Hi Chris,
the problem is that sprintf() requires a heap for the newlib-nano implementation of that particular version of newlib-nano included in KDS.
This is already mentioned in the release notes (not particularly in the context of sprintf(), but obviously this applies for this case too).
I see that you are using a Processor Expert project, so increase the heap size to at least 0x400 (see below, and see Switching between ‘tabs’ and ‘no-tabs’ UI in Processor Expert | MCU on Eclipse if you want the same view).

As a reference, I have attached my test project, where I was able to reproduce your problem with a heap size of zero, and then it worked when I increased the heap for the newlib-nano.
I hope this clarifies the problem, and with this you can solve it.
Erich