Single sign out works, it just isn't immediate. You just need to wait for the token expiry (normally some minutes), and all applications will be logged out.
There could be some caveats with offline tokens...
> When a user logs out from one application I also want to log out from other applications (invalidating the sessions) in the same WildFly server.
KC SSO is based on KC session and cookies handling, it doesn't matters if your applications is on same server or not, or even on same domain.