depends on the context of the conversation.