Hi Kate,
This is the expected and the desired behavior. The cross-site lookup field gets saved in that format and is displayed correclty in qListView web part using the "Display Field Name" feature under the "If this is a cross…" section (ezEdit->Display Fields->Edit). There is no point to try to display that value in OOB list view web part since it is not aware of the actual value that holds that string.
Please let me know if you have any questions.