CoffeeScript is a language building an abstraction over JavaScript (as the similar name suggests.) It is an abstraction over the syntax of JavaScript, not over its concepts: the language is still based on functions as objects which may bind to other objects, and prototypical inheritance.
CoffeeScript favors the best practices of JavaScript by transforming abstractions you would have written anyway, or borrowed from a framework, into language concepts for maximum conciseness. It has a compilation step - as every language must compile to a lower-level one, like C or Java.