Elaine, there is no way to know. It has only been a couple of months since her surgery so there is time for some more improvement... but you never know. You are very lucky that she is up and walking because many do not get back up. It is best to be grateful for the successful outcome that you have so far and if it gets better then be grateful for that as well.
You might want to ask that the physical therapist try to work with her in the facility. We have had several that came back to the facility and then started physical therapy again. They are much more comfortable in the surroundings that they know than in rehab. I also believe that if at first you don't succeed you try again. It is worth requesting... you can do no worse than ending up where you are now.
It is not uncommon for trauma, surgery, or medical crisis to cause a deterioration in the cognitive level. Obviously she has lost the ability to talk about things that she can not see. It might help to bring in pictures. That might expand the conversation to things you might want to talk about. These can be family members or even magazines with pictures of things she might have enjoyed. Dad had a WWII picture book that we used many afternoons to bring him into conversation. Mom loved Our State Magazine with it's many pictures of our state. Use what she has (visual input) to expand her horizons. And sometimes it is ok to just be quiet. I spend many afternoons with Mom in the courtyard rocking and just being with her now. In those moments go back to the good memories and smile.
No, your Mom doesn't remember the surgery or the walker. She will use it momentarily when she is reminded but as soon as it is out of her sight she will walk without it. I am sure the staff reminds her but she will just keep forgetting it and have to be reminded again. This is ok... for this is the way it is. While visiting Mom today....I actually spent much of my time keeping residents and walkers together. We do the best we can and try not to worry.
I am glad your Mom is up and walking
That is a good thing. Hang on to that!!!!