That's another TBC bug as it looks like.
Check the text style you're using. If you're using sheet units and set it below 4 mm or so, it won't work. I assume some rounding is kicking in.
Text style at 4 mm sheet units works

text style set to 3 mm at sheet units doesn't

It does work if you don't rotate the labels

Now the text style set to ground units at 0.002

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