I wouldn't be pleased with that group. I'd try some different bullets or powder chargeand see if a change up or down in weight made a differance. Not a horriblegroup, but I'll bet the rifle will do better.
I try for < 2" @ 100 yards with inlines. Most will do it if you find the right combination of components. I'd also recommend loose powder for finding a load. A change of 10 grains could make a huge differance.