Smoke indicates that either the batteries or (most likely) part of the shaver's electronic components have burned up. This means that you have further repairs to perform.
An orange, flashing status light normally means the battery is dead or about to die, according to the manual (link below). In your situation, this could also possibly mean that the battery is not detected or not charging properly.
http://download.p4c.philips.com/files/b/bg2040_34/bg2040_34_dfu_aen.pdf