I've recently seen in a couple of different places comments along the lines of, "I learned about recursion in school, but have never used it or felt the need for it since then." (Recursion seems to be a popular example of "book learning" amongst a certain group of programmers.)
Well, it's true that in imperative languages such as Java and Ruby[1], we generally use iteration and avoid recursion, in part because of the risk of stack overflows, and in part because it's the style most programmers in those languages are used to.
Now I know that, strictly speaking, there are no "necessary" uses of recursion in such languages: one can always somehow replace recursion with iteration, no matter how complex things get. By "necessary" here, I'm talking about the following:
Can you think of any particular examples of code in such languages where recursion was so much better than iteration (for reasons of clarity, efficiency, or otherwise) that you used recursion anyway, and converting to iteration would have been a big loss?
Recursively walking trees has been mentioned several times in the answers: what was it exactly about your particular use of it that made recursion better than using a library-defined iterator, had it been available?
[1]: Yes, I know that these are also object-oriented languages. That's not directly relevant to this question, however.