An experimental trail consisting of twenty seven advanced breeding lines of groundnut, including two check varieties (Visishta and K6), was evaluated in a randomized block design with three replications to assess genetic divergence for sixteen physiological, yield attributing and quality traits. Genetic diversity among the genotypes was estimated using Mahalanobis D² statistic, and the genotypes were grouped into seven clusters by Tocher’s method. Cluster I was the largest, comprising fourteen genotypes, followed by cluster III with five and cluster II with four genotypes; clusters IV, V, VI and VII were solitary in nature. The maximum inter-cluster distance was recorded between cluster II and cluster IV (720.07), followed by cluster IV and cluster V (718.78) and cluster I and cluster IV (562.17), indicating wide genetic divergence among the genotypes of these clusters, whereas the minimum inter-cluster distance (150.80) was observed between cluster I and cluster VI. Among the sixteen characters studied, kernel yield per plant contributed maximum (23.60%) towards total genetic divergence, followed by hundred pod weight (14.60%) and plant height (8.00%). Based on genetic divergence and per se performance, crosses involving genotypes from clusters II and IV are suggested for obtaining desirable transgressive segregants in future groundnut improvement programmes.