You're seeing just the callback init, go back to SMPPEX.Session module for more information.
Link to this callback

init(socket, transport, args)

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  socket :: SMPPEX.TransportSession.socket(),
  transport :: SMPPEX.TransportSession.transport(),
  args :: term()
) :: {:ok, state()} | {:stop, reason()}

Invoked when a session is started after a connection successfully established.

args argument is taken directly from ESME.start_link or MC.start call. The return value should be either {:ok, state}, then the session will successfully start and the returned state will be later passed to the other callbacks, or {:stop, reason}, then the session will stop with the returned reason.