Disclaimer: I may be missing something simple here or this could be a Zephyr version-related problem as I wasn't able to make ARC core display any output using Zephyr's samples/hello_world from 1.5.0 either (but I was able to do that on master). But let's see if you spot something.
Just the normal compilation/upload sequence (output.txt), connected to my [proven working] Serial-to-USB connected to Arduino's pins 0 and 1 using screen /dev/ttyUSB0 115200 command. Tried BOARD=arduino_101_sss_factory as well (though AFAIU in 1.5.0 it's sort of legacy).
No output on the console whatsoever. Quark core runs samples/stub or samples/hello_world.
Any ideas why this could be happening? Have you run this one on 1.5.0 successfully?